Netflix, Inc. (NASDAQ: NFLX)
Netflix is having an overwhelmingly strong start to the trading session today. When the opening bell rang, the stock was in the green. However, it quickly made a run for the red. Nonetheless, minutes ago, a story broke that led to a big spike in value. Below, we'll talk about what we're seeing, why, and what we'll be watching for with regard to NFLX ahead.
What We're Seeing From NFLX
As mentioned above, Netflix is having a relatively strong start to the trading session today. After starting the day off in the green, the stock quickly started moving toward and into the red. However, minutes ago, things changed in a big way as the stock started to spike. At the moment (9:55), NFLX is trading at $131.09 per share after a gain of $0.14 per share (0.11%) thus far today.
Why The Stock Is Spiking
As is the case most of the time, our partners at Trade Ideas were the first to inform us of the gains on NFLX. As soon as they did, the CNA Finance team started working to see what we could dig up as the cause for the gains. In this case, it didn't take long to uncover the story. It seems as though the gains are the result of acquisition hopes.
Through our search, we quickly found ourselves reading a Dealreporter report. According to the outlet, Facebook may be making a move on Netflix relatively soon. Now, there has been no confirmation from either side, but a FB acquisition of NFLX wouldn't be surprising. Nonetheless, it's important to keep in mind that at the moment, this is nothing more than a rumor.
What We'll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on NFLX. In particular, we'll be watching to see if there is any validity to the rumor. After all, if it proves to be true, investors will likely receive a strong return of value. We'll be watching the story closely and bringing the news to you as it breaks!
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