What I am looking at April 20, 2022
- Netflix (NFLX) shares plummet in premarket trading after the streaming company reported a loss of 200,000 subscribers during the first quarter. Why? 1. Tech is beyond their control; 2. 100 million users are cheating by sharing subscriptions outside their households … really? 3. More competition; 4. Ads? Profitable hit-driven business with giant cost structure, but also many good franchises. Why didn't we know about the stealing? How about Super Bowl ads for Super Bowl-like numbers? Games not working? Covid was totally a pull-forward. Like Zoom (ZM), Docusign (DOCU) and Peloton (PTON)? Or too harsh ... A 20 multiple on 2025 earnings gets you to $300 stock price.
- ASML: What are the key metrics for this chipmaker? Sales (not as good). EPS (not as good). Orders (very good) ... perhaps that's it.