ReportWire

Tag: Netflix Inc

  • After a well-received quarter, Cramer explains why he thinks Netflix can ‘rock on higher’

    After a well-received quarter, Cramer explains why he thinks Netflix can ‘rock on higher’

    After a siding with the bulls in the run-up to Netflix‘s latest earnings report, CNBC’s Jim Cramer explained why the quarter made him more optimistic about the company’s future, saying he was impressed by management’s outlook and commentary about content.

    “If you were worried about Netflix not having enough levers to pull in order to generate growth going forward, or at least enough growth to justify the stock’s price-to-earnings multiple, I think those concerns have been put to bed by last night’s earnings report,” he said. “Near-term, the Netflix bears will hibernate, but just remember all these positives when they inevitably come out of their den and try to maul this best-of-breed company with a stock that I think can rock on higher for a long time.”

    Netflix beat Wall Street’s expectations for earnings, revenue and paid membership growth when it posted its report Thursday evening. The streaming giant’s shares popped 11% Friday morning and maintained those gains through close.

    Cramer was encouraged by management’s guidance for the current quarter and 2025, as the company expects to keep up double-digit revenue growth some investors feared would be hard to maintain. He also appreciated co-CEO Ted Sarandos’ explanation about Netflix’s vast library and engagement, including his assertion that members on average watch two hours of content per day. Cramer pointed out that Sarandos also said that the streamer is focused on adding “more value to this package,” instead of bundling content with other streaming services, as some competitors are doing.

    This breadth of content makes Cramer optimistic about Netflix’s ability to scale its ad-tier, pointing to popular offerings like “Emily in Paris,” “Selling Sunset” and “Squid Game,” as well as two National Football League games set to stream on Christmas. He also liked Sarandos’ positive read on how AI will impact business.

    “I’m not saying that Netflix has become an AI play, not at all, I’m just saying that between the expanding library, clear customer interest in the ad tier model, and their ability to harness the power of artificial intelligence, we have a lot of positives here, and it’s gong to translate into a lot of money,” Cramer said.

    Jim Cramer digs into Netflix Q3 results

    Jim Cramer’s Guide to Investing

    Source link

  • Earnings will drive the stock market in the week ahead. That’s a good thing

    Earnings will drive the stock market in the week ahead. That’s a good thing

    A view of the New York Stock Exchange building in the Financial District in New York City on Aug. 5, 2024.

    Charly Triballeau | Afp | Getty Images

    The good times are still rolling on Wall Street. An intensifying earnings season will put that momentum to the test.

    Source link

  • Jim Cramer calls this stock the Buffett bank; warns nothing really new on Netflix

    Jim Cramer calls this stock the Buffett bank; warns nothing really new on Netflix

    Source link

  • Tuesday’s analyst calls: Nvidia to pop 40%, Netflix gets a price target increase

    Tuesday’s analyst calls: Nvidia to pop 40%, Netflix gets a price target increase

    Source link

  • 5 things to know before the stock market opens Friday

    5 things to know before the stock market opens Friday

    Here are the most important news items that investors need to start their trading day:

    1. On edge

    2. New Netflix focus

    In an aerial view, the Netflix logo is displayed above its corporate offices on January 24, 2024 in Los Angeles, California.

    Mario Tama | Getty Images

    Netflix is making a big change to its earnings routine. The company announced Thursday that it would no longer provide quarterly membership numbers or average revenue per user starting next year, saying it’s focused on revenue and operating margin. That came the same day it reported that memberships rose 16% in the first quarter, to 269.6 million, well above the 264.2 million Wall Street had expected. Netflix also beat earnings and revenue estimates for the quarter. Shares of the company fell about 6% in premarket trading Friday.

    3. Big price tags

    This aerial picture shows homes near the Chesapeake Bay in Centreville, Maryland, on March 4, 2024. 

    Jim Watson | AFP | Getty Images

    Mortgage rates are at their highest level of the year, with the 30-year fixed mortgage rate now sitting around 7.5% according to Mortgage News Daily. Though mortgage applications to purchase a home rose 5% last week compared with the previous week, according to the Mortgage Bankers Association’s seasonally adjusted index, affordability is weakening. Meanwhile, despite a surge in supply, March home sales dropped, largely due to rising mortgage rates. The spring housing market is moving faster and becoming more competitive, with an average home sitting on the market for just 33 days, compared with 38 days in February.

    4. Ticking clock

    A view shows the office of TikTok after the U.S. House of Representatives overwhelmingly passed a bill that would give TikTok’s Chinese owner ByteDance about six months to divest the U.S. assets of the short-video app or face a ban, in Culver City, California, March 13, 2024. 

    Mike Blake | Reuters

    TikTok more than doubled its spending on advertisements to over $4.5 million to combat a potential U.S. ban. The increase comes as Congress considers legislation that could push parent company ByteDance to divest from the social media app. TikTok has spent over $2.5 million on television ads alone since March, according to data from AdImpact. With the bill appearing to have key support in the Senate, TikTok’s boosted ad spending could be a last-ditch effort to shut down the discourse, as U.S. lawmakers say they’re concerned about whether ByteDance could protect U.S. users’ personal data from the Chinese government.

    5. A new assistant

    A smart phone is displaying Facebook with the Meta icon visible in the background in this photo illustration. Facebook, which was founded 20 years ago, is seen here in Brussels, Belgium, on February 4, 2024.

    Jonathan Raa | Nurphoto | Getty Images

    Meta started rolling out its free artificial intelligence assistant, Meta AI, across WhatsApp, Instagram, Facebook and Messenger on Thursday, CEO Mark Zuckerberg said in a video. The social media company also announced the launch of its newest large language model, called Meta Llama 3, which was used to build the AI assistant. Meta AI can answer questions, create animations and generate images, and it’s partnered with Google and Microsoft to provide answers from both companies’ search engines. “We believe that Meta AI is now the most intelligent AI assistant that you can freely use,” Zuckerberg said in the video.

    And one more thing…

    Taylor Swift attends the 66th GRAMMY Awards at Crypto.com Arena on February 04, 2024 in Los Angeles, California. 

    Neilson Barnard | Getty Images

    Taylor Swift released her 11th studio album, “The Tortured Poets Department,” Friday at midnight ET. She then surprised fans at 2 a.m. ET with news of 15 extra songs. The album features collaborations with Post Malone and Florence + the Machine.

    — CNBC’s Yun Li, Natasha Turak, Sarah Whitten, Diana Olick, Brian Schwartz, Ashley Capoot and NBC News contributed to this report.

    — Follow broader market action like a pro on CNBC Pro.

    Source link

  • Here are Wednesday’s biggest analyst calls: Nvidia, Broadcom, Apple, Tesla, Netflix, Amazon, Microsoft & more

    Here are Wednesday’s biggest analyst calls: Nvidia, Broadcom, Apple, Tesla, Netflix, Amazon, Microsoft & more

    Source link

  • CNBC Daily Open: Wall Street rattled over Fed worries

    CNBC Daily Open: Wall Street rattled over Fed worries


    A trader works, as a screen displays a news conference by Federal Reserve Board Chairman Jerome Powell following the Fed rate announcement, on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., January 31, 2024. 

    Brendan McDermid | Reuters

    This report is from today’s CNBC Daily Open, our international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Like what you see? You can subscribe here.

    What you need to know today

    Wall Street retreats
    U.S. stocks     lost ground on Monday and Treasury yields rose amid lingering concerns that the Federal Reserve may not cut rates as much as expected. The blue-chip Dow fell over 200 points. The S&P 500 also slumped after hitting a record high last week. The Nasdaq Composite also dropped 0.2%. 

    Oil’s supply crunch
    The oil market faces a supply crunch by the end of 2025 as the world is not replacing crude reserves fast enough, according to Occidental CEO Vicki Hollub. About 97% of the oil produced today was discovered in the 20th century, she told CNBC. 

    Palantir surges
    Shares of Palantir spiked 19% in extended trading after the company reported revenue that topped analysts’ estimates. In a letter to shareholders, Palantir CEO Alex Karp said demand for large language models in the U.S. “continues to be unrelenting.”

    Red Sea tensions
    Higher shipping costs due to tensions in the Red Sea could hinder the global fight against inflation, said the Organisation for Economic Co-operation and Development. Clare Lombardelli, chief economist at the OECD, told CNBC that shipping-driven inflation pressures remain a risk rather than its base case.

    [PRO] Banking allure
    The banking sector offers attractive opportunities despite an increase in volatility, according to fund manager Cole Smead. “It’s the banks that made bad decisions that are making [other] banks look attractive in pricing,” Smead told CNBC, who picked two bank stocks that are in play. 

    The bottom line

    Investors are once again getting ahead of themselves on the Fed’s next move.

    Markets were rattled after Federal Reserve Chair Jerome Powell reiterated the central bank is unlikely to rush to lower interest rates. 

    Wall Street has been parsing his hawkish comments, yet in essence what Powell said over the weekend was no different than what he shared at Wednesday’s press conference: that he wants to see more evidence that inflation is coming down to a sustainable level.

    Still, the debate over the timing of rate cuts unsettled Fed watchers.  

    This sparked a sell-off spurred by higher bond yields. The yield on the 10-year Treasury spiked for a second day, trading around 4.163%. Typically, higher yields tend to indicate investors think the Fed will take longer to cut rates. 

    Fresh data out Monday also didn’t help.  A new survey showed the U.S. services sector expand at a faster-than-expected clip in January. 

    This on top of the booming jobs report released Friday, fueled investor worries that rates may stay elevated for much longer.

    Wall Street will now look ahead to the swath of Fed speakers this week. Perhaps they will shed more light on the path for rate cuts.



    Source link

  • Algorithms, bias and hallucinations: 20 important AI terms investors should know

    Algorithms, bias and hallucinations: 20 important AI terms investors should know




    Source link

  • Stocks making the biggest moves midday: Netflix, SunPower, Adobe and more

    Stocks making the biggest moves midday: Netflix, SunPower, Adobe and more

    Source link

  • What to expect as Netflix, Disney and other big streaming names shift strategy

    What to expect as Netflix, Disney and other big streaming names shift strategy

    Streaming customers are likely to see more familiar faces and less megabudget content in the coming year.

    Shifting consumer tastes and corporate strategies portend changes in programming, with artificial intelligence looming in the background, as major streaming services consider how to use technology and new forms of programming without escalating annual multibillion-dollar content budgets.

    “The big quandary is, how do we make [services] profitable? Things have shifted so dramatically and so quickly in how people consume,” Cole Strain, head of research and development at Samba TV, which tracks viewership of shows, said in an interview. “The streamers that find out what consumers truly want — they win.”

    Streaming services are facing some big choices, noted Jacqueline Corbelli, CEO of software company BrightLine. “The cost of the content and the length of the content war will force them to make some major decisions. They are trying to figure it out,” she said in an interview.

    “Great content has to be paid for, and investors want to see an increasingly efficient and profitable business,” she said, adding: “Right now the economics of these are at odds with one another.”

    This year’s prolonged Hollywood strikes, the prevalence of up-close-and-personal sports documentaries and the increased licensing of older cable-TV shows are the most tangible evidence so far of how content is evolving. Throw in cost-cutting, and customers of services like Netflix Inc.
    NFLX,
    +0.28%    ,
    Walt Disney Co.’s
    DIS,
    -1.33%
    Disney+ and Hulu, and Amazon.com Inc.’s
    AMZN,
    +1.41%
    Prime Video are looking at a vastly different content landscape.

    What’s at stake? Streaming’s big guns continue to spend lavishly in the pursuit of engagement, which is the single most important metric in media. During its third-quarter earnings calls, Netflix said it would spend $17 billion on content in 2024, while Disney pledged $25 billion, including sports rights.

    “‘I think when it comes to creativity, quality is critical, of course, and quantity in many ways can destroy quality.’”


    — Disney CEO Bob Iger

    Complicating matters and raising the urgency is the pressure, particularly at Disney, to cut costs. The very future of blockbuster movies is also in doubt in the wake of box-office misfires such as “Wish,” “Indiana Jones and the Dial of Destiny” and the latest Marvel entries, “Ant-Man and the Wasp: Quantumania” and “The Marvels.”

    “One of the reasons I believe it’s fallen off a bit is that we were making too much,” Disney CEO Bob Iger said at a recent employee town hall meeting in New York City. “I think when it comes to creativity, quality is critical, of course, and quantity in many ways can destroy quality. Storytelling, obviously, is the core of what we do as a company.”

    Also read: Disney CEO Bob Iger walks back comments about asset sales

    Speaking at the New York Times DealBook Summit last week, Iger acknowledged that “the movie business is changing. Box office is about 75% of what it was pre-COVID.” Noting the $7 monthly fee for a Disney+ subscription, he said the experience of viewing content from home on large TV screens is both more convenient and less expensive than going to the movie theater.

    Iger’s task is significantly more fraught than those faced by his rivals. He is in the midst of a turnaround at Disney aimed at making streaming profitable and is simultaneously fending off yet another proxy fight from activist investor Nelson Peltz.

    Part of Iger’s plan is to slash costs. Of the $7.5 billion Disney intends to save in 2024, $4.5 billion will come out of the content budget. Previously, the company was aiming at a $3 billion content cut out of a total annual reduction of $5.5 billion. Disney plans to spend $25 billion on content in 2024, down from $27.2 billion in 2023 and a record $29.9 billion in 2022.

    Read more: Bob Iger: ‘I was not seeking to return’ as Disney CEO

    What streamers have done so far hews closely to the classic TV model of producing original movies and series, broadcasting live sporting events and throwing in licensed content, or syndication. They’ve also displayed a willingness to place ads on their services after vowing not to (in the case of Netflix) and have managed to mitigate spending on pricey sports rights with behind-the-scenes content.

    Most prominently, Netflix has licensed older shows like USA Networks’ “Suits,” reintroducing the cast, including a then-unknown Meghan Markle, to solid viewership. “As the competitive environment evolves, we may have increased opportunities to license more hit titles to complement our original programming,” Netflix said in its third-quarter earnings statement. 

    During the company’s earnings call in October, Netflix co-CEO Ted Sarandos pointed to the historic streaming success of “Suits.” “This continues to be important for us to add a lot of breadth of storytelling,” he said. “Our consumers have a wide range of tastes, and we can’t make everything, but we can help you find just about anything. That’s really the strength.”

    The success of “Suits” and of original sports programming, among several tweaks, indicates that consumers like what they see so far. Streaming additions at Netflix and Disney were significant — 8.76 million and nearly 7 million, respectively — during the recently completed third calendar quarter.

    Read more: Netflix’s stock jumps more than 10% on huge spike in subscribers, price hikes

    “There exist a lot of popular, good shows that people hadn’t seen before. HBO Max has licensed ‘Band of Brothers.’ ‘Yellowstone’ is on the CBS network after performing well on Paramount Global
    PARA,
    -2.76%
    and Comcast Corp.’s
    CMCSA,
    -3.41%
    Peacock,” Jon Giegengack, founder and principal of Hub Entertainment Research, said in an interview. “Consumers increasingly don’t care if a show is new, if they haven’t seen it before.”

    On the sports front, Netflix and Amazon Prime Video have sidestepped expensive rights to live sporting events and instead produced docuseries such as Netflix’s “Quarterback” and “Formula 1: Drive to Survive” and Amazon’s “Coach Prime” and “Redefined: J.R. Smith.” Amazon also continues to air “NFL Thursday Night Football.”

    Competition for eyeballs is tight with so many suitors — from Alphabet Inc.’s
    GOOGL,
    +1.33%

    GOOG,
    +1.35%
    YouTube to TikTok, both of which are developing long-form content — and viewers face “too many streaming options,” said Brittany Slattery, chief marketing officer at OpenAP, an advertising platform founded by the owners of most of the large TV networks.

    “There is a high churn rate, because consumers keep popping in and out of services because they can’t afford all these services,” Slattery said in an interview.

    Also see: Here’s what’s worth streaming in December 2023: Not much new, yet still a lot to watch

    Mark Vena, CEO and principal analyst at SmarTech Research, sums up the typical customer experience: “There are too many services for streaming. I will buy service for a month, watch a movie and then cancel.”

    Using technology for a new experience

    Major streamers are pinning many of their hopes on technology as a way to entice viewers and expand beyond the traditional TV model they’ve adopted. Strategies include mobile gaming (Netflix), gambling (Disney’s ESPN Bet) and shoppable media (Amazon).

    The biggest near-term change would bring ESPN exclusively to streaming, perhaps as early as 2025, although big games would probably be simulcast on network TV to retain older viewers.

    “Technology will be a major impetus for being in the winning circle,” said Hunter Terry, head of connected TV at global data company Lotame, pointing to Amazon’s shoppable-media strategy during Prime Video’s broadcast of an NFL game on Black Friday.

    The NFL game, the first ever on a Friday, featured QR codes of Amazon ads for direct purchases via mobile devices and PCs, contributing greatly to what the e-commerce giant said was its best-ever sales day — 7.5% higher than Black Friday 2022. The game drew between 9.6 million and 10.8 million viewers, according to Nielsen and Amazon, making it the highest-rated show on Black Friday for young adults (18-34) and adults (18-49).

    And what of generative AI, a major flashpoint in the writers and actors strikes that roiled Hollywood for months earlier this year? Creators feared generative AI would be used to produce low- and middle-brow entertainment without the need for writers, actors or production crew.

    The technology is as intriguing to streamers as it is vexing. Full-blown adoption would rankle creators as well as customers. There are also limitations: AI-created content is lacking in humor and original thought, said David Parekh, CEO of SRI International, a leading research and development organization serving government and industry.

    “The pressing question is, who goes first among the streamers and risks getting blowback from studios and consumers?” said Rick Munarriz, a contributing analyst at the Motley Fool who covers streaming-service stocks. “You don’t want to offend people, but there are tools to create ideas” at little cost.

    AI and machine learning are already being used to mine data to find out what resonates with viewers.

    “It is very hard to produce successful content,” said Ron Gutman, CEO of Wurl, which helps streamers and publishers monetize and distribute content, and which was recently acquired by AppLovin Corp.
    APP,
    -0.80%
    for $430 million. “The market is so fragmented. The problem is connecting people to content.”

    Straight to streaming?

    Big-budget busts present another potential source of content, by salvaging unreleased movies, according to experts.

    The so-called dust-bin option is the natural successor to straight-to-video and straight-to-pay-per-view movies. There has been some precedent, with the release of Disney’s superhero hit “Black Widow” simultaneously on streaming and in theaters in May 2021.

    Will streaming services end up as the first stop for movies abruptly canceled before release? Candidates include “Batgirl,” which cost $90 million to make and was in post-production when Warner Bros. Discovery Inc.
    WBD,
    -4.57%
    pulled the plug.

    The same fate could also await two other shelved Warner Bros. movies, “Scoob! Holiday Haunt” and the completed “Coyote vs. Acme.”

    While the $90 million “Batgirl” is a tax write-off, there could be upside to “Coyote” and “Scoob!” if they went to streaming without a costly marketing campaign, said SmarTech Research’s Vena.

    Still, the long-term plans of streaming giants to meld tech to TV remains a ticklish task, said Wurl’s Gutman. “TV is a lean-back experience, not a lean-into technology medium,” he said. “People are looking at their phones while watching TV. It is a passive experience.”

    Tracy Swedlow, founder and co-producer of the TV of Tomorrow Show conference, said: “They’ve been burning a candle at both ends, investing in original content as well as licensing long-tail content such as ‘Suits’ and ‘Breaking Bad.’ Something has to give.”

    Source link

  • SAG-AFTRA says studios’ latest offer falls short of union’s AI demands

    SAG-AFTRA says studios’ latest offer falls short of union’s AI demands

    NEW YORK, NEW YORK – OCTOBER 31: Rebecca Damon joins SAG-AFTRA members on strike during Halloween on October 31, 2023 in New York City. The strike, which began on July 14, entered its 100th day on October 21st as the actors’ union and Hollywood studios and streamers failed to reach an agreement. (Photo by John Nacion/Getty Images)

    John Nacion | Getty Images Entertainment | Getty Images

    SAG-AFTRA actors aren’t totally on board with Hollywood studios’ latest labor agreement pitch.

    The Screen Actors Guild-American Federation of Television and Radio Artists said there were still “several essential items” that they couldn’t agree with during their negotiations with the Alliance of Motion Picture and Television Producers, including artificial intelligence guidelines.

    Studios put forth this “last, best and final offer” over the weekend, with top executives making clear that they would not make further concessions. SAG-AFTRA spent time Sunday and Monday evaluating the deal.

    It is unclear if the AMPTP will return to the table to continue bargaining or if talks will officially shutdown.

    Representatives from the AMPTP did not immediately respond to CNBC’s request for comment.

    Hollywood actors initiated a work stoppage in mid-July as initial negotiations broke down with studios including Disney, Paramount, Universal, Netflix and Warner Bros. Discovery. They resumed talks for a short period of time in early October, but those broke down for several weeks.

    Later in the month, talks resumed again, but so far, SAG-AFTRA and the AMPTP have been unable to reach a deal.

    Television and film performers were looking to improve wages, working conditions, and health and pension benefits, as well as establish guardrails for the use of AI in future television and film productions. Additionally, the union sought more transparency from streaming services about viewership so that residual payments can be made equitable to linear TV.

    The 116 day strike has disrupted marketing campaigns and prevented production from commencing on a significant portion of Hollywood’s film and television projects.

    Disclosure: Comcast is the parent company of NBCUniversal and CNBC. NBCUniversal is a member of the Alliance of Motion Picture and Television Producers.

    Source link

  • Taylor Swift Eras Tour film seeking more box office records as it sticks around in theaters

    Taylor Swift Eras Tour film seeking more box office records as it sticks around in theaters

    Taylor Swift performs onstage during her The Eras Tour concert at Lumen Field in Seattle, Washington, on July 22, 2023.

    Mat Hayward/tas23 | Getty Images Entertainment | Getty Images

    Taylor Swift is seeking to smash more box office records as her Eras Tour concert film sticks around theaters.

    Box office analysts initially believed the singer’s film would wrap up its limited run in the theaters on Nov. 5.

    In AMC Entertainment’s initial announcement of ticket availability for the Eras Tour concert film, the company said audiences could “view showtimes and purchase tickets through November 5th.”

    AMC clarified Friday that the Nov. 5 date was the cutoff for the first run of tickets available for the film when presales began.

    The extra time in theaters can only benefit the film and the box office. Already Swift’s Eras Tour has shattered records and helped the theater industry weather a light release calendar.

    Heading into the weekend, The Eras Tour film has collected $150 million in domestic receipts and more than $200 million globally. That global haul represents more than 18% of the $1.092 billion total global box office earned since the film was released Oct. 13, according to data from Comscore.

    Read more: Beyoncé concert film will help boost weak December box office

    “It’s been a remarkable, one-of-a-kind, record-breaking and influential run for The Eras Tour, not to mention a huge win for Taylor Swift and theater owners,” said Shawn Robbins, chief analyst at BoxOffice.com.

    Expectations are that Swift will add another $10 million domestically this weekend and the film could be No. 1 at the box office once again.

    So far, The Eras Tour film is the highest-grossing domestic and global concert film release of all time but lags just behind the “Michael Jackson’s This Is It” concert documentary’s global haul of $262.5 million.

    Box office records (Taylor’s version)

    • Highest opening weekend for a concert film: Taylor Swift: The Eras Tour — $92.8 million
    • Widest domestic release for a concert film: Taylor Swift: The Eras Tour — 3,855 locations
    • Highest-grossing concert film domestically: Taylor Swift: The Eras Tour — $150 million, and counting
    • Highest-grossing concert film worldwide: Taylor Swift: The Eras Tour — $203.8 million, and counting
    • Highest-grossing concert film documentary worldwide: “Michael Jackson’s This Is It” — $262.5 million

    Source: Comscore

    Swift’s concert film release came at an opportune time. Labor strikes in Hollywood led several films to depart the theatrical calendar, including the much-anticipated “Dune: Part Two” from Warner Bros. Discovery and Legendary Entertainment.

    “One movie can make all the difference,” said Paul Dergarabedian, senior media analyst at Comscore. “This incredible box office performance is made all the more impressive given the film’s truncated release pattern that had it essentially playing on big screens four days a week.”

    Swift’s unique release, coupled with her decision to distribute the film through theater chain AMC instead of a traditional Hollywood studio, has also led to increased speculation about where the concert film will land on streaming.

    Taylor Swift’s previous movies

    • Taylor Swift: Journey to Fearless (2010): aired on The Hub, which has since been rebranded as Discovery Family, and then made available on DVD
    • Taylor Swift: Speak Now World Tour Live (2011): made available on DVD
    • The 1989 World Tour Live (2015): released through Apple Music
    • Taylor Swift: Reputation Stadium Tour (2018): streaming on Netflix
    • Taylor Swift: City of Lover Concert (2020): ABC TV Special
    • Miss Americana (2020): streaming on Netflix
    • Folklore: The Long Pond Studio Sessions (2020): streaming on Disney+

    Currently, it appears that Swift is waiting for the SAG-AFTRA strike to wrap up before negotiating with streamers for the rights to her concert film. The film is much coveted in the industry and a big bidding battle is expected.

    Swift has previously worked with Apple Music, Netflix and Disney to release filmed versions of her concerts and documentary projects.

    Correction: An earlier version of this story incorrectly said it would be the Eras Tour movie’s last weekend at the box office. The headline and story have been corrected.

    Don’t miss these stories from CNBC PRO:

    Source link

  • There’s a ton worth streaming in November 2023. So as prices rise, here’s how to avoid breaking the bank.

    There’s a ton worth streaming in November 2023. So as prices rise, here’s how to avoid breaking the bank.

    November offers a false spring for streaming viewers.

    After a slow couple of months, there’s suddenly an abundance of top-tier shows on the way, but don’t be fooled — the streaming scene is going to be largely bleak in the coming months, until productions fully ramp up sometime next year following the strikes that have crippled Hollywood.

    Meanwhile, streaming costs keep rising (Netflix’s top tier is the first to cross the $20 barrier) and consumers are getting less for their money, with fewer new shows and smaller libraries, while streamers push subscribers toward ad-supported tiers that generate more revenue per user while providing a worse viewing experience. Still, all the ad-supported tiers cost less than $10 a month, meaning it may be time for budget-conscious consumers to suck it up and deal with commercials if they don’t want to break the bank.

    Read more: Netflix is raising prices to get you to watch ads, and it will probably work

    That’s why it’s even more important to examine which services you’re really willing to pay for. The days of subscribing to six streaming services — even though you might only regularly watch three — are over. But by adding and canceling services month to month, you can save money while still being able to watch your favorite shows (for example, instead of watching a 12-episode show that drops every week and paying for three months, subscribe for just one month once the show nears its end and binge it all at once).

    Such a churn strategy takes some planning, but it pays off. Keep in mind that a billing cycle starts when you sign up, not necessarily at the beginning of the month.

    Each month, this column offers tips on how to maximize your streaming and your budget, rating the major services as a “play,” “pause” or “stop” — similar to investment analysts’ traditional ratings of buy, hold or sell, and picks the best shows to help you make your monthly decisions.

    Here’s a look at what’s coming to the various streaming services in November 2023, and what’s really worth the monthly subscription fee:

    Apple TV+ ($9.99 a month)

    The price of Apple TV+ has doubled in a little over a year, and in any other month, it’d be easy to argue it has priced itself out of the range of casual viewers. But Apple’s November lineup is so impressive that it’s actually somehow still a good deal.

    The alt-history space drama “For All Mankind” (Nov. 10) returns for its fourth season, with an eight-year time jump after Season 3’s shocking finale. The Mars colony is now thriving, but tensions are rising over the mining of mineral-rich asteroids. Toby Kebbell (“Servant”) joins the cast, along with Daniel Stern and Tyner Rushing, who join holdovers Joel Kinnaman, Krys Marshall, Wrenn Schmidt and Coral Pena. It’s a fantastic and frequently thrilling series, and arguably Apple’s best drama.

    And a challenger to that title is also coming back. “Slow Horses” (Nov. 29), the darkly funny thriller about a group of washed-up spies, returns for its third season. Gary Oldman stars as perpetually disgruntled spymaster Jackson Lamb, leading his team of misfits as they get dragged into an international conspiracy after one of their own is kidnapped. Based on the novels by Mick Herron, “Slow Horses” is smart and cynical, a terrific twist on traditional spy stories.

    Then there’s “Monarch: Legacy of Monsters” (Nov. 17), an action-conspiracy series about a ragtag group trying to expose a secretive organization that knows the truth about Godzilla and other kaiju creatures terrorizing the planet. Kurt Russell stars with his son, Wyatt (who plays his dad in flashbacks), along with Anna Sawai, Ren Watabe and Kiersey Clemons. The series is intended to slide right into the MonsterVerse that includes “Godzilla vs. Kong,” “Kong: Skull Island” and “Godzilla: King of the Monsters,” and for anyone who grew up watching monster movies, this could be a lot of fun.

    Apple
    AAPL,
    +1.87%
    also has “Fingernails” (Nov. 3), a sci-fi romance movie starring Jessie Buckley, Riz Ahmed, Jeremy Allen White and Luke Wilson; “The Buccaneers” (Nov. 8), a “Bridgerton”-esque period drama based on the Edith Wharton novel about a group of rich American girls who hit London in the 1870s looking for suitable husbands; the holiday musical special “Hannah Waddingham: Home for Christmas” (Nov. 22); and a new version of the tear-jerking children’s classic “The Velveteen Rabbit” (Nov. 22).

    Meanwhile, Martin Scorsese’s critically acclaimed “Killers of the Flower Moon” should hit Apple TV+ within the next month or two, after it completes its theatrical run, and Ridley Scott’s historical epic “Napoleon,” starring Joaquin Phoenix, his theaters Nov. 22. It, too, will stream on Apple at an as-yet-undisclosed date in the coming months.

    There are also new episodes every week of “Lessons in Chemistry” (finale Nov. 24), and “The Morning Show” (season finale Nov. 8). If that’s not enough, you could always catch up on “Foundation,” “Swagger,” “Platonic” or discover “Bad Sisters.”

    Who’s Apple TV+ for? It offers a little something for everyone, but not necessarily enough for anyone — although it’s getting there.

    Play, pause or stop? Play. Even though its price has soared, Apple is still cheaper than most, and it delivers value this month. (Remember, you can get three free months of Apple TV+ if you buy a new Apple device.)

    Hulu ($7.99 a month with ads, or $17.99 with no ads)

    After a fallow October, Hulu has a lot more to offer in November, continuing its strong year.

    FX’s “A Murder at the End of the World” (Nov. 14) was pushed back from an August release date due to the Hollywood strikes, but it should fit better in a colder season anyway. From Brit Marling and Zal Batmanglij, the producers of Netflix’s cult favorite sci-fi series “The OA,” the limited series is an Agatha Christie-style murder mystery set at a billionaire’s secluded, snowbound retreat in Iceland. Emma Corrin (“The Crown”) stars as an amateur detective while Clive Owen (“Children of Men”) plays the mysterious tycoon.

    A wintry setting also plays a key role in the fifth season of FX’s “Fargo” (Nov. 22), the latest installment in Noah Hawley’s noirish crime anthology. Juno Temple (“Ted Lasso”) plays a seemingly ordinary Midwestern housewife who’s not at all what she appears to be. She’s joined by an all-star cast that includes Jon Hamm, Jennifer Jason Leigh, Lamorne Morris and Dave Foley. Each season of “Fargo” is a quirky, violent delight, and this one looks no different.

    Also: Disney officially plans to buy remaining Hulu stake from Comcast

    Just to make things confusing, while both “A Murder at the End of the World” and “Fargo” are FX series, “Murder” will stream exclusively on Hulu, while “Fargo” episodes will first air on FX then stream a day later.

    In an interesting experiment, director Baz Luhrmann has recut his 2008 romantic drama “Australia,” starring Nicole Kidman and Hugh Jackman, and turned it into a six-episode miniseries — renamed “Faraway Downs” (Nov. 26) — using extra footage shot during the original filming. The movie flopped in theaters, but Luhrmann says it should work better as a miniseries, saying “episodic storytelling has been reinvigorated by the streaming world.”

    For more: Here’s what’s new on Hulu in November 2023 — and what’s leaving

    Hulu also has “Black Cake” (Nov. 1), a generations-spanning family drama based on the bestselling novel by Charmaine Wilkerson; “Quiz Lady” (Nov. 3), a comedy movie about estranged sisters, starring Awkwafina and Sandra Oh; and a handful of sports documentaries, including “The League” (Nov. 9), about Negro League baseball, and “Brawn: The Impossible Formula 1 Story” (Nov. 15), hosted by Keanu Reeves.

    Fresh off October’s addition of “Moonlighting,” Hulu is adding all eight seasons of another 1980s classic, “L.A. Law” (Nov. 3), along with a ton of holiday fare, including “Adam Sandler’s Eight Crazy Nights” and “Miracle on 34th Street” (both Nov. 1), and “Elf” and “National Lampoon’s Christmas Vacation” (both Nov. 23).

    And don’t forget the season finales of “Welcome to Wrexham” (Nov. 15) and “Goosebumps” (Nov. 17), as well as next-day streams of network shows such as “The Golden Bachelor” and “Bob’s Burgers.”

    Who’s Hulu for? TV lovers. There’s a deep library for those who want older TV series and next-day streaming of many current network and cable shows.

    Play, pause or stop? Pause and think it over. If you’re on the ad-supported plan, it’s well worth it. But for the pricey, $18 ad-free plan, you may want to wait until December and see how some of these new series pan out.

    Netflix ($6.99 a month for basic with ads, $15.49 standard with no ads, $22.99 premium with no ads)

    Netflix just raised some prices again, but for most customers, it’s still a good value.

    The critically acclaimed royal-family drama “The Crown” (Nov. 16) is back for the first half of its sixth and final season (four episodes drop this month, with the final six coming in December). Events pick up in 1997 after the marriage of Prince Charles (Dominic West) and Princess Diana (Elizabeth Debicki) ends, as Queen Elizabeth II (Imelda Staunton) reflects on her legacy. There’s already controversy over how it’ll handle Diana’s tragic death.

    Read more: Here’s what’s new on Netflix in November 2023 — and what’s leaving

    Netflix
    NFLX,
    +2.06%
     also has “The Killer” (Nov. 10) a “slick but conventional” thriller movie from director David Fincher, starring Michael Fassbender as a hit man on the run; “Squid Game: The Challenge” (Nov. 22), a reality competition show putting 456 players through challenges inspired by the hit Korean drama (minus the murders, presumably); “Scott Pilgrim Takes Off” (Nov. 17), an anime version of the graphic novels and cult-favorite movie “Scott Pilgrim vs. the World” (which is also coming Nov. 1); “All the Light We Cannot See” (Nov. 2), a critically panned miniseries about a blind French girl and a German soldier in the final days of WWII, starring Aria Mia Loberti, Louis Hofmann and Mark Ruffalo; Season 5, Part 2 of the popular small-town romantic drama “Virgin River” (Nov. 30); and “The Netflix Cup: Swing to Survive” (Nov. 14), Netflix’s first livestreamed sporting event, with teams of Formula 1 drivers and PGA stars in a match-play golf tournament from Las Vegas.

    There are also fresh episodes of “The Great British Baking Show” every Friday until its season finale Dec. 1.

    Who’s Netflix for? Fans of buzz-worthy original shows and movies.

    Play, pause or stop? Pause. “The Crown” and “The Great British Baking Show” are the top draws, but aside from those, there’s not a lot else to move the needle this month. However, if you can live with commercials, you can find value at $7.

    Paramount+ ($5.99 a month with ads, $11.99 a month with Showtime and no ads)

    Paramount+ has some interesting stuff in November. But is it enough to justify a subscription?

    “Lawmen: Bass Reeves” (Nov. 5), joins the streaming service’s extensive slate of shows produced by Taylor Sheridan, telling the story of one of the Wild West’s most overlooked real-life heroes: Bass Reeves (played by David Oyelowo), who was the first Black U.S. marshal west of the Mississippi and overcame countless hurdles in enforcing the law in the era of Reconstruction. A marksman with something like 3,000 arrests to his name, Reeves was purportedly the inspiration for the story of the Lone Ranger. Say what you will about Sheridan’s formulaic shows, but he knows how to make a good Western. This should be worth a watch.

    There’s also “The Curse“ (Nov. 10), an intriguing new Showtime series starring Nathan Fielder (“Nathan for You”) and Oscar-winner Emma Stone that puts a dark twist to an HGTV-like home-improvement show; and “Good Burger 2” (Nov. 22), a sequel to the 1997 cult-classic fast-food comedy starring Kenan Thompson and Kel Mitchell.

    On the sports side, Paramount has NFL football every Sunday, Big Ten and SEC college football every Saturday, and a full slate of UEFA Champions League soccer.

    Who’s Paramount+ for? Gen X cord-cutters who miss live sports and familiar Paramount Global 
    PARA,
    -0.74%
      broadcast and cable shows.

    Play, pause or stop? Pause. There’s decent value with a couple of promising new shows, especially when factoring in Paramount’s live sports and vast library of movies and network shows.

    Max ($9.99 a month with ads, $15.99 with no ads, or $19.99 ‘Ultimate’ with no ads)

    It’s a very skippable month for Max.

    The Warner Bros. Discovery 
    WBD,
    +1.41%
     streaming service only has a handful of new originals to offer, including Season 2 of Issa Rae’s hip-hop comedy “Rap Sh!t” (Nov. 19), as Shawna (Aida Osman) and Mia (KaMillion) come to a crossroads on their road to fame; Season 2 of the biographical drama “Julia” (Nov. 16), starring Sarah Lancashire as iconic chef Julia Child as she and her husband return from France and face new challenges; “Bookie” (Nov. 30), a new comedy from Chuck Lorre (“Big Bang Theory”) and Nick Bakay about an L.A. bookie looking for new angles as the potential legalization of sports gambling threatens to upend his shady business; and Rob Reiner’s documentary “Albert Brooks: Defending My Life” (Nov. 11), delving into the life of the comedy legend.

    Also: Here’s everything coming to Max in November 2023 — and what’s leaving

    There are also a ton of holiday-themed shows from Food Network, HGTV and OWN; live sports on its free (for now) Bleacher Report tier that includes NBA and NHL games, college basketball and U.S. men’s soccer (Nov. 16 and 20); and new episodes of “The Gilded Age” and “Last Week Tonight with John Oliver.”

    Who’s Max for? HBO fans and movie lovers. And now, unscripted TV fans too, with a slew of Discovery shows.

    Play, pause or stop? Stop. Max still has a great library, but the new offerings fall short. Even the ad tier isn’t worth it — try again another month.

    Amazon’s Prime Video ($14.99 a month, or $8.99 without Prime membership)

    “The Boys” spinoff “Gen V” ends its first season on Nov. 3, but fans of ultra-violent superheroes will be able to slide right into Season 2 of the hit animated series “Invincible” (Nov. 3), which returns to Prime Video after a two-and-a-half-year layoff. Based on the graphic novels by Robert Kirkman, Cory Walker and Ryan Ottley, the very adult series picks up with Mark (Steven Yeun) still reeling from the revelations about his superhero father (J.K. Simmons) at the end of Season 1, while a new villain (voiced by Sterling K. Brown) appears on the scene. Annoyingly, Season 2 will be split in two, with four episodes in November and another four coming in early 2024.

    More: What’s new on Amazon’s Prime Video and Freevee in November 2023

    Amazon’s
    AMZN,
    +2.94%
     streaming service also has “007: Road to a Million” (Nov. 10), an “Amazing Race”-like competition series hosted by Brian Cox where nine teams of two endure James Bond-inspired challenges around the globe to try to win a big cash prize, and “Twin Love” (Nov. 17), a reality dating show involving 10 sets of identical twins split into two houses.

    Who’s Prime Video for? Movie lovers, TV-series fans who value quality over quantity.

    Play, pause or stop? Stop. There’s no a compelling reason to start a relatively pricey subscription now. That even goes for “Invincible” fans, who would be better off waiting until the second half drops and bingeing when all episodes are available. Splitting up eight episodes is ridiculous.

    Disney+ ($7.99 a month with ads, $13.99 with no ads)

    Tim Allen returns for Season 2 of “The Santa Clauses” (Nov. 8), as the jolly one continues his search for a successor. Eric Stonestreet joins the cast as the exiled “Mad Santa,” along with Gabriel Iglesias as Kris Kringle and Tracey Morgan as the Easter Bunny (because, of course!).

    Meanwhile, Lil Rel Howry, Ludacris and Oscar Nunez star in the new family comedy movie “Dashing Through the Snow” (Nov. 17), and Danny Glover will play Santa in the Disney Channel original film “The Naughty Nine” (Nov. 23).

    In non-holiday fare, Disney has three upcoming Doctor Who specials celebrating the iconic sci-fi series’ 60th anniversary. The first, “Doctor Who: The Star Beast” (Nov. 25), reunites David Tennant and Catherine Tate, as the Doctor and Donna Noble battle the villainous Toymaker (Neil Patrick Harris), with the other two specials coming in December, when the 15th Doctor (Ncuti Gatwa of “Sex Education”) will be introduced.

    There’s also 2019’s “Spider-Man: Far From Home” (Nov. 3), and new episodes of “Loki” (finale Nov. 9), “Goosebumps” (finale Nov. 17) and “Dancing With the Stars.”

    Who’s Disney+ for? Families with kids, hardcore “Star Wars” and Marvel fans. For people not in those groups, Disney’s
    DIS,
    -0.64%
     library can be lacking.

    Play, pause or stop? Stop. After a recent price hike, there’s just not enough to justify a subscription (unless your kids will absolutely melt down without it).

    Peacock ($5.99 a month with ads, or $11.99 with no ads)

    It’s a pretty bleak month for Peacock originals, with only the reality dating spinoff “Love Island Games” (Nov. 1); “Please Don’t Destroy: The Treasure of Foggy Mountain” (Nov. 17), the first movie from the “SNL” comedy trio; and Season 2 of the Paris Hilton reality series “Paris in Love” (Nov. 30).

    It’s a bit brighter on the sports side, with Big Ten college basketball starting Nov. 6, Big Ten college football every Saturday, NFL Sunday Night Football and a full slate of English Premier League soccer, golf, motorsports and winter sports.

    And on Thanksgiving (Nov. 23), Peacock will stream the annual Macy’s Thanksgiving Day Parade, the National Dog Show and an NFL game, as the 49ers play the Seahawks.

    Who’s Peacock for? Live sports and next-day shows from Comcast’s 
    CMCSA,
    +1.28%
     NBCUniversal are the main draw, but there’s a good library of shows and movies.

    Play, pause or stop? Stop. The live-sports offerings are the only lure.

    Source link

  • CNBC Daily Open: Feeling of uncertainty is hard to shrug off for investors

    CNBC Daily Open: Feeling of uncertainty is hard to shrug off for investors

    Gold bars of different sizes lie in a safe on a table at the precious metals dealer Pro Aurum.

    Sven Hoppe | Picture Alliance | Getty Images

    This report is from today’s CNBC Daily Open, our new, international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Like what you see? You can subscribe here.

    What you need to know today

    Markets tumble
    The     Dow Jones Industrial Average closed nearly 300 points lower on Friday after a surge in the benchmark U.S. 10-year Treasury yield prompted broader concerns about the economy. Asia-Pacific markets started the week lower ahead of inflation readings from across the region, while gold hit a three-month high and gained for the second straight week amid fears of heightening conflict in the Middle East.

    Tesla clocks worst week of the year
    Tesla shares dropped more than 15% last week to close at $211.99 on Friday, marking the worst weekly performance for the stock this year as CEO Elon Musk sounded pessimistic about macroeconomic issues on a recent earnings call. Shares of the electric automaker are still up 96% year-to-date.

    Big earnings week
    Investors will be watching out for an action-packed week of earnings as companies including Microsoft, Meta Platforms, Amazon, Alphabet, General Motors and Ford among others gear up to post their quarterly results. The carmakers will be under the radar this week amid ongoing strikes and contract negotiations with the United Auto Workers union.

    X to launch new subscription tiers
    Owner Elon Musk said X, the social media service formerly known as Twitter, will launch two new tiers of subscriptions for users. One tier will be “lower cost with all features, but no reduction in ads,” while the other is “more expensive, but has no ads,” Musk said. 

    [PRO] The U.S. is trying to tighten the screws on Chinese AI
    The artificial intelligence behind ChatGPT-like products and autonomous driving is driving enormous demand for Nvidia’s chips in China. In the past week, however, analysts cut their Nvidia price targets after news the U.S. plans to ban the sale of more high-end semiconductors to China. Here’s what that means for stocks.

    The bottom line

    Rising Treasury yields, looming interest rate hikes to fight inflation and the heightening conflict in the Middle East drove investors away from risky assets last week.

    The yield on the benchmark 10-year Treasury crossed 5% for the first time since 2007 on Thursday, a level perceived by markets as a potential drag on the U.S. economy as it could translate to higher rates on mortgages, credit cards, auto loans and more.

    A move into safe-haven gold seemed like a sensible bet, given the worsening crisis in the Middle East. Gold was up 2.5% last week, recording its second consecutive weekly rise after adding 5.22% in the prior week.

    Investors are now bracing for a heavy week of earnings as Big Tech companies including Alphabet, Amazon, Meta and Microsoft will take centerstage.

    “We’re hopefully going to see some continued positive strength there on the economy and what they see going forward,” said Ryan Detrick, chief market strategist at Carson Group. “The headlines are scary, for sure. But the fundamentals to us are pretty strong. We’re still seeing earnings season that’s going to come in better than expected.”

    This will arrive after a mixed batch of earnings from behemoths like Tesla and Netflix last week. Tesla marked its biggest weekly decline after Elon Musk shared his pessimistic view on the macroeconomic landscape, while Netflix shares soared as markets cheered its new ad-tier subscription plan.

    Given the huge role advertisers and subscriptions play for the bottom lines of such firms, it was no surprise that Musk turned his attention to improving the usability of social media platform X, formerly known as Twitter.

    Musk said. X is gearing up to launch two new tiers of subscriptions for users, in hopes that it could improve the company’s finances and open new revenue streams. Musk’s sweeping changes across the company, including firing most of its employees and reinstating previously banned accounts, scared advertisers away.

    [ad_2]
    Source link

  • CNBC Daily Open: Investors can’t shake off the feeling of uncertainty

    CNBC Daily Open: Investors can’t shake off the feeling of uncertainty

    Traffic_analyzer | Istock | Getty Images

    This report is from today’s CNBC Daily Open, our new, international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Like what you see? You can subscribe here.

    What you need to know today

    Markets tumble
    The     Dow Jones Industrial Average closed nearly 300 points lower on Friday after a surge in the benchmark U.S. 10-year Treasury yield prompted broader concerns about the economy. Europe’s Stoxx 600 index ended at its lowest level since the start of the year, while gold hit a three-month high and gained for the second straight week amid fears of heightening conflict in the Middle East.

    Tesla clocks worst week of the year
    Tesla shares dropped more than 15% last week to close at $211.99 on Friday, marking the worst weekly performance for the stock this year as CEO Elon Musk sounded pessimistic about macroeconomic issues on a recent earnings call. Shares of the electric automaker are still up 96% year-to-date.

    Big earnings week
    Investors will be watching out for an action-packed week of earnings as companies including Microsoft, Meta Platforms, Amazon, Alphabet, General Motors and Ford among others gear up to post their quarterly results. The carmakers will be under the radar this week amid ongoing strikes and contract negotiations with the United Auto Workers union.

    X to launch new subscription tiers
    Owner Elon Musk said X, the social media service formerly known as Twitter, will launch two new tiers of subscriptions for users. One tier will be “lower cost with all features, but no reduction in ads,” while the other is “more expensive, but has no ads,” Musk said. 

    [PRO] Earnings playbook
    Big Tech takes center stage in what could be a make-or-break week for S&P 500 earnings. About 150 S&P 500 companies are slated to report, including Microsoft, Meta Platforms, Amazon and Alphabet. Those results come during a tough time for Wall Street, as higher rates and conflict in the Middle East rattle investor sentiment. Here’s how to trade a busy week of earnings.

    The bottom line

    Rising Treasury yields, looming interest rate hikes to fight inflation and the heightening conflict in the Middle East drove investors away from risky assets last week.

    The yield on the benchmark 10-year Treasury crossed 5% for the first time since 2007 on Thursday, a level perceived by markets as a potential drag on the U.S. economy as it could translate to higher rates on mortgages, credit cards, auto loans and more.

    A move into safe-haven gold seemed like a sensible bet, given the worsening crisis in the Middle East. Gold was up 2.5% last week, recording its second consecutive weekly rise after adding 5.22% in the prior week.

    Investors are now bracing for a heavy week of earnings as Big Tech companies including Alphabet, Amazon, Meta and Microsoft will take centerstage.

    “We’re hopefully going to see some continued positive strength there on the economy and what they see going forward,” said Ryan Detrick, chief market strategist at Carson Group. “The headlines are scary, for sure. But the fundamentals to us are pretty strong. We’re still seeing earnings season that’s going to come in better than expected.”

    This will arrive after a mixed batch of earnings from behemoths like Tesla and Netflix last week. Tesla marked its biggest weekly decline after Elon Musk shared his pessimistic view on the macroeconomic landscape, while Netflix shares soared as markets cheered its new ad-tier subscription plan.

    Given the huge role advertisers and subscriptions play for the bottom lines of such firms, it was no surprise that Musk turned his attention to improving the usability of social media platform X, formerly known as Twitter.

    Musk said. X is gearing up to launch two new tiers of subscriptions for users, in hopes that it could improve the company’s finances and open new revenue streams. Musk’s sweeping changes across the company, including firing most of its employees and reinstating previously banned accounts, scared advertisers away.

    [ad_2]
    Source link

  • Netflix profit beats expectations, ad-tier subscriptions rise

    Netflix profit beats expectations, ad-tier subscriptions rise

    Thomas Trutschel | Photothek | Getty Images

    LOS ANGELES — Netflix reported a boost in subscriber growth driven by a password-sharing crackdown efforts and interest in its new ad-supported tier.

    The streaming giant said after the market closed Wednesday that it had added 8.76 million global subscribers during the third quarter, higher than 5.49 million Wall Street had expected, according to estimates from Street Account. It’s the biggest quarterly net add total for the company since it added 10.1 million subscribers in the second quarter of 2020 – when Covid restrictions kept people home.

    Here are the results:

    • Earnings: $3.73 vs $3.49 per share expected, according to LSEG, formerly known as Refinitiv
    • Revenue: $8.54 billion vs $8.54 billion expected, according to LSEG
    • Total memberships expected: 247.15 million vs. 243.88 million expected, according to Street Account

    Netflix said that its ad plan membership grew nearly 70% quarter over quarter, although it did not disclose what percentage of its base is subscribed to this tier.

    Revenue in the third quarter rose to $8.54 billion from $7.93 billion a year earlier. Net income came in at $1.68 billion, or $3.73 per share, compared with $1.4 billion, or $3.10 per share.

    The results were the latest confirmation that Netflix rules the streaming world, as its would-be rivals scratch and claw to become profitable.

    Jim Cramer’s Investing Club shares what investors should listen for in a company’s earnings call

    The company’s dominance shows in its pricing power. Netflix said it is keeping its ad tier pricing at at $6.99 a month in the U.S. while its basic and premium services will see a price hike starting Wednesday. Netflix’s basic plan will now cost $11.99 (up from $9.99) and premium will be $22.99 a month (up from $19.99). Netflix’s standard plan will remain at $15.49 a month.

    The price increases come as the company seeks to improve its profitability and grapple with higher production costs.

    Read more: Netflix is leaning more into sports programming

    As part of its new deal with Hollywood’s writers, Netflix, alongside other members of the Alliance of Motion Picture and Television Producers, have agreed to higher wages and monetary benefits based on streaming popularity. The AMPTP has yet to finish negotiations with striking actors, but expectations are that costs for creating content will rise when a new contract is finalized.

    “We spent hours and hours with SAG-AFTRA over the last few weeks and we were actually very optimistic that we were making progress,” said co-CEO Ted Sarandos during the company’s taped earnings comments Wednesday. “But then at the very end of our last session together the guild presented this new demand on top of everything of a per subscriber levy, unrelated to viewing or success, and this really broke our momentum unfortunately.”

    Sarandos noted that Netflix and other members of the AMPTP remain committed to reaching an agreement with actors. It is unclear when negotiations will continue. Talks have been stalled for about a week.

    Representatives from SAG-AFTRA did not immediately respond to CNBC’s request for comment.

    The company forecast that revenue will jump 11% in the fourth quarter, reaching $8.69 billion, below Wall Street expectations of $8.77 billion. Netflix said it expects net subscriber adds will be similar to the third quarter.

    Stock Chart IconStock chart icon

    Netflix stock performance this year

    It warned that the strength of the U.S. dollar in recent months will result in a roughly $200 million drag on fourth-quarter revenue.

    As for Netflix’s profitability, the streamer now expects its full-year 2023 operating margin will be around 20%, the high end of its previous forecast range of 18% to 20%. It also said full-year 2024 should see operating margins of 22% to 23%.

    The company also addressed shareholder concern about its executive compensation model, telling investors that it would make “substantial changes” in 2024 to a more conventional model. Compensation will still be based on performance.

    Sarandos and former co-CEO Reed Hastings each took home more than $50 million in 2022. Hastings took most of his earnings in stock options, while Sarandos elected to have a $20 million base salary and the rest in stock.

    After Greg Peters was named co-CEO and Hastings stepped down, the company set a salary cap of $3 million for executives. However, they are still entitled to an annual target bonus and additional stock rewards.

    Don’t miss these CNBC PRO stories:

    Disclosure: Comcast is the parent company of NBCUniversal and CNBC. NBCUniversal is a member of the AMPTP.

    Source link

  • CNBC Daily Open: Earnings in full swing, Treasury yields hit new highs

    CNBC Daily Open: Earnings in full swing, Treasury yields hit new highs

    The Tesla Inc. Model Y electric vehicle during the launch in Kuala Lumpur, Malaysia, July 20, 2023.

    Samsul Said | Bloomberg | Getty Images

    This report is from today’s CNBC Daily Open, our new, international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Like what you see? You can subscribe here.

    What you need to know today

    Markets slide
    U.S. stock markets slid on Wednesday as earnings season picked up steam and Treasury yields touched multi-year highs — breaking above 4.9% for the first time since 2007. Asia markets started the day on the back foot, with stocks in Japan, South Korea and Hong Kong seeing falls of about 2% each by midday trading. Hong Kong-listed shares of Chinese EV makers also plunged Thursday morning after Tesla CEO Elon Musk delivered grim news on Tesla’s outlook overnight.

    Tesla misses on earnings  
    Tesla reported third-quarter results that missed expectations on both earnings and revenue for the first time since the second quarter of 2019. The electric vehicle maker reported adjusted earnings of 66 cents per share vs. 73 cents per share expected and revenue of $23.35 billion per share vs. $24.1 billion expected. Tesla’s total operating margin also came in significantly lower at 7.6%, from the year-ago quarter’s 17.2%.

    Netflix profit tops expectations
    Netflix’s password-sharing crackdown and its new ad-supported tier boosted subscriber growth in the third quarter. The streaming giant added 8.76 million global subscribers during the quarter, higher than expectations of 5.49 million and the most it’s added since the second quarter of 2020 – when Covid restrictions kept people at home. Its earnings came in at $3.73 per share, better than the $3.49 per share expected.

    iPhone 15 sales off to a slow start in China  
    A month after Apple’s iPhone 15 came out, analysts and investors are starting to see signs of slow demand in China versus last year. Sales of iPhone 15 models are down 4.5% for the first 17 days in Apple’s third largest market compared to last year, according to an estimate from Counterpoint Research.  

    [PRO] JPMorgan warns of rate cut impact on stocks
    JPMorgan Asset Management says cut in interest rates by the Federal Reserve next year would likely be bad news for U.S. equity investors. Stocks have typically rallied on multiple occasions over the past two years on any dovish signal from central bankers but JPMorgan believes Fed cuts in 2024 would likely coincide with declining corporate earnings, creating headwinds for stocks. Find out here where to invest.

    The bottom line

    U.S. stock markets closed out Wednesday with sweeping declines. The yield on the benchmark 10-year Treasury hit 4.908%, rising above 4.9% for the first time since 2007 as investors scoured economic data for clues on the Federal Reserve’s interest rate trajectory.

    Housing starts rose in September, but at a slower-than-expected rate, according to data released Wednesday. Building permits fell last month, but less than economists anticipated. This arrives a day after consumers showed surprising strength in September, boosting retail sales well above expectations.

    Traders are still expecting an over 85% chance that the Fed will hold its rates steady when it announces its next monetary decision on Nov. 1, but the retail sales figure has given way to some bets of another hike in December.

    Markets seemingly have no dearth of catalysts this week as earnings season gathers steam. Tesla missed third-quarter expectations on both profit and revenue. Netflix’s password-sharing crackdown efforts along with interest in its new ad-supported tier set its quarter up for success.  

    Netflix’s results also showed that the streaming giant is back on track. Just in April 2022, it had reported a loss of 200,000 subscribers. Turns out, a cheaper advertising tier — a product Netflix hoped would appeal to those who had shared passwords — helped the company add more subscribers. Of course, not as much as it did during the throes of the Covid-19 lockdowns but a step in the right direction.

    More lies ahead for investors who will focus on Federal Reserve Chair Jerome Powell’s speech at noon ET. “Powell is always tacking back to whatever helps feed the narrative that they need to stay vigilant, and for understandable reasons,” said Luke Tilley, chief economist at Wilmington Trust.

    He is expected to assure markets the central bank is committed to its fight against inflation, but maybe this time with a little less force.

    [ad_2]
    Source link

  • CNBC Daily Open: Earnings season in full swing, Treasury yields at multi-year highs

    CNBC Daily Open: Earnings season in full swing, Treasury yields at multi-year highs

    People walk near the New York Stock Exchange on July 18, 2023 in New York City

    View Press | Corbis News | Getty Images

    This report is from today’s CNBC Daily Open, our new, international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Like what you see? You can subscribe here.

    What you need to know today

    Markets slide
    U.S. stock markets slid on Wednesday as earnings season picked up steam and Treasury yields touched multi-year highs — the 10-year U.S. Treasury yield broke above 4.9% for the first time since 2007. The pan-European Stoxx 600 index closed 1% lower, with much of the attention on UK inflation data. U.K. inflation came in at 6.7% in September, slightly ahead of expectations and unchanged from the previous month.

    Tesla misses on earnings  
    Tesla reported third-quarter results that missed expectations on both earnings and revenue for the first time since the second quarter of 2019. The electric vehicle maker reported adjusted earnings of 66 cents per share vs. 73 cents per share expected and revenue of $23.35 billion per share vs. $24.1 billion expected. Tesla’s total operating margin also came in significantly lower at 7.6%, from the year-ago quarter’s 17.2%.

    Netflix profit tops expectations
    Netflix’s password-sharing crackdown and its new ad-supported tier boosted subscriber growth in the third quarter. The streaming giant added 8.76 million global subscribers during the quarter, higher than expectations of 5.49 million and the most it’s added since the second quarter of 2020 – when Covid restrictions kept people at home. Its earnings came in at $3.73 per share, better than the $3.49 per share expected.

    iPhone 15 sales off to a slow start in China  
    A month after Apple’s iPhone 15 came out, analysts and investors are starting to see signs of slow demand in China versus last year. Sales of iPhone 15 models are down 4.5% for the first 17 days in Apple’s third largest market compared to last year, according to an estimate from Counterpoint Research.  

    [PRO] Morgan Stanley’s top China video game stock  
    Morgan Stanley is calling this China stock a global video game “powerhouse” with a 40% upside. In the past decade, the company has increased its game revenue tenfold and tripled its market share in China from 8% to 9% in 2013 to 2014, to 24% by the end of 2023.

    The bottom line

    U.S. stock markets closed out Wednesday with sweeping declines. The yield on the benchmark 10-year Treasury hit 4.908%, rising above 4.9% for the first time since 2007 as investors scoured economic data for clues on the Federal Reserve’s interest rate trajectory.

    Housing starts rose in September, but at a slower-than-expected rate, according to data released Wednesday. Building permits fell last month, but less than economists anticipated. This arrives a day after consumers showed surprising strength in September, boosting retail sales well above expectations.

    Traders are still expecting an over 85% chance that the Fed will hold its rates steady when it announces its next monetary decision on Nov. 1, but the retail sales figure has given way to some bets of another hike in December.

    Markets seemingly have no dearth of catalysts this week as earnings season gathers steam. Tesla missed third-quarter expectations on both profit and revenue. Netflix’s password-sharing crackdown efforts along with interest in its new ad-supported tier set its quarter up for success.  

    Netflix’s results also showed that the streaming giant is back on track. Just in April 2022, it had reported a loss of 200,000 subscribers. Turns out, a cheaper advertising tier — a product Netflix hoped would appeal to those who had shared passwords — helped the company add more subscribers. Of course, not as much as it did during the throes of the Covid-19 lockdowns but a step in the right direction.

    More lies ahead for investors who will focus on Federal Reserve Chair Jerome Powell’s speech at noon ET. “Powell is always tacking back to whatever helps feed the narrative that they need to stay vigilant, and for understandable reasons,” said Luke Tilley, chief economist at Wilmington Trust.

    He is expected to assure markets the central bank is committed to its fight against inflation, but maybe this time with a little less force.

    [ad_2]
    Source link

  • Wall Street’s Q3 expectations have been all over the place. Now, a swing to profit growth is ‘likely’ — with a bigger rebound next year

    Wall Street’s Q3 expectations have been all over the place. Now, a swing to profit growth is ‘likely’ — with a bigger rebound next year

    Wall Street spent much of this year getting more tepid on third-quarter corporate profits, with expectations for subdued growth giving way to expectations for a slight decline.

    But after results from a handful of companies soundly beat estimates in recent days, one analyst who tracks the ebbs and flows of earnings data says at least a slight profit gain for the quarter is more likely — with potentially double-digit percentage growth next year.

    FactSet Senior Earnings Analyst John Butters, in a report out Friday, said that of the 32 companies in the S&P 500 Index
    SPX
    that reported third-quarter results through Friday, 84% have reported per-share profits that were above Wall Street’s expectations, and he said they were beating those expectations by a greater degree than usual.

    The index collectively, so far, was putting up a third-quarter earnings growth rate of 0.4% — compared to estimates on Oct. 6 for a 0.3% decline. Most companies, he said, tend to turn in earnings results that beat estimates.

    “Based on the average improvement in the earnings growth rate during the earnings season, the index will likely report year-over-year growth in earnings or more than 0.4% for Q3,” he said.

    That assessment follows quarterly results from big companies like JPMorgan Chase & Co. and Delta Air Lines, Inc.. Both the bank and the airline reported better-than-expected profits. JPMorgan
    JPM,
    +1.50%
    Chief Executive Jamie Dimon said U.S. consumers and businesses “generally remain healthy,” despite thinning pandemic-era savings, while Delta
    DAL,
    -2.99%
    pointed to enduring “robust” travel demand.

    More broadly, the quarter will be a look at how customers are faring amid still-high prices, an approaching holiday season and borrowing costs that could stay higher for longer. Recession pessimism has shown signs of easing. But Citigroup Inc.’s chief financial officer, Mark Mason, said on Friday that the bank expected a soft economic landing with a “mild recession” in the first half of 2024. However, he said such an outcome was “hard to call,” amid a strong job market.

    Financial forecasts tend to fluctuate as analysts digest real-life financial data. For now, they expect S&P 500 index earnings growth of 7.6% for the fourth quarter, and 0.9% for 2023 overall, according to FactSet. Next year, at the moment, looks better, with expected earnings growth of 12.2%.

    This week in earnings

    More names from the financial sector will report in the week ahead, following results from JPMorgan, Citigroup
    C,
    -0.24%
    and Wells Fargo & Co.
    WFC,
    +3.07%    .
    Reports from Morgan Stanley
    MS,
    -0.03%
    and Goldman Sachs Group Inc.
    GS,
    -0.18%
    will offer more context on deal-making and market sentiment, while earnings from credit-card giants Discover Financial Services
    DFS,
    -1.47%
    and American Express
    AXP,
    -0.12%
    will get more granular on customer spending.

    More airlines, like United Airlines Holdings Inc.
    UAL,
    -2.76%
    and American Airlines Group Inc.
    AAL,
    -2.82%    ,
    will also report, providing more detail on whether revenge travel still has any life left. Earnings are also due from Johnson & Johnson
    JNJ,
    +0.33%
    and AT&T Inc.
    T,
    -0.62%    .

    In total 55 S&P 500 companies total will report quarterly results this week, including five from the Dow, according to FactSet.

    The call to put on your calendar

    Has Netflix become a utility? Hollywood’s writers will start returning to work, while talks with actors and studios have stalled. But the TV-and-film production limbo hasn’t been the only headache for streaming platform Netflix Inc., which reports quarterly results on Wednesday. The company will report amid greater pressure to boost profits, as the entertainment industry tries to find its footing in the streaming era. Ahead of the results, Wolfe Research analyst Peter Supino recently expressed concern that Netflix’s
    NFLX,
    -1.53%
    ad-supported plan was slow to catch on with viewers. Bernstein analysts likened the company to a mature, durable “utility.” But they also compared the stock to a long-running TV show that, while still good, might be starting to bore its audience. Executives will be hoping for better a better reception from investors.

    The number to watch

    Tesla margins: When EV maker Tesla Inc. reports results on Wednesday, it will be “all about margins,” Deepwater Asset Management’s Gene Munster said in note recently. Those results, and the focus on margins, will follow price cuts, and questions over profit growth and enthusiasm for Tesla’s
    TSLA,
    -2.99%
    new Cybertruck. And Morgan Stanley analyst Adam Jonas, in a research note, said the year ahead could be “volatile.”

    Source link

  • Jim Cramer’s top 10 things to watch in the stock market Friday

    Jim Cramer’s top 10 things to watch in the stock market Friday

    My top 10 things to watch Friday, Oct. 13

    1. U.S. stocks edge up in premarket trading Friday, with the S&P 500 rising 0.3% and the Nasdaq Composite inching up 0.7%, keeping both indices on track for weekly gains. Bond yields pull back slightly, with that of the 10-year Treasury just below 4.6%. Oil prices, meanwhile, surge by more than 4%, as West Texas Intermediate crude reaches for $87 a barrel.

    2. Bank of America reiterates Club holding Nvidia (NVDA) as a “top pick” following a product-line update around its graphics processing unit (GPU) accelerator. The firm also reiterates a $650-per-share price target and buy rating on Nvidia shares.

    3. KeyBanc raises its price target on Club name Palo Alto Networks (PANW) to $315 a share, up from $300, while maintaining an overweight rating on the stock. The firm cites the cyber company’s ability to be a “long-term consolidator of security.”

    4. KeyBanc also raises its price target on Club holding Alphabet (GOOGL) to $155 a share, up from $145, while maintaining an overweight rating on shares. The firm notes a slight improvement in the ad market moving into the fourth quarter, along with strength in retail and e-commerce.

    5. Club name Wells Fargo (WFC) on Friday delivers a third-quarter beat, as earnings season gets underway. The bank “benefited from higher rates and the investments we are making in our businesses,” according to Wells Fargo CEO Charlie Scharf.

    6. JPMorgan Chase‘s (JPM) third-quarter profit surges 35% year-over-year, to $13.15 billion, as the bank beats analysts’ expectations on earnings and revenue. The firm generates more interest income than expected, while credit costs come in lower than expected.

    7. Barclays lowers its price target on General Motors (GM) to $42 a share, down from $46, while maintaining a hold-equivalent rating on shares. The firm cites weak investor sentiment, saying third-quarter results for automakers “could be a buy-the-news quarter.”

    8. Wolfe Research downgrades Netflix (NFLX) to a neutral-equivalent rating, from outperform, without a price target. The firm predicts a future shortfall in gross ads.

    9. Mizuho says it likes the risk-reward on Club name Meta Platforms (META) going into earnings season, with the tech giant’s advertising-revenue growth tracking ahead of consensus. The firm reiterates a buy rating on Meta stock and a $400-per-share price target.

    10. JPMorgan initiates coverage on Post Holdings (POST) with an overweight rating and $100-per-share price target. The bank says the maker of cereal and pet foods generates strong cash flow that could help it reduce debt and buy back stock over the next two years.

    Sign up for my Top 10 Morning Thoughts on the Market email newsletter for free.

    (See here for a full list of the stocks at Jim Cramer’s Charitable Trust.)

    As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade.

    THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY, TOGETHER WITH OUR DISCLAIMER.  NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB.  NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.

    Source link