Skip to Content

Netflix Inc NFLX

Rating as of

Morningstar’s Analysis

Valuation
Currency in USD
Is it the right time to buy or sell?
Find out with Morningstar Premium
Is it the right time to buy or sell?
Find out with Morningstar Premium

1-Star Price

PREMIUM

5-Star Price

PREMIUM

Economic Moat

PREMIUM

Capital Allocation

PREMIUM

Netflix Raises Prices in U.S. Yet Again; Offset for Slow Sub Growth and Lower International Pricing

Neil Macker, CFA Senior Equity Analyst

Analyst Note

| Neil Macker, CFA |

Netflix raised prices across the board in the U.S. and Canada on Jan. 14 as the firm continues to search for methods to grow revenue in the face of slowing subscription growth in its single biggest market. The price of the firm’s standard plan will increase by $1.50 to $14.49 per month, the premium plan by $2 to $20 per month, and the basic plan by $1 to $10 per month. The increase is the sixth for the standard plan that debuted in Nov. 2010 at $8 per month. Netflix waited for three and half years to enact its first price hike on the standard plan but has increased pricing four times since October 2017. The increases should help offset the impact of recently announced lower pricing in India, where Netflix has fallen well behind Amazon and Disney.

Read Full Analysis

Company Profile

Business Description

Netflix's primary business is a streaming video on demand service now available in almost every country worldwide except China. Netflix delivers original and third-party digital video content to PCs, Internet-connected TVs, and consumer electronic devices, including tablets, video game consoles, Apple TV, Roku, and Chromecast. In 2011, Netflix introduced DVD-only plans and separated the combined streaming and DVD plans, making it necessary for subscribers who want both to have separate plans.

Contact
100 Winchester Circle
Los Gatos, CA, 95032
T +1 408 540-3700
Sector Communication Services
Industry Entertainment
Most Recent Earnings Sep 30, 2021
Fiscal Year End Dec 31, 2021
Stock Type Aggressive Growth
Employees 9,400

Related