2023-10-06 11:54:29 ET
Media companies have been hard-pressed to make a profit from streaming video. But there's one company in the space that's already immensely profitable and should see a substantial profit bump next year.
Netflix (NASDAQ: NFLX) generated $2.8 billion in net income through the first six months of 2023, while practically all of its peers are losing money. Its operating margin of 21.6% represents a step back from 2022, but its margins are set to see significant expansion next year, led by a planned price increase .
Netflix's price increase shows confidence from management that it can produce meaningful operating leverage in 2024, boosting its bottom line. Here's what it means for investors.
For further details see:
1 Streaming Video Stock With Profits Poised to Explode in 2024. Time to Buy?