Quickthink

Actually, QT is not in the business of making stock tips. But Motley Fool is. Motley Fool is a web based investment advisory service and they sure do know how to market themselves. I love their branding — clever but unpretentious thinking about what is valuable and what is not. They seek to “educate, amuse and enrich”. Not a bad combination. And I think we can all learn from how they use the web.

Here is a link to their recent report on Netflix. Wish I had a few dollars to invest!

Enjoy!

QT has been tracking Netflix for quite a while now, and once again the company has not disappointed. A while ago, Netflix decided that the future for delivering movies at home will be in streaming. And they just paid $1,000,000,000 to access streaming rights. NYT has the story.

In my dreams last night Warren Buffet gave me a phone call. He wanted to know why I was fixated on stock market trends. I protested, but he was adamant. I hung up with renewed resolve to look for companies that look ready to “break out”. Ok Warren, here goes!

One of these might be Netflix. Its stock has not tanked (which could put off some) and I can see why. Netflix has come to dominate the US movie rental business, and it is using this to build a competitive advantage to deliver films via internet (streaming). Here are some links that discuss its corporate vision.

Om Malik gives a nice profile of how broadband TV markets are developing in general — and Netflix’s position in the market. One interesting thought from the article — tiered pricing for broadband services by cable companies is potentially an anti-competitive practice (designed to force consumers to use cable based services instead of straming). Litigation anyone?

NYT offers a nice profile on BluRay’s first year as the dominant format for high definition DVD. Again Netflix figures in, arguing that BluRay will be a key platform for longer than people think. Interesting.

So — Netflix may be an interesting company to watch over the mid term.

 FOLLOW - Hold on to your hats and Netflix shares — there is talk that Amazon should acquire Netflix. It’s just talk, but a deal like that could be very interesting for Netflix shareholders.