TheStreet's Jim Cramer, Portfolio Manager of the Action Alerts PLUS Charitable Trust Portfolio says, "Cosmetic, cosmetic-but more individual investors can get in-you love the product you want to buy the stock-it's easier."
Netflix's board of directors approved the stock split which will give each shareholder six additional shares of common stock for each share of the company they own. The stock dividend will be payable on July 14, 2015 to all shareholders of record as of the close of business on July 2, 2015.
The company's transfer agent Computershare Trust Company will deliver the new shares.
Netflix will start trading at its post-split price on July 15, 2015.
All shares purchase between July 2 and July 14 will come with a "due-bill" that will entitle the shareholder to six additional shares.
Netflix received approval to increased its share issuance allowance in May.
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."