NEW YORK (TheStreet) -- The Walt Disney Co. (DIS) and Netflix Inc. (NFLX) today announced the signing of a multi-year licensing deal in which Netflix would be the exclusive subscription video service in Canada for Disney's live action and animated films, Variety reports.
Beginning in 2015, Netflix will stream feature films from the Disney brands, including live action and animated movies, Disney Nature, Marvel, and Lucas Films, eight months after their release in theaters, which is faster than films are usually released to pay-TV services.
Financial terms of the deal were not disclosed, Netflix stock opened higher by 0.28% to $445.69 on Thursday, and Disney stock is up by 0.30% to $85.61.
Separately, TheStreet Ratings team rates DISNEY (WALT) CO as a Buy with a ratings score of A+. TheStreet Ratings Team has this to say about their recommendation:
"We rate DISNEY (WALT) CO (DIS) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, revenue growth and notable return on equity. We feel these strengths outweigh the fact that the company shows low profit margins."