Is Netflix the new TiVo revolutionary?
We’re all immersing ourselves in personalized television just as iTunes and Pandora Media Inc (NYSE:P) have birthed personalized radio. Nobody talks about something that they heard on the radio and assumes that others have heard it. We’re all on our own paths of discovery in a world of growing entertainment options.
Pandora doesn’t appear to be suffering by giving everyone a unique music streaming experience. There were 65.6 million people consuming 1.39 billion hours of music on Pandora last month.
Netflix is there in terms of sheer streaming volume. It’s been streaming more than a billion hours of video a month since early last year, and unlike Pandora, which is largely consumed as a free ad-supported service, folks are actually paying for Netflix.
Qwikster fiasco aside — and that is so 2011 — the default reaction on Netflix decisions has to be that they’re right until they’re proven otherwise. Binge viewing could be what spoils consumers, driving one more nail in the coffin of traditional television. Until we see that saga play itself out — and that’s the only thing that we’ll be getting from Netflix in timed installments — we’ll just have to enjoy the stock’s return to favor. Netflix hit 52-week highs earlier this month, and there’s at least one analyst at JPMorgan who thinks we’re eventually heading even higher than that.
The article Netflix: Next Stop $205? originally appeared on Fool.com and is written by Rick Aristotle Munarriz.
Longtime Fool contributor Rick Aristotle Munarriz owns shares of Netflix. The Motley Fool recommends DreamWorks Animation. It recommends and owns shares of Netflix.
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