Tom Reese/Paul Rubillo, Dividend.com
Netflx (NFLX) shares are up 14% so far today, after the dvd rental company reported profits rose 45% to $22.7 million, or 38 cents a share, up from $15.7 million, or 23 cents a share in the same period last year.
The company added 718,000 customers in the final three months of 2008, which gives the company just under 9.4 million customers through December, a 26 percent gain from 2007. The company's revenue rose 19 percent to $360 million, beating consensus estimates of $354 million.
The Bottom Line
It appears that Netflix is beginning to distinguish itself as another company in the internet space that can ride through these recessionary times in good shape. The stock is about $6 below all-time highs. If the stock does pull back at all, we see the $27 area as a potential area to watch. We do not currently rate this stock, but it is a name we are going to add to our internet gauge watchlist.
Netflix (NFLX) does not currently pay a dividend.
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