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Plunge Continues for Netflix Share Prices — Total Drop Since Price Hike Is Alarming, and Analysts Are Skeptical About the Qwikster Move

Sep 21, 2011  •  Post A Comment

The once-high flying Netflix saw its shares lose another 9.4% of their value Tuesday, on the heels of Chief Executive Reed Hastings’ blog post apologizing for an earlier fee hike and announcing another unpopular decision to split the company’s streaming and DVD-rental business, reports Deadline.com.

Netflix has now lost an alarming 55% of its value since July 11, the day before it bumped its subscription price by 60% for people buying both services, the story notes.

Some analysts are downgrading the shares and giving poor marks to Netflix’s management decisions, the story adds. Lazard Capital Markets’ Barton Crockett, who is neutral on the shares, said the decision to rename the company’s DVD-rental business Qwikster is a "stumble," the story says.

To read TVWeek Open Mic blogger Chuck Ross’ rant about Netflix’s latest move, please click here.

2 Comments

  1. Are those people at Netflix smoking crack? I can’t recall any business doing anything this stupid since the Edsel.

  2. Yes they are all smoking crack and Reed Hastings drives an Edsel.
    His marketing people are let out from the home only on weekends and the meetings are now held in vacant Enron buildings

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