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Are These The Best Streaming Stocks To Buy Today?
Even as pandemic conditions continue to improve, streaming stocks remain one of the most active stocks on the stock market. For starters, some of 2020’s top stocks overall were streaming stocks. This is thanks to countless consumers turning to video streaming services as a means of entertainment while homebound. Now, investors may be wondering if streaming stocks can continue to perform as pandemic restrictions loosen. If anything, pandemic tailwinds only accelerated the current cord-cutting trends that were present pre-pandemic. As this trend continues, albeit at a more moderate pace moving forward, are streaming stocks still worth investing in?
Well, for the most part, streaming services offer a variety of advantages over traditional cable television. Primarily, streaming services offer more curated content libraries to consumers at a fraction of the price. On top of that, streaming platforms offer commercial-free experiences as well. Some would argue that cord-cutting amongst consumers is likely inevitable thanks to the streaming industry’s current advantages. For investors, big names such as FuboTV (NYSE: FUBO) and Roku (NASDAQ: ROKU) continue to post sizable gains over the past year. Both companies’ shares are now sitting on gains of over 140% in that time. If all this has you keen on adding some streaming stocks to your portfolio, here are four to know on the stock market today.
Streaming Stocks To Watch Before May 2021
Scienjoy Holding Corp.
Scienjoy is a leading live streaming video entertainment social platform in China. Boasting over 200 million registered users, Scienjoy operates three primary online live streaming brands with their respective websites and mobile apps. Namely, they are Showself, Lehai, and Haixiu. The company operates a mobile live streaming business by which it provides live streaming entertainment from professional broadcasters to end-users. SJ stock has risen by over 16% this morning and currently trades at $11.31 as of 10:08 a.m. ET. Investors seem to be responding to news that the company released today.
In detail, the company announced that it has officially launched Non-Fungible Tokens (NFT) on its live-streaming platforms. The announcement follows the company’s strategic partnership with Snipp Interactive Inc. a global provider of digital marketing promotions and loyalty solutions. This collaboration would create a new loyalty and rewards system that enables live streaming broadcasters to mint NFTs.
Combining NFT technology with Scienjoy’s other core platform technologies of big data augmented reality, and AI will create new monetization opportunities. Ultimately, this would open up many future areas for the growth and development of the company. Given all this, will you consider adding SJ stock to your watchlist?
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Spotify Technology SA
Spotify is a company that offers digital music streaming services. In brief, it has an impressive 345 million monthly active users (MAU) and over 155 million subscribers globally. The company also has a jaw-dropping library of over 70 million tracks that can be streamed in 178 markets. SPOT stock currently trades at $286.00 as of 10:14 a.m. ET and has doubled in valuation in the last year. Spotify will be announcing its first-quarter financials on Wednesday before the market opens. How will investors respond in light of its first-quarter results?
The company ended 2020 with a strong fourth-quarter performance as it delivered substantial MAU growth and also subscriber additions that exceeded its guidance. Spotify also reported $2.61 billion in total revenue, a 17% increase year-over-year. Gross profit for the quarter was a cool $694 million. Impressively, the company also exceeded its guidance. Notably, it saw an acceleration of users who engage with podcast content and also an increase in ad-supported MAUs. Spotify also ended the year with $89.3 million in cash. Given all of this, is SPOT stock worth watching?
Walt Disney Co.
Disney is a multinational mass media and entertainment conglomerate that is headquartered in California. Specifically, the company’s streaming service is Disney+ which primarily distributes films and television series is in focus today. Its premium streaming service has dedicated content hubs for Disney, Pixar, Marvel, Star Wars, and National Geographic. Star Wars and Marvel are some of its biggest IPs and have very strong brand loyalty among its users. DIS stock currently trades at $183.65 as of 10:20 a.m. ET.
In February, the company reported its first-quarter earnings for fiscal 2021. Total revenue for the quarter was $16.24 billion. Its total segment operating income was $1.33 billion. The company’s direct-to-consumer revenues for the quarter increased by 73% to $3.5 billion. Evidently, the improvement in Disney+ was driven by an increase in subscribers. This marks the ongoing expansion of Disney+ as it continues to increase in additional markets. Also, as the vaccination rollout carries out, Disney continues its reopening efforts for its Disney World theme parks. All things considered, is DIS stock worth adding to your portfolio?
Last but not least, we have streaming industry pioneer Netflix. Despite several key contenders emerging in recent years, few can boast a portfolio as impressive as Netflix’s. From numerous blockbuster movies to a growing list of award-winning self-produced series, Netflix brings a lot to the table. Not to mention, Netflix also signed a deal with Sony (NYSE: SONY), securing the upcoming Spider-Man film for its platform next year. Given its current paying customer base of over 208 million subscribers, Netflix remains a juggernaut in the streaming industry. However, investors appear to be reacting to Netflix’s latest subscriber growth figures which took a breather on improving pandemic conditions. As a result, NFLX stock is down by over 3% year-to-date. Could now be the time to buy on the dip?
Well, JPMorgan (NYSE: JPM) analyst, Doug Anmuth appears to believe so. Just last week, the analyst reiterated a buy rating on NFLX stock with a price target of $600. Notably, Anmuth argues that Netflix’s core metrics such as engagement per household and retention rates remain on the uptrend year-over-year. Analyst coverage aside, Netflix also continues to provide quality content. Over the weekend, the company received 7 awards at the Oscars, doubling its current total. All in all, Netflix continues to perform on the operational front and could benefit from continued cord-cutting trends. Could all this make NFLX stock worth watching right now?