Netflix Shares Jump on Report It Hiked U.S. Monthly Subscription Fee
By Sam Boughedda
Investing.com — Shares of Netflix Inc (NASDAQ:NFLX) rose 3% to $534.93 after a report by Reuters said the streaming service has raised its monthly subscription price in the United States.
According to Reuters, the company has increased the monthly fee by $1 to $2 depending on the plan to help fund new programming. The standard plan is said to be rising to $15.49 per month, up from $13.99.
The news is a welcome boost to Netflix shares which have dropped 17.9% in the last three months.
The monthly price in Canada will rise to C$16.49 from C$14.99, the report said.
Reuters cited a Netflix spokesperson as saying: "We’re updating our prices so that we can continue to offer a wide variety of quality entertainment options. As always we offer a range of plans so members can pick a price that works for their budget."
Before the opening bell on Friday, UBS analyst John Hodulik lowered Netflix's price target to $690 from $720 as he believes fourth quarter net subscription adds will likely come in below guidance.
Related Articles
Netflix Shares Jump on Report It Hiked U.S. Monthly Subscription Fee
U.S. households can order 4 free COVID-19 tests starting Jan. 19 -White House
U.S. stocks mixed at close of trade; Dow Jones Industrial Average down 0.56%