NFLX announces stock split, other

APRIL 13TH 2015: UPDATE: A few observations worthy of consideration:

  1. NFLX announces a stock split—well, sort of. On Friday the news was everywhere that NFLX (the stock was around $460) announced a stock split. I’ve gone to several sites and cannot find the details. What is reported is that, in advance of a stock split announcement, the company took their authorized shares to 5 Billion (5,000,000,000), up from 170,000,000. This is right out of Stock Split Strategy #1 (Pre-Announcement).
  2. What will it be? Will NFLX do a 2:1, a 5:1 or even a 10:1 split? Who knows? Visa (V) just did a 4:1 split. Apple (AAPL) did a 7:1 a few months ago. Ross Stores (ROST) just announced a 2:1 split, as did Starbucks (SBUX). My guess is the NFLX will do a 5:1 to a 10:1 split. It’s just a guess, but all of the new authorized stock gives them some latitude. Stay Tuned. On, the stock was up about $30 today, and a big firm put a $565 price target on NFLX. Netflix news is everywhere.
  3. The market is now heading into earnings season. Already companies are posting earnings. This is the news that drives stocks up and down.
  4. A report just came out that 20% of Americans paid 84% of all income taxes. The top 20% of earners make $134,000 plus per year.
  5. Look at GERN as a potential Covered Call Stock.


Stock MarketWade Cook