Netflix Stock Will Retreat, Poll Says
NEW YORK (
) --
Neflix's
(NFLX) - Get Report
stock will hit retreat by the end of the year, according to
TheStreet
readers.
In this week's poll TheStreet asked reader will Netflix's stock will trade by the end of 2010, and 26.6% said it will pull back to a range of $100 to $125. Another 24% said it will hover in the $100 range.
This comes after Netflix reached a new high this week of $184.74, following its blockbuster third-quarter earnings report. Shares of Netflix have gained 13.3% since reporting earnings on Oct. 20, ending the week up 3.3% to $173.57.
The stock also advanced this week following chatter that
Apple
(AAPL) - Get Report
might be interested in purchasing the company.
While Netflix fell short of earnings estimates, investors were wooed by the company's ability to grow its subscriber base by record numbers. Netflix gained 1.9 million new customers in the third quarter, a 90% surge from a little over 1 million new users in the second quarter. This marked the fourth consecutive quarter of more than 1 million new subscribers.
The company also upped its forecast for subscriber growth, and is now expecting between 19 million and 19.7 million subscribers by the end of the year, compared with a prior guidance of 17.7 million to 18.5 million.
But the market is still questioning how much longer Netflix can grow at its current pace. Analysts are forecasting expansion could slow as early as next year, which will likely put the brakes on the stock price.
But others believe Netflix can continue on its rally, with 21.6% of voters expecting the stock to trade in the $150 to $200 range and 21.2% betting on the stock surging over $200. Just 6.7% are calling for the stock to end the year between $125 and $150.
--Written by Jeanine Poggi in New York.
>To contact the writer of this article, click here:
Jeanine Poggi
.
>To follow the writer on Twitter, go to
.
>To submit a news tip, send an email to:
.
