3 Reasons Why Investors Love Netflix's New Price Hike
It's getting a little more expensive for video buffs to Netflix (NASDAQ: NFLX) and chill. The leading streaming service is boosting the price of its most popular plan, according to tech blog Mashable. The price of the plan that costs $9.99 a month for high-def streaming on two devices at the same time will go up to $10.99 a month come November for existing accounts. Subscribers will be notified in two weeks. New subscribers are being hit with the new price point as of Thursday morning.
The cheaper plan that offers standard-def streaming on a single device will remain at $7.99 a month. The priciest of the three tiers that supports 4K video resolution and the ability to stream across four simultaneous devices is seeing its monthly rate go from $11.99 to $13.99.
The move may not seem necessary given the way that Netflix is growing with expanding profitability at the $9.99 monthly price. However, Netflix knows what it's doing. Let's go over the three reasons why the market's pushing the stock to new all-time highs on the news.
Source: Fool.com
Netflix Inc. Stock
Our community is currently high on Netflix Inc. with 82 Buy predictions and 9 Sell predictions.
With a current price of 635.1 € Netflix Inc. is right around the predicted target price of 640 €.
