Alternative data: Netflix outperform in Q3 2019
We saw the shift in Netflix $NFLX from the past quarter using key events that took place during 3Q. The streaming-video pioneer beat subscription estimates thanks to growth in countries like Brazil and India. The third season of Stranger Things helped drive business, drawing a record 64 million households.
In total, more than 6 million new viewers signed up last quarter. Barely 500,000 of them were in the U.S.
To track Netflix’s core events, we use big data and NLP technology to search and extract key events that have a positive or negative effect on the company’s performance. Each event was scored based on our model which indicates the direction (positive or negative) and duration (long/short term).
Netflix’ event-driven score cross the 0.5 mark tougered the bullish side on Oct 03, this indicate the shift from the bearish teritury to the bullish side. On longer trend view, the event-driven trend line is steering towards a down trend which indicate a bearish teritory in the near future. This, will be supported by the increasing compatetion from Netflix reviels.
Apple TV and Disney are two highly anticipated streaming platforms that are going to shake up the space next month. Specifically Disney, with its massive library of content that they have been accumulating for years and the firm’s savvy acquisitions that have all been leading up this digital streaming product.
The following table contain key events from the 3Q 2019 which lmpact Netflix operational and financial performance
|Date & Time (GMT)||Feed_category||Entity||Symbol||Sector||Industry||Market||Headquarters||Event category||Event sub-category||Title||Event-driven score|
|10/16/2019 22:20||Stocks bullish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Sales||Sales growth||Netflix Rallies After Overseas Growth Eases Investor Worries||0.78|
|10/16/2019 21:59||Stocks bullish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Earnings||Q3 Earnings Beat||Netflix Trades Higher After Q3 Earnings Beat, Subscriber Growth - Benzinga||0.8|
|10/16/2019 21:50||Stocks bullish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Demand||Strong demand||Netflix spikes 11% after global subscriber growth blows away forecasts (NFLX)||0.75|
|10/4/2019 18:43||Stocks bullish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Sales||Users Growth||Shares of Netflix up on subscriber growth overseas||0.68|
|10/4/2019 18:41||Stocks bearish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Sales||Increasing competition||Disney bans ads from Netflix ahead of streaming launch: WSJ https://www.reuters.com/article/us-walt-disney-netflix-idUSKBN1WJ1UF?utm_campaign=trueAnthem%3A+Trending+Content&utm_content=5d977730de67360001fdc1c2&utm_medium=trueAnthem&utm_source=twitter …pic.twitter.com/9Xe6O2251B||0.38|
|10/3/2019 9:12||Stocks bearish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Regulatory||Regulations Hit||Italy prosecutors open Netflix tax evasion investigation: source||0.3|
|10/3/2019 7:59||Stocks bullish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Fees||Product price raises||Netflix raises prices ahead of Apple TV+ and Disney+ launches - Canstar Blue||0.68|
|9/20/2019 22:02||Stocks bearish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Sales||Sales growth slows||Netflix shares fall after analyst predicts slowdown in mobile app downloads and CEO admits 'tough competition' from Apple, Disney coming - CNBC||0.35|
|9/20/2019 17:01||Stocks bearish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Sales||Increasing competition||Netflix Stock Slumps After Its CEO Warns ‘Tough Competition’ Is Coming From Disney, Apple - Barron's||0.38|
|9/18/2019 5:59||Stocks bearish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||ESG||Social||Smart TVs sending sensitive user data to Netflix and Facebook||0.3|
|9/16/2019 18:20||Stocks bullish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||New deal||New deal||Netflix Acquires 'Seinfeld' Streaming Rights After Losing 'Friends' and 'The Office' - The Daily Beast||0.7|
|9/11/2019 2:40||Stocks bullish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||New deal||New deal||Netflix Strikes Supply Deal With Karan Johar’s Dharmatic Entertainment - Variety||0.68|
|7/23/2019 15:49||Stocks bearish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Legal||Investor lawsuit||Netflix Target of Shareholder Lawsuits After Q2 Subscriber Shortfall - Variety||0.25|
|7/17/2019 22:09||Stocks bearish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Revenue||Stagnant revenue growth||Netflix just missed hard on the only number that matters — international subscriber growth https://cnb.cx/32zATJK||0.38|
|7/17/2019 22:01||Stocks bearish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Price changes||Share price down||Netflix Shares Fall Following Q2 Earnings - Benzinga||0.35|
|7/17/2019 21:39||Stocks bullish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||EPS||Q2 EPS Beat||EARNINGS: Netflix Q2 EPS $0.60 vs. $0.56 Est.; Q2 Revs. $4.92B vs. $4.93B Est. • $NFLX plunges 6% after-hours https://www.cnbc.com/2019/07/17/netflix-earnings-q2-2019.html …pic.twitter.com/zlUdqx97Rf||0.8|
|7/17/2019 21:19||Stocks bearish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Forecast||Lower forecast||Netflix adds fewer-than-expected subscribers in second quarter||0.2|
|7/17/2019 21:19||Stocks bearish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Sales||Users decline||Netflix stock drops more than 10% as earnings show huge drop in new subscribers||0.15|
|7/12/2019 10:10||Stocks bullish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Management change||New CMO||Netflix taps BBC Studios’ Jackie Lee-Joe as marketing chief||0.6|
|7/11/2019 21:54||Stocks bullish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Profits||profits rise||Netflix's Price Hikes to Help Cash Flow Heading Into Earnings, Stifel Says||0.75|
|6/20/2019 10:25||Stocks bullish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Fees||Product price raises||Netflix confirms price hike for Irish customers has come into effect - Siliconrepublic.com||0.68|
|6/12/2019 23:25||Stocks bullish||Netflix||NFLX||Communication Services||Media - Diversified||US||US||Products||New products||Netflix is unveiling new video games based on its shows https://bloom.bg/2Iagi6B||0.7|
In today’s noisy environment, it is essential to have a bigger and clearer picture of companies and countries financial activities by being able to collect, structure, and reveal important events in order the capture alpha.
Using big data and NLP technologies to capture alpha by collecting, structuring, and revealing events from news articles, press releases, and financial social media.
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