Netflix (NFLX) is making a major push into live content today as it airs the first episode of TKO Group’s (TKO) WWE Raw. The live stream starts at 8:00 p.m. Eastern Time and is part of a 10-year streaming agreement between the two companies. That includes 52 episodes of Raw a year and other live events, such as Smackdown and Wrestlemania. The two plan to expand WWE’s global appeal through NFLX’s reach.
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This is a true test of Netflix’s live stream plans as it features more frequent content than what the company is used to. However, it’s not the first as the streaming service has offered live NFL games and boxing matches in the past. Granted, some of those streams didn’t go over well as Netflix was unable to handle the large number of viewers. Hopefully, that’s sorted out before WWE brings its more than 1 billion online fans to the streaming service.
What This Means for NFLX Stock
Netflix securing WWE content is a huge win for the streaming service as it cements it as an alternative to traditional television. In fact, this deal swiped WWE content from Comcast’s (CMCSA) USA Network. That came after years of cable companies attempting to curb cord-cutters from switching to streaming services, or at least using their own.
Netflix shares are up 1.05% as of Monday morning as investors await the debut of Raw on the service later today. The past year has been good for the streaming company with shares of NFLX stock up 81.65% during that time and live stream plans could continue these gains.
Is NFLX Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for Netflix is Moderate Buy based on 22 Buy, 11 Hold, and two Sell ratings over the last three months. With that comes an average price target of $883.21, a high of $1,100, and a low of $550. This represents a potential 0.67% downside for NFLX shares.
