Even with a little controversy behind the service and a loss of customers, Netflix saw serious gains over the last 12 months. What does this say for ‘net-to-door rental services? Is this still a decent market for new companies to enter?
Netflix Inc., the film-streaming and mail-order DVD service, rose the most in almost 12 months, bringing its gain for the new year to more than 40 percent.
Netflix’s U.S. streaming business is likely to grow along with the total industry rate of 30 percent to 40 percent, Tilson said. The international business will probably grow faster, he said.
Visitors to the company’s U.S. website increase 52 percent in December from a year earlier, Mark Mahaney, a Citigroup Inc. analyst, said today in a note to investors, citing ComScore.
The increase implies a “very positive trend” given the negative publicity surrounding the company’s aborted plan to rename its DVD service Qwikster and a drop in subscribers, said Mahaney, who has a “neutral” rating on the stock.