There is no more ridiculous tech stock around at the moment than Netflix (NFLX) - Get Report . And yes, that includes Tesla (TSLA) - Get Report .

The cost of hedging against a drop in the streaming giant's stock is at a two-year low, according to Bloomberg data. Investors have completely forgotten that the company is burning good chunks of cash each quarter and seeing higher content costs. In the minds of the Netflix bulls, the stock deserves to be up 15% this year (if not more) as Netflix will be acquired within 12 months by Action Alerts Plus holding Apple (AAPL) - Get Report .

Couple that with cord-cutting continuing to be on the rise, it's no wonder Netflix shares trade on a price-to-earnings multiple of 220 times trailing earnings.

TheStreet's Eric Jhonsa lays out everything you must-know about Netflix ahead of its Monday evening earnings release. Jhonsa will be live-blogging the earnings release and conference call, so please head to TheStreet's homepage as soon as the numbers break.

Good luck assessing this stock Tuesday morning.

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