Frank Underwood may think democracy is overrated, but Netflix is loving the numbers coming in for the second season of House of Cards. If you haven’t seen the first episode, you may want to avoid pretty much every entertainment site in existence. Released on Valentine’s Day, Netflix offered up the second season for its subscribers’ binge-viewing pleasure.
Can we please have the same setup for True Detective HBO? You’re killing me with the whole ‘wait till next Sunday’.
According to broadband technology firm, Procera, 16% of Netflix users watched at least one episode of the series over the weekend. This is based on one unspecified cable provider, so the numbers could be even larger depending on which company released numbers.
Compared to last year, on a similar sized network, the number was 2%. Procera called the increase ‘massive’. It is safe to say Netflix took the right bet on giving House of Cards the nod for a third season. Underwood didn’t have to twist any arms or push anyone to get them in front of the TV.
Ahead of the debut, NFLX shares hit an all-time of $439.49 on Thursday. With the markets closed today, the stock will have to wait till tomorrow for investors to react to today’s news. Company shares are up 130% in the last year.
A couple of 13Fs out on Friday show some profit taking in the stock. Carl Icahn reduced his holdings in the stock, as did hedge fund Blue Ridge.
There are some concerns for Netflix moving forward. The net neutrality is a big one. The FCC has to decide on how it will react to the setback, and if it will classify ISPs as common carriers. Also, the Comcast deal has serious antitrust concerns with its attempt to snatch up Time Warner Cable.
Original content is going to get more expensive heading forward. Amazon and Google are jumping deeper into the pool. Netflix is accessing the debt market to fund global and original content expansion.
Subscriber growth continues to push forward, and there’s plenty of room to grow in the U.S. and internationally. The company will just have to contend with various headwinds moving forward.