News of effective vaccine’s from Moderna and Pfizer are bolstering hopes of a rapid (2021) economic recovery. As a result, growth stocks (like tech) are being sold and value (recovery names) are being bought.
Netflix stock has surged over $100 the past few months – as the “stay-at-home trade” resonated with investors.
But how much good news was already priced into the stock?
Too much in my view.
Today we learned the streaming leader missed earnings by ~20% – making it the stocks biggest miss since going public ten years ago.
Netflix has been a stay-at-home darling… until this week. The stock fell almost 7% on weaker subscriber numbers. Will this set the tone for other tech earnings – where the bar is high
