improvisation in the key of life

Tuesday, April 18, 2006

is there a phone ringing? (NFLX)

I'm still figuring out how to reorganize my onbloging life. i'm considering multiple blogs with a single gateway, such as a table of contents front page with various 'contents' like Apple Observations, house fixeruppering. i go back and forth on whether i should split out technology into investing and industry stuff or overall economics blogs or what? specialization versus differentiation, with you the reader in mind.
anyway, until then all mail stops here. this weekend my brother-in-law's family said they have heard nothing but good things about netflix, and were planning on switching (they always have a stack of blockbuster movies on the TV when we drop by). Also, my mother-in-law has been a long time digital cable VOD payperview customer, this all started because she asked if netflix is "easy" because she wants to switch.
i started going "long" on netflix a year ago, when we started a netflix account. the product that they sell is a compelling product and i see it in a lot of friend's houses. there's an annual meeting in los gatos in a month or so, i'm going to put that on my google calendar... On My To Do List (before going 'longer')
look at the fundamentals of the company. how much they make, how many customers they have what's the rate of increase?
how much do they make per customer. what's their debt level (i know this one is zero), what is their earnings growth quarterly and yearly? How much are they making on the advertising that they put in the tear-off part of the DVD mailer?

they don't have options, at least when i go to and type in 'NFLX'.

market cap is 1.6 billion and that is sort of like the "Y" on an equation:
Y = big function

the big function is all that stuff up there, debt and customer impressions, etc

1.6billion = Known and Unknown factors that effect the company

is it in equilibrium? or not... that's where opportunity lives



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