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Netflix, Inc. (NASDAQ:NFLX) To Go For Big (Stock) Break

Written by on June 10, 2015

Seemingly, Netflix, Inc. (NASDAQ:NFLX) can do no wrong. Today brings news that Netflix investors have given the go-ahead to a big increase in the number of shares the company is authorized to issue, which may well be the first step toward a stock split.

And that has inevitably led to a rise in Netflix’s share price today. The stock is up more than 5% already today.

Netflix now has approval to raise its share authorization by almost 30 times — from 170 million to 5 billion.

 

Netflix shares have been on a tear on all-round positive sentiment but it may well be wise to pause and take a realistic look at the future prospects of the company.

Sure, when Apple shares were near the $700 mark, the company went for a 7:1 stock split. But Apple makes desirable products.

Netflix is just a streaming service provider with growing competition.

The longer analysis of Netflix’s stock price is here.