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Netflix's password-sharing crackdown has been a huge success. New data from Antenna shows a big spike in new subscribers in May, June, and July. AdvertisementAdvertisementThis could come as unwelcome news, but it's becoming clear that Netflix's password-sharing crackdown has been a resounding success. In Antenna's new research, the firm also found enthusiasm among new subscribers for Netflix's cheaper ad-supported tier, which costs $7 per month. It seems that Netflix's two biggest recent changes, its ad tier and password-sharing crackdown, are both paying off in a major way for the streaming service.
Persons: wouldn't, Doug Anmuth, Insider's Matthew Fox, Anmuth Organizations: Netflix
Disney CEO Bob Iger said the company already has tools to track password-sharing. The company also announced another round of price increases for ad-free Disney+ and Hulu plans. And Iger has said that Disney can make more money per user from ad-supported tiers than ad-free ones, as has Netflix. Disney raised prices for Disney+ by $3 per month last year. Iger noted in May that Disney saw a "relatively small" loss of subscribers as a result of the price increase.
Persons: Bob Iger, We're, Doug Anmuth, Iger Organizations: Disney, Morning, Netflix, Hulu
AMZN 1D mountain Amazon popped after strong earnings JPMorgan's Doug Anmuth reiterated an overweight rating on Amazon and raised his price target to $180 price target, implying roughly 40% upside from Thursday's $128.81 close. Anmuth said on Friday that the second-quarter results and third-quarter outlook will help lift shares higher, and also pointed to strength in Amazon Web Services. Goldman Sachs analyst Eric Sheridan also hiked his price target to $180 from $165, keeping his buy rating on the stock. Bank of America's Justin Post, meanwhile, raised his price target to $174 from $154, implying a 35% gain from Thursday's close. Morgan Stanley's Brian Nowak increased his price target on Amazon to $175 to $150 and reiterated his overweight rating.
Persons: Doug Anmuth, Anmuth, AMZN, Goldman Sachs, Eric Sheridan, Sheridan, headwinds, Bank of America's Justin Post, Citi's Ronald Josey, Josey, Morgan Stanley's Brian Nowak, Nowak, Michael Bloom Organizations: Wall, Amazon, Web Services, Bank of America's, Amazon Web Services, 3Q Locations: Thursday's
Meta has had a breakout year in 2023 — and Wall Street analysts think the stock has even further room to grow after company's latest quarterly report. The new target price implies more than 25% upside from Wednesday's close. Bank of America analyst Justin Post also increased his price target on Meta shares to $375 from $350. META YTD mountain Meta shares in 2023 Meanwhile, UBS hiked its price target to $400 from $335, implying 34% further upside. He reiterated his overweight rating while lifting his price target to $425 from $300, one of the highest on the Street.
Persons: Meta, Morgan Stanley, Brian Novak, Novak, Justin Post, Goldman Sachs, Eric Sheridan, Sheridan, Wells, Ken Gawrelski, Gawrelski, Stephen Ju, Ju, UBS's Lloyd Walmsley, Walmsley, Doug Anmuth, — CNBC's Michael Bloom Organizations: Wall Street, Meta, Bank of America, Citi, Reality Labs, UBS, Credit Suisse Locations: opex
Wall Street analysts were positive on Netflix after its latest subscriber additions and largely dismissed concerns of that the monetization of paid sharing is too slow. The company added 5.9 million subscribers in the quarter in a sign that its password sharing crackdown and advertising tier is generating new subscribers. "2Q review: Password sharing supercharges subs Netflix (NFLX) reported healthy 2Q results, which reflected strong net adds of 5.9mn (vs. guidance of ~1.75mn and our 2.95mn est. ), indicating the initial rollout of password sharing has been very positive," the analyst wrote on Thursday. Wells Fargo's Steven Cahall said investors are "over-exuberant on paid sharing," though he reiterated an overweight rating on the stock.
Persons: Doug Anmuth, Anmuth, America's Jessica Reif Ehrlich, Wells Fargo's Steven Cahall, Needham's Laura Martin, NFLX, OTT, — CNBC's Michael Bloom, Alex Sherman Organizations: Netflix, " Bank, America's, DIS Locations: Wednesday's
Roughly 150 S & P 500 companies are slated to report next week, including Microsoft , Coca-Cola and Boeing . Tech giant Meta Platforms , slated to report Wednesday, has had its earnings estimates hiked by more than 21% over the past three months. The average earnings per share estimate for the automotive giant is up 22% in the past three months. The company is slated to report earnings Tuesday before the bell. Analysts on average have raised their earnings estimates by 38% over both the past three and six months.
Persons: Nick Raich, Doug Anmuth, General Motors, Tesla, — CNBC's Michael Bloom Organizations: Microsoft, Boeing, Investors, CNBC Pro, Tech, Meta, Facebook, JPMorgan, General, GM, Alaska Air, Royal Locations: America, Royal Caribbean
Consumers spent $12.7 billion across the web on July 11 and 12 during Amazon’s Prime Day sales, a 6.1% jump from a year ago, according to Adobe Analytics. Amazon said July 11 was the single largest sales day in the company’s history, but declined to provide totals. “Prime Day has become of one the biggest e-commerce moments of the year, as consumers latch onto major discounts from a number of different retailers,” said Vivek Pandya, lead analyst at Adobe Digital Insights. Amazon holds Prime Day in July every year to juice sales numbers during what are typically slow summer months. Since Prime Day began in 2015, other chains, like Walmart with its Walmart+ week and Best Buy with “Black Friday in July,” have also jumped in to capture shoppers’ spending during slow summer months.
Persons: , Vivek Pandya, Doug Anmuth Organizations: New, New York CNN, Amazon’s, Adobe Analytics, Walmart, Target, Amazon, Adobe, , Adobe Digital Locations: New York
Why Amazon’s Prime Day is in July
  + stars: | 2023-07-11 | by ( Nathaniel Meyersohn | ) edition.cnn.com   time to read: +2 min
New York CNN —Amazon Prime Day is back again starting Tuesday. “Step Aside Black Friday - Meet Prime Day,” Amazon (AMZN) said in a press release unveiling the sale. Prime Day helps Amazon draw new members to Amazon Prime, its $139 annual free-shipping program, and bolsters existing customer relationships with the company’s products and businesses, which includes Whole Foods. The vast majority of the company’s offerings on Prime Day in the past are exclusive to Prime members. This will be the first Prime Day with Amazon’s revamped delivery network.
Persons: Doug Anmuth, Amazon’s Organizations: New, New York CNN, Amazon, Research, Bank of America, Amazon Prime, Target, Walmart Locations: New York, Detroit, Amazon
Amazon has made it official: Prime Day will return on July 11 and 12 this year. Most analysts see room for Amazon stock to run, despite its nearly 50% year-to-date gain. Amazon began the Prime Day event in 2015 as a way to boost its Prime membership, and has held it annually ever since. On Wednesday, Amazon shares were trading down more than 1% after the Federal Trade Commission announced a lawsuit against the company, alleging "deceptive" sales tactics tied to the Prime program. A Prime membership costs about $139 a year and includes perks like free shipping and access to Amazon's streaming service.
Persons: Michael Dick, Amazon, FactSet, John Colantuoni, Colantuoni, Doug Anmuth Organizations: Bank of, Jefferies, Web Services, Walmart, Amazon, Rivals, Target, Federal Trade Commission, FTC Locations: U.S
Netflix's password-sharing crackdown has had a solid start in the US, according to new data. You might not like it, but Netflix's password-sharing crackdown is off to a great start in the US, according to new data. The change was meant to stop the proverbial ex-boyfriend's cousin's friend from continuing to watch someone's Netflix account. Antenna said average sign-ups to Netflix reached 73,000 during that period, a 102% increase from the prior 60-day average. Cancellations also increased, though not as much as sign-ups, Antenna said, adding that the ratio of sign-ups to cancellations was up 25.6% versus the prior 60-day period.
Persons: boyfriend's, Jefferies, Doug Anmuth, Insider's Matthew Fox Organizations: Netflix, JPMorgan, Morning
This comes after Netflix said at its Upfront presentation last month that the company's ad-supported tier and password sharing crackdown are gaining traction. The analyst forecasts total paid sharing revenue of $2.4 billion in 2024 and $3.5 billion in 2025. We now model GAAP EPS of $15.40 in 2024 & $18.89 in 2025, along [with free cash flow] of $6.0B in 2024 & $8.6B in 2025," Anmuth wrote. Netflix shares are trending higher this quarter, up more than 15%, while the S & P 500 climbed 4%. JPMorgan was not the only Wall Street firm to hike its price target on Netflix.
Persons: Doug Anmuth, Anmuth, Wells Fargo's Steven Cahall, — CNBC's Michael Bloom Organizations: Netflix, JPMorgan Locations: Tuesday's
[1/2] A woman checks the arrivals and departures board at Chicago Midway International Airport in Chicago, Illinois, U.S. April 18, 2023. REUTERS/Jim Vondruska/File PhotoNEW YORK, May 10 (Reuters) - A gloomy forecast from vacation rental firm Airbnb (ABNB.O) weighed on travel-related stocks on Wednesday as an expected slowdown in bookings signaled an impending slump in travel demand with consumers seeking cheaper accommodation amid inflation and recession fears. Airbnb's forecast will heighten caution in the travel sector, which encompasses hotels, airlines, and vacation rental firms, according to an investor note by JPMorgan analysts, led by Doug Anmuth. "We also believe Airbnb's commentary will result in increased caution in the travel space, but more specifically around vacation and the U.S.," the analysts said. Reporting by Chibuike Oguh in New York; Editing by Lance Tupper and Aurora EllisOur Standards: The Thomson Reuters Trust Principles.
Amazon is still a buy after its latest earnings results, even with some weakness in Amazon Web Services, according to Wall Street analysts. The online retail stock initially jumped Thursday night after Amazon reported better-than-expected revenue in its first quarter . Amazon shares were last down about 1% in the premarket. AMZN 1D mountain Amazon shares 1-day However, analysts stayed bullish long term on Amazon, citing continued upside in retail, but they urged investors to "stay patient" on AWS and look toward the long-term opportunity in cloud services. Meanwhile, Goldman Sachs' Eric Sheridan reiterated his buy rating on Amazon, and raised his 12-month price target to $165 from $145.
Wall Street analysts were mixed on Pinterest after its latest earnings results, saying the near-term outlook appears murky, though an Amazon partnership seems promising. While the image-sharing company beat expectations on the top and bottom lines in its first quarter, it issued second-quarter revenue growth expectations that were disappointing. Along with its results Thursday, Pinterest said Amazon will be its first partner for third-party ads. Bank of America's Justin Post reiterated a neutral rating, calling Pinterest a "near-term disappointment, long-term opportunity." Meanwhile, Goldman Sachs' Eric Sheridan maintained a buy rating, saying the engagement trends are pointing in the right direction.
Mark Zuckerberg told the world in Oct. 2021 that he was rebranding Facebook to Meta as the company pushes toward the metaverse. Meta shares gained more than 15% in premarket trading Thursday, as analysts and investors digested positive guidance for the upcoming fiscal quarter and an unexpected sales increase for the first quarter of 2023. Meta reported first-quarter earnings per share of $2.20, beating the consensus estimate of $2.03, and revenue of $28.65 billion versus the $27.65 billion expected by analysts. As with other large-cap tech companies, analysts expect that artificial intelligence will be a positive point for Meta. Morgan Stanley holds an overweight rating for Meta and upped its price target from $250 to $300.
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailWatch CNBC's full interview with JPMorgan's Doug Anmuth on surging Meta sharesDoug Anmuth, J.P. Morgan, joins 'Squawk on the Street' to discuss Adnmuth's thoughts on Meta's quarterly earnings results, why Meta's capital expenditure's are no longer a sentiment issue and more.
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailInvestors don't need to be bullish on the metaverse to like Meta, says J.P. Morgan's AnmuthDoug Anmuth, J.P. Morgan, joins 'Squawk on the Street' to discuss Adnmuth's thoughts on Meta's quarterly earnings results, why Meta's capital expenditure's are no longer a sentiment issue and more.
Analysts liked what they saw from Meta Platform 's latest earnings report. The company projects revenue between $29.5 billion and $32 billion, while analysts expected sales of $29.5 billion, per Refinitiv. Goldman's Eric Sheridan also hiked his price target to $300, noting Meta maintained its momentum from the fourth quarter of 2022. Meanwhile, Bank of America's Justin Post noted that Meta's revenue recovery can drive the next leg higher for the stock. He also hiked his price target on Meta shares to $305 from $270, implying upside of 45.6%.
Analysts are upbeat after better than expected quarterly results from Google parent company Alphabet . Despite a challenging macroeconomic environment that has caused companies to pull back advertising, Alphabet also beat analyst expectations on ad revenue. Alphabet stock gained more than 3% in extended trading after the earnings beat. GOOGL YTD mountain Shares of Alphabet gained after a quarterly earnings beat on Wednesday. "We expect GOOGL shares to continue to build its short-term momentum as company specific events (Google I/O, Google Marketing Live, etc.)
April 19 (Reuters) - Netflix Inc's (NFLX.O) shares fell nearly 3% on Wednesday after the streaming pioneer forecast current-quarter revenue and profit below Wall Street estimates, hit by a delay in the wider roll-out of its solution to password sharing. The company will now launch paid sharing widely, including in the U.S., between April and June. It reported a rise in subscriber growth in the first quarter in Canada - one of the markets where it has cracked down on password sharing. The move is expected to result in some knee-jerk churn and near-term earnings risks but should ultimately pay off, analysts said. "The next few months will likely be noisy as paid sharing headline risk grows louder, but we'd be buyers of related pullbacks," J.P.Morgan analyst Doug Anmuth said.
Meta PlatformsWeakness in digital ad spending due to macro pressures has hit social media giant Meta Platforms (META) over the recent quarters. SoFi TechnologiesNext on our list is fintech firm SoFi Technologies (SOFI), which offers digital financial services to over 5.2 million members. The acquisition is expected to drive SoFi's mortgage growth and operational efficiencies and broaden its mortgage product offerings. (See SoFi Insider Trading Activity on TipRanks)PVHApparel company PVH (PVH), which owns popular brands like Calvin Klein and Tommy Hilfiger, delivered better-than-expected results for the fourth quarter of fiscal 2022. The analyst sees "an attractive risk reward profile" in PVH stock based on the company's earnings growth potential and current valuation.
Shares of Peloton Interactive are making a comeback, with the stock up by 30% this year. But many investors who bought into the connected fitness company during the pandemic are still nursing big losses; shares are down 93% from their all-time high in late 2020, currently trading around $10.40. The consensus price target of 30 analysts ($17) points toward a 63% upside over the next 12 months. They also noted that digital-only subscriptions, which are separate from the connected fitness subscribers, fell marginally in the latest quarter. UBS' price target of $8 represents a more than 20% drop from the current share price.
This earnings season has been rocky, at best, but some companies have stood out and are expected to see strong gains going forward. Earnings growth estimates have also grown by more than 10 percentage points since then. The stock is up more than 20% this earnings season, and analysts see the stock rising about 20% over the next 12 months, FactSet data shows. Before the earnings season, they forecast a 34% profit decline. Shares of Aptiv, which develops automotive tech, are up more than 17% since the earnings season began, and analysts see nearly 20% more upside, FactSet data shows.
Last week, Hilton Worldwide CEO Chris Nassetta said, "The demand trends here and now are really strong." In the home-rental space, Airbnb also said it was seeing continued strong demand at the start of 2023. China's reopening from its Covid lockdown is also helping propel travel demand, as well as the tick up in business travel, she said. "The trends have been really strong since January," he said. Airlines like Delta, American Airlines and United Airlines cited strong travel demand and higher fares for fueling their strong fourth-quarter earnings — as well as for forecasts for this year.
Airbnb 's latest quarterly earnings outperformed expectations, but most analysts are still concerned about the stock going forward. Several analysts covering the stock reiterated their neutral or sell ratings on Airbnb a day after the company reported its calendar fourth-quarter results, citing ongoing risks for the short-term rental name. The analyst has a price target of $160 per share, implying upside of 32.3%. JPMorgan's Doug Anmuth also reiterated a neutral rating on the stock, noting that online travel is growing more competitive. Sheridan raised his price target on the stock to $98 per share from $87.
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