I've been watching this stock for literally hundreds of dollars, but there is still room to grow.
Netflix (NFLX)
Positives:
Huge revenue growth this year (50%), estimated next quarter (52%) and next year (34%).
Good ROA (24%), outstanding ROE (89%).
Relatively small market cap ($14B) vs. competitors DirecTV ($37B), Comcast ($66B), Amazon ($85B).
International expansion underway.
Negatives:
P/E of 78, forward P/E of 40.
Likely some form of "bandwidth usage tax" forthcoming.
The only stock I can see that has better growth and profitability metrics is Baidu (BIDU), whose fundamentals have been covered previously. I have added some more this month, and will continue to accumulate.
Here's my current portfolio. As always, I believe in all of these stocks - until I sell them.
Apple (AAPL) 11.84%
Baidu (BIDU) 8.09%
Southern Copper (SCCO) 7.40%
Dominion Resources Black Warrior Trust (DOM) 6.48%
Google (GOOG) 5.89%
Annaly Capital Management (NLY) 5.81%
Ace Limited (ACE) 4.69%
Apache (APA) 4.20%
Hugoton Royalty Trust (HGT) 3.80%
BP Prudhoe Bay Royalty Trust (BPT) 3.69%
American Software (AMSWA) 3.42%
Intuitive Surgical (ISRG) 3.34%
Cherokee (CHKE) 3.25%
Blackstone (BX) 3.01%
Prospect Capital (PSEC) 2.93%
Vodafone (VOD) 2.58%
Intel (INTC) 2.57%
DuPont (DD) 2.53%
McDonald's (MCD) 2.50%
The Distressed (ERTS, ESI, JSDA, LZB, MMI, MSI, PCS, RVR, STEC, WFC) 2.37%
F5 Networks (FFIV) 2.18%
BreitBurn Energy Partners (BBEP) 2.15%
American Capital Agency (AGNC) 1.98%
Chimera Investment (CIM) 1.84%
Netflix (NFLX) 1.28%
