Netflix-building

Netflix Stock Price Rises on Rumors of Disney Acquisition

by Paige Albiniak  |  10.04.2016

Netflix’s closely-watched share price has been up this week as rumors swirled that The Walt Disney Co. is considering acquiring the over-the-top streaming company.

At the end of the day on Tuesday, Netflix’s stock closed at $102.34 per share, down from its short-term high of $104.44 but up over $100 per share to its highest levels since May. Netflix split its stock seven ways in June 2015, with each split share being worth about $100. At one point, the stock hit a high of $133.27, but of late it has rarely climbed past $100.

The rumors started when Robert W. Baird analyst Will Power wrote in a note that Disney, Apple or another firm might be interested in acquiring Netflix, which has a market cap of more than $44 billion, meaning that any company interested in acquiring it would need deep pockets. Rumors aside, Netflix itself does not seem particularly interested in being acquired.

Disney, which owns Marvel, has become a main supplier to Netflix, creating several Marvel-based shows for the service, including Daredevil, Jessica Jones, the just-premiered Luke Cage and the upcoming Iron Fist.

Netflix also just began airing Disney movies, for which the service has exclusive subscription streaming rights. The deal includes new titles from Disney-owned Marvel, Pixar and Lucasfilm, such as The Avengers, Iron Man and Star Wars: The Force Awakens.

Rumors also have been swirling that Disney is kicking the tires at Twitter. Disney made a major investment in the streaming market with its $1 billion investment in a 33% stake in Major League Baseball’s BAM Tech unit in August.

Netflix’s next earnings report comes out Oct. 17.

READ MORE: Bloomberg, Variety

Tags:   Netflix Disney
← Back

New from Daily Brief

Brett Ratner Comes on Board PromaxBDA: The Conference 2017 as Keynote Speaker
Joins previously announced keynote speakers, including Justin Simien, creator of Netflix’s "Dear White People"; The Black List’s Franklin Leonard; "Master of None"’s Lena Waithe; Viceland President and GM Guy Slattery; E!’s and Esquire President Adam Stotsky and many more.
‘Claws’ Brings New Meaning to a Trip to the Nail Salon
“Who do you think we are? Some multi-ethnic steel magnolia trash from Palmetto?”
‘Sunday Night with Megyn Kelly’ Promises ‘Sharp, Strong Journalism’
NBC debuted first promo for host’s news magazine show premiering in June.
HOT SPOT: IFC Raps
With help from creative agency Dutch Toast, IFC showcases its favorite rappers-turned-actors in all-day marathon.
Life Moves on Without Rayna James on CMT’s ‘Nashville’
Connie Britton may be gone, but all the drama is not.
First Look at Epix’s ‘Get Shorty’
Dark comedy is reimagined with Chris O’Dowd and Ray Romano.
Jun 5
The Conference 2017
Jun 8
PromaxBDA Promotion, Marketing and Design North America Awards 2017
Jun 8
PromaxBDA Promotion, Marketing and Design Global Excellence Awards 2017
Jun 19
Station Summit 2017
Jun 22
The PromaxBDA Awards at Station Summit
FG|PG Advertisement Power Your Career Advertisement