Share price breaks all records
Netflix (NFLX) shares are at record highs as investors have received a number of positive signals from the streaming giant. The latest upbeat news makes up for some disappointment from slowing user growth in the second quarter.
Netflix (NFLX) shares are now performing best among the four blue-chip FAANG stocks (Facebook, Amazon, Apple, Netflix and Google), with growth well above the overall US stock market.
Netflix shares hit an all-time high price of $610.34 on Thursday, up 7.23% in the last month and 14.4% in the last quarter.
This was boosted by a number of positive news from the company.
Novelty success on Netflix platform
Netflix's greatest asset is its original movies and series, with the success of its latest new releases proving that growth in subscribers and video viewing time is ahead.
This week, Netflix executives announced the sensational success of the Korean drama series Squid Game, which launched in October.
Netflix is even suing South Korean internet service provider SK Broadband today, which is demanding fees from the company for its network usage.
According to SK, Netflix traffic handled by SK has increased 24-fold since May 2018 to 1.2 trillion bits of data handled per second as of September, thanks to the success of several Netflix products from Korea, including Squid Game and DP.
Netflix's expansion into the video game streaming industry
Netflix announced its acquisition of game developer Night School Studio on Tuesday 28 September, but did not disclose details of the deal.
Market analysts and investors were enthusiastic about the news, given the strong demand for streaming video games in today's world.
Adding a video game library to Netflix's platform will allow the company to better compete with video streaming services from Amazon (AMZN), Apple (AAPL) and Disney (DIS) and potentially create better revenue diversification.
In addition, a huge number of users watch Netflix content via mobile devices. Netflix's iOS and Android mobile app was downloaded 19 million times in January 2021 alone.
Netflix announced plans to launch video games back in July during its quarterly report, but since then it has not specified when it will launch the service in the US.
