The devastation wrought by the coronavirus pandemic hasn’t affected all industries equally. As luxury shopping struggles, grocery stores and streaming services are well-positioned to not only stay afloat, but overachieve; in particular, Netflix is faring especially well, as outlined by Forbes.
By midday on April 16, Netflix’s stock climbed 5%, hitting a record high of approximately $427 USD per share. Thanks to the self-isolation period resulting from the near-global quarantine, viewership and new subscriptions have spiked, analysts report. Netflix is now worth $194 billion USD on paper, with a $50 billion USD market bump from 2020 alone. This positions it just above Disney, now situated at approximately $184 billion USD, down from $258 billion USD at the end of 2019.
Though Disney+ seems like an equal match to Netflix, the streaming service is only one branch of the Disney empire, which is dependent on tourism, merchandise and film productions to turn a profit. Meanwhile, Netflix is also implementing a production delay during the pandemic, but its breadth of backlogged programming means that it has plenty of new TV shows and movies to roll out even during a standstill.
The delay also allows the company to stockpile revenue, since it’s not being used for content creation — however, over $100 million USD has been pledged to support employees affected by the production standstill.
Bolstering its lead over the House of Mouse, Netflix has plenty of high-profile entertainment to premiere in April, including a Tiger King follow-up filmed via webcam and Chicago Bulls documentary The Last Dance.