15 Apr

Disney Bets on Netflix Customers

WRITTEN BY Ruchi Gupta

Could Disney be prepping for a price war with Netflix?

Walt Disney’s (DIS) highly anticipated streaming video service, Disney Plus, is set to arrive on November 12. The company has said at an investor meeting that the service is set to cost $7 per month in the United States.

Disney has carefully priced Disney Plus, suggesting the company is preparing for a price war. Reuters has reported that the $7 monthly price is lower than the $7.50 analysts expected, and about half the cost of Netflix’s most popular plan. In January, Netflix hiked prices across its service tiers, boosting its standard plan’s cost by 18% to $13 per month.

Disney Bets on Netflix Customers

Disney aiming for 90 million subscribers in five years

Disney appears to be betting that Netflix customers feeling frustrated by price hikes will embrace its Disney Plus service. Disney Plus is part of Disney’s response to cord-cutting, a practice that continues to deteriorate pay-TV companies’ customer base—last year, Comcast (CMCSA) lost ~370,000 pay-TV subscribers, and Charter Communications (CHTR) lost 244,000.

Dish Network (DISH) and AT&T (T) have also responded to cord-cutting by launching their own Netflix competitors, SlingTV and DIRECTV Now, respectively. In Disney’s fiscal first quarter (ended December), its revenue fell slightly year-over-year to $15.3 billion.

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The SPDR Gold Shares ETF (GLD), which tracks physical gold prices, has underperformed the broader markets year-to-date, rising just 4.4% compared to the S&P 500’s (SPY) gain of 15.9% as of June 14. The sentiment for gold, however, has been turning around.

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Lululemon (LULU) stock rose 2.1% on June 13 in reaction to better-than-expected first-quarter results and an upgraded outlook for fiscal 2019 overall. The company's first-quarter adjusted EPS grew 34.5% to $0.74 on revenue growth of 20.4% to $782.32 million. Analysts had expected EPS of $0.70 and revenue of $755.31 million. Here's why the outlook got an upgrade.

14 Jun

IEA Again Slashes Its Oil Demand Growth Estimate

WRITTEN BY Rabindra Samanta

As of 4:40 AM Eastern Time today, US crude oil active futures were at $51.83, ~4% below their closing level in the previous week. If US crude oil prices stay at those levels today, they'll mark their third week of decline in five weeks.

Amazon is discontinuing its Amazon Restaurants service, which has been delivering food for restaurants in parts of the United States. Amazon Restaurants launched in the United States in 2015 and entered the British market the following year. However, it met strong opposition in the British market.

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