Headline:
Proudly Issuing Low Cost Debt [Thank You Central Bankers/Planners] For The Opportunity To Generate Negative Free Cash Flow.
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IF THE CAPITAL MARKETS [Junk Rated “B” Debt] WERE EVER RELUCTANT TO FUND NFLX, FOR WHATEVER REASON, THEN THEIR CURRENT BUSINESS MODEL IS AT GREAT RISK…AS GROWTH OF CONTENT COSTS SERIALLY EXCEEDS GROWTH OF REVENUES.
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EV = $93.14B [Equity + Net Debt]
EBITDA = $760M [Forward 12 Month Run Rate]
EV/EBITDA = 121.3X
For Now…The Only Metric That Matters = User Growth = Subsidized By Junk Bond Market Financing + Net Neutrality.
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Article by GlobalSlant
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