Analysts LightShed Partners published a noteable pushback to the gloom surrounding Netflix‘s outlook.
Remember that investors savaged Netflix, whose market cap has lost around two thirds of its its peak valuation.
This tracker tells the story:
Wall Street turned sour on Netflix for a cascade of factors including:
- Stalled subscriber growth.
- Questions about the quality and scale of subscribers in target markets like India.
- Netflix’s failure to create hit franchise series, like Disney‘s Marvel, despite spending more than $17 Bn on programming.
- The company’s hesitant approach to launching an advertiser-supported platform fuelled doubts about executive competence.
- And a broad tech industry reevaluation.
Watch “Minutes Watched”!
LightShed counters that Netflix enjoys an expanding audience per the key measure of Minutes Watched.
Notably, Netflix totally dominates its streaming competition, as you can see in this chart that tracks the streamers’ share of Minutes Watched in U.S. for the Top 10 programs during the recent Summer of ’22:
Here is LightShed’s expanded chart:
Competition Losses
- Disney, Warner Bros. Discover, Paramount and Peacock lost over a combined $8 billion this past year on their streaming platforms.
- Meanwhile, according to Comscore, Netflix’s share of connected TV (CTV) streaming time spent increased to 29% from 25% year-over-year.
Takeaways
- Read the LightShed analysis here
- “Shutter Peacock!” was my recent call.
- Netflix & the Streamers Put a Blowtorch to the PayTV Model. What Do the Charts Say?
