Netflix, Inc. is an online streaming giant with the objective to ‘cut the cords’ and it is putting all efforts to make it happen. Currently, it is the biggest online video content service provider in the world with more than 60 million paid subscribers. Furthermore, the company has expanded its global footprints to more than 50 countries as well in which Australia, Cuba, and New Zealand are the latest additions, along with plans to expand in China very soon. All of this has resulted in an increase in Netflix stocks lately.
When the news came out that the company has plans to begin operations in China, the shares of the company skyrocketed in the market. It is believed that the stocks were trading at an all-time high in the market at the price of nearly $615 per share. Furthermore, the stocks were up by 80% as well from last year. All of this has resulted to make company market capitalization worth at least $37 billion. Despite of having a respectable market cap of $37 billion, Apex Capital analysts believe that the market is underestimating the present and long-term potential of its platform.
According to them and their calculations, it is believed that Netflix’s market worth can go as high as $100 billion easily. With the pace at which the company is growing and expanding, it is likely that it can achieve to become a $100 billion business in the near future. The company managed to add a staggering 4.88 million customers from all around the world during the first three months of 2015. Hence, this resulted in the company to increase its user database to 62.27 million, the highest in the industry.
Fool.com reports, “In spite of its size, growth is not slowing down; on the contrary, expansion is even accelerating versus 4 million additions in the same quarter last year. Even in the U.S., which is the company's more mature market, Netflix gained 2.28 million members in the last quarter versus 2.25 million in the first quarter of 2014.”
The team of analysts also believes that the streaming giant has the capability to bring its user database up to the 150 million mark by the end of 2020. Others say that the corporate giant can have 180 million paid subscribers by the end of 2020. Whatsoever is the case, the streaming giant has proved to be the best online video content service provider in the world.