Netflix wasn’t crazy for increasing their streaming plans.
The $10 a month plan now costs $11. The 4K streaming plan, which provides higher-quality content, has been raised $2, costing viewers $14 per month.
Granted, Netflix is still $20 BILLION in debt, but whatever.
The prices have affected new U.S. subscribers. For those existing members, you will be notified about the change on October 19, before the next billing cycle. These prices have, in turn, increased the streaming site company’s stocks.
It’s $200 per shares have reached a record high, 59% greater this year alone. Over the next 12 months, JPMorgan’s Doug Anmuth anticipates the stock growing by at least 6%. Anmuth believes:
this is also a positive read-through for 3Q subs as Netflix is more likely to raise prices from a position of strength.
Given Netflix’s value, their stocks will surely grow that 6%.