Netflix Plummets, Lululemon Plans

Motley Fool Hidden Gems Investing

The Motley Fool

Investing, Business

4.3 • 3.1K Ratings

🗓️ 20 April 2022

⏱️ 25 minutes

🔗️ Recording | iTunes | RSS

🧾️ Download transcript

Summary

For the first time in over a decade, Netflix had a quarterly net-loss of subscribers and shares fell more than 35%. (0:20) Tim Beyers discusses: - The growing competition in video streaming - Shares of Roku and Disney falling as well - How investors should think about the growth prospects for Netflix - Lululemon Athletica's plan to double its annual revenue in the next five years (15:30) Ricky Mulvey talks with Motley Fool senior analyst Sanmeet Deo about Xponential Fitness, a small-cap company rising in the boutique space. Stocks discussed: NFLX, ROKU, DIS, LULU, XPOF, PLNT Host: Chris Hill Guests: Tim Beyers, Sanmeet Deo Producer: Ricky Mulvey Engineers: Dan Boyd, Tim Sparks Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

Click on a timestamp to play from that location

0:00.0	Today on Motley Full Money, Lulu Lemon has big plans for the next five years, while
0:09.9	Netflix is wrestling with the year and now.
0:14.1	I'm Chris Hill, joined by Motley Full's senior analyst Tim Buyers.
0:19.8	Thanks for being here.
0:20.8	Extra have me, Chris.
0:22.2	Fully caffeinated, ready to go.
0:24.4	Likewise.
0:25.4	And we both need it, because Netflix came out with their first quarter earnings report,
0:29.5	and for the first time in more than a decade Netflix lost subscribers.
0:34.4	They also guided for a loss in subscribers in Q2.
0:39.8	And as you and I are talking in the middle of the trading day, here, the stock is down
0:46.0	more than 35%.
0:48.1	It is now trading at a multiple that is similar to the S&P 500 itself.
0:54.8	So my question whenever the drop is this big is always the same, which is how bad is this?
1:05.9	Is the business of Netflix 35% worse than it was the day before?
1:12.0	No, I don't think so.
1:14.4	Having said that, it would be wrong to say that this is a stark overreaction, and we're
1:21.2	just ignoring reality here.
1:25.0	I don't know that it is an appropriate reaction.
1:28.3	However, we should recognize that Netflix has clearly entered a period of transition.
1:34.4	And so the question you want to ask, if you're an investor, is can management navigate
1:40.4	that transition?
	...

Please login to see the full transcript.

Previous episode | Next episode

Disclaimer: The podcast and artwork embedded on this page are from The Motley Fool, and are the property of its owner and not affiliated with or endorsed by Tapesearch.

Generated transcripts are the property of The Motley Fool and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.