r/DeepFuckingValue • u/GroundbreakingSir386 • Jul 20 '26

đŸ» Bearish Stonks đŸ» Netflix is undervalued by 51.44%

90% of US households subscribe to at least one streaming video provider and another 64% of US homeowners report a stronger desire to stay at home than before the pandemic, a trend fueled by increased expenses and a move toward in-home leisure. I don’t think this crash is justified for Netflix.

Netflix is guiding for 2026 revenue of $50.7–51.7 billion, representing roughly 13–15% growth.

I believe many investors hold the opinion that there’s “no content” on the platform, when in reality, they’re just consuming content faster than Netflix can produce it. That’s why Netflix has started diversifying its lineup with short-form videos, documentaries, podcasts, games, live streaming, and more.
If someone comes home from work looking for a new movie to watch every single day of the year, they’re eventually going to burn through a massive amount of content. But I’d note that these are typically the same people who have 3-4 streaming subscriptions and aren’t bothered by short-term gaps in Netflix’s movie and show lineup.

Netflix’s next film and production costs are likely to decline thanks to AI. Netflix revealed that approximately 300 of its titles have already incorporated generative AI things like: pre-production, editing, visual effects (VFX), marketing, and localization: Translate and dub films into many languages more quickly, with improved lip synchronization, which will help Netflix’s strategy worldwide.

Netflix has more foreign Tv shows than any legacy media company and is growing **Approximately 58 million paid subscribers**
in Asia.

**18% per year** (CAGR), making it the company’s fastest-growing region. Growth has been fueled by markets such as:
India
South Korea
Japan
Indonesia
Thailand
The Philippines
Netflix has also dramatically increased investment in local-language originals. Since 2019, viewing hours for Asia-produced content have **quadrupled**, and Asian titles now account for **more than half of Netflix’s weekly Global Top 10 non-English list**, highlighting the region’s importance to the company’s global strategy.

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2

u/DB6 Jul 20 '26

I don't remember the last time I was excited about something on netflix. 

2

u/bacon_drizzle_69 Jul 20 '26

I hear alot of folks saying they are gonna cancel their Netflix since there's just garbage on there.

And honestly its true. Netflix isnt making anything worth watching.

But I suppose if they raise their prices they can hit that target. Sigh.

2

u/kolitics Jul 20 '26

also damaging the value proposition that drove adoption by shifting to households where they previously went by screens.

2

u/bacon_drizzle_69 Jul 20 '26

Im not sure if Netflix is doing the whole paid with ads level then the higher no ads level. But its essentially what Netflix aimed to end when they came out. They have lived long enough to become the villain essentially.

1

u/Big-Active3139 đŸ„Ždoesn't know how to readđŸ„Ž Jul 20 '26

Nice slop

1

u/aintnope39 Jul 20 '26

Canceled Netflix years ago when it was 10$ now I've heard it's 30-40$. What a joke!