NEW YORK (TheStreet) -- Shares of Netflix (NFLX) were gaining 3.1% to $604.86, topping $600 for the first time, Friday morning following reports that the video streaming company is in talks to bring its service to China.
Netflix recently held discussions with multiple companies including the Jack Ma-backed Wasu Media about potentially forming a partnership to enter China, according to Bloomberg. Offering service in China would give Netflix a presence in the country's $5.9 billion online video market.
The company would need a partnership in China due to the Chinese government's strict controls on licensing online content, according to Bloomberg. Netflix is reportedly seeking a partner that already has licenses to stream content to a variety of devices such as PCs, set-top boxes, and mobile phones.
Netflix said company plans "to be nearly global by the end of 2016."
TheStreet's Jim Cramer, portfolio manager of the Action Alerts PLUS Charitable Trust had this to say: "Netflix is worth a lot more than it is selling for. I like the Stifel report using the plus $700 price tag. The programming is loved all over the world."
TheStreet Ratings team rates NETFLIX INC as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
"We rate NETFLIX INC (NFLX) a HOLD. The primary factors that have impacted our rating are mixed -- some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, expanding profit margins and notable return on equity. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income, generally higher debt management risk and premium valuation."