Yahoo Finance’s Ines Ferre joins the Live show to discuss the dip among stay-at-home stocks.
Netflix (NASDAQ: NFLX) shareholders lost ground to a falling market on Tuesday as shares dropped 5% by 11 a.m. EDT compared to a 2.3% slump in the S&P 500. Netflix stock was caught in a wider move away from tech stocks and growth stocks, but the drop was also powered by unwelcome news from Best Buy (NYSE: BBY). Best Buy said before the market opened that first-quarter sales trends were weaker than management had expected in the Q1 period that ended on May 1.
Shares of Netflix (NASDAQ: NFLX) performed exceptionally well in the last decade, but a lot has changed in recent years. Netflix pioneered the streaming industry, and in the early days, the company had very few direct competitors. To turn its subscriber numbers in the right direction again, Netflix can rely on a tried-and-true strategy that has served it well over the years: original content.