Investing and finance thread

[MightyGiants]

Yeah - Netflix took a beating lately thanks to an overly skittish market that tends to overreact to every little thing. Netflix will bounce back as it is a strong company. In general, the whole market is crazy. Companies with 2X earnings over past year go down, another company still in the red goes up. A story comes out on a company and the stock goes up like a rocket (then sells off) or sinks like a rock in a pond. It's been an interesting year so far. Crazy times - especially the tech and energy market.

Ric,

I am not so sure about Netflix. I mean I have been a Netflix customer since back in the day of the red envelopes containing DVDs.  The thing is while Netflix has developed its own content it still was about content from other providers.   As these other streaming services popped up the offerings that Netflix could give have shrunk.  I mean Britbox and Acorn have taken the British TV.   CBS and Paramount studios have their own offering.  Same with NBC.   Disney took back their content along with Star Wars and the Marvel Universe.   HBO Max has its offerings plus all of Adult Swim and DC Universe offerings.   The amount of content available to Netflix has greatly diminished and I doubt this situation will get better any time soon.

Plus there are the "mistakes" Netflix has made.  They raise prices too high pissing off customers and no doubt triggering cancelations.   Netflix also is quick to cancel its own series which doesn't make people who invest in the series all that happy (plus once it's canceled it reduces the value of their own offering).   

In the end, part of the price of Netflix involved growth, and moving forward I struggle to see where Netflix will find that growth.    Streaming services are pretty much a no-moat business so being first doesn't mean you will be the best or the biggest.

[DaveBrown74]

Solid current NY Times article about Netflix:

https://www.nytimes.com/2022/04/29/business/netflix-stock-market-earnings.html

[Bill Brown]

It is amazing how much television programming is out there for free. Pluto,Tubi and all the apps that come with a smart TV or firestick or roku etc I could almost get by without paying for any paying streaming service.

I currently pay for Netflix (which I would probably cancel if not for the bride) Hulu+ which I enjoy very much. But I used to have Spectrum cable service and canceled it and went with Hulu and that save me a lot.

I am a television junkie.

Bill

[MightyGiants]

Are people holding the line on your investments or are you bailing (or buying) in this market downturn?

[Jolly Blue Giant]

Are people holding the line on your investments or are you bailing (or buying) in this market downturn?

Not bailing, not buying...just holding my nose and crossing my fingers in hopes that the market rebounds soon 

[Bob In PA]

I agree with Jolly precisely... but IT DEPENDS what type of stocks you're holding (if any) and IMO more importantly what percent of the maximum amount of money you're willing to invest is already invested.

For example, someone "caught" with only 20% of their funds in the market during this (or any) drop is in a radically different position from a person who still has 80 percent of his fund invested.

And of course, it depends on your age and how long- or short-term your horizon is until you will want to "cash out" and spend the money.

Bob

[gregf]

Before my mom passed away, I had her money conservatively invested.  When the pandemic hit. It allowed me to buy during the downturn and get a nice return as her money never lost value during the drop. She had little to work with so it had to be safe investments.
    Now for myself, I considered squirelling away 20% of my 401k for bad times like this,to just allow the market to swing and pull from safe money. However,  since 50% of my retirement income will come from pension, I am all in for the swings, for better or worse.  I just don't know enough to time it all- who does. I'm playing the long game of 5 to 10 year average returns. So Im standing still.
      Any crypto currency investors?    That's a scary area these days. 
     

Sent from my SM-A516U using Tapatalk

[Bob In PA]

Before my mom passed away, I had her money conservatively invested.  When the pandemic hit. It allowed me to buy during the downturn and get a nice return as her money never lost value during the drop. She had little to work with so it had to be safe investments.
    Now for myself, I considered squirelling away 20% of my 401k for bad times like this,to just allow the market to swing and pull from safe money. However,  since 50% of my retirement income will come from pension, I am all in for the swings, for better or worse.  I just don't know enough to time it all- who does. I'm playing the long game of 5 to 10 year average returns. So Im standing still.
      Any crypto currency investors?    That's a scary area these days. 
     

Sent from my SM-A516U using Tapatalk

greg: Two thoughts, for what they're worth (which IMO is probably not much):

(1) cryptocurrency - I can't imagine owning something that only exists theoretically, which I can't hold in my hand, and which only 10 people in the world can explain correctly.  In addition to that thought, there is this:

(2) Eventually, the scum in Washington known collectively as politicians will come to you younger people (probably after I'm long gone) with the bright idea to get stop using paper money and replace it with some form of electronic accounts.  Don't buy into it, now matter WHO stands behind that idea.  How much "money" will you have - and how can you spend it - if the power goes out?

Bob

[MightyGiants]

greg: Two thoughts, for what they're worth (which IMO is probably not much):

(1) cryptocurrency - I can't imagine owning something that only exists theoretically, which I can't hold in my hand, and which only 10 people in the world can explain correctly.  In addition to that thought, there is this:

(2) Eventually, the scum in Washington known collectively as politicians will come to you younger people (probably after I'm long gone) with the bright idea to get stop using paper money and replace it with some form of electronic accounts.  Don't buy into it, now matter WHO stands behind that idea.  How much "money" will you have - and how can you spend it - if the power goes out?

Bob

LOL! Bob, I can picture one of your ancestors giving a similar speech about not trusting that new fangled paper money and that gold is the only thing you can trust 

[Jolly Blue Giant]

greg: Two thoughts, for what they're worth (which IMO is probably not much):

(1) cryptocurrency - I can't imagine owning something that only exists theoretically, which I can't hold in my hand, and which only 10 people in the world can explain correctly.  In addition to that thought, there is this:

(2) Eventually, the scum in Washington known collectively as politicians will come to you younger people (probably after I'm long gone) with the bright idea to get stop using paper money and replace it with some form of electronic accounts.  Don't buy into it, now matter WHO stands behind that idea.  How much "money" will you have - and how can you spend it - if the power goes out?

Bob

I consider myself above average intelligence based only on my scholastic averages at three different colleges (even graduated Cum Laude) and I was a math and statistics major and computer programming minor before switching to engineering major

With that - now that I'm through patting myself on my own back, I have tried to explain cryptocurrency to my best friend Bob (also a graduate of Binghamton Univ. and top of his class) because he can't figure it out and has researched it for an incredibly long time. After an hour or so comparing each other's notes and opinions on the concept, we both came away unable to even begin to figure it out. Your description "something that only exists theoretically" is my exact same view (and my friend Bob's). When I read it's the "new gold" because it has a "limited quantity" doesn't mean anything to me because it never existed in the first place. Even more confusing are NFTs

Regardless, I dabbled in crypto about a year ago in the stock market - made some money - got out and refused to invest anything in crypto, pharmaceutical, or marijuana companies about 6 or 7 months ago. Judging by the market since then, it was the right choice. Take for an example my first buy in my initial portfolio - VFF (Village Farms International)...I bought a 1,000 dollars worth of that stock at 5.19 and sold it when it hit 16.00 even though it continued to climb, It now sells for 3.13  And that's a company that is well run, growing, and profitable with a cash cow of the largest grower of tomatoes, green beans, and cucumbers in the world. It went on a runaway when they added growing pot to their business model. And now the stock is a penny stock 

[Bob In PA]

LOL! Bob, I can picture one of your ancestors giving a similar speech about not trusting that new fangled paper money and that gold is the only thing you can trust 

Rich: If you think that didn't occur to me AS I wrote the post, you're wrong. LOL... but the other side of my brain replied: "yeah, but if the electricity goes off I'll still have EITHER my paper or my bar of gold in my hand." Bob

[Bob In PA]

LOL! Bob, I can picture one of your ancestors giving a similar speech about not trusting that new fangled paper money and that gold is the only thing you can trust 

Rich: Upon further consideration, I want to point out in a separate post that IMO directing your humorous remark (which was aimed at "an ancestor of" mine rather than at me) was TRULY INSPIRED!!! 

It conjured up the image of Fred Flintstone or Alley Oop (a reference probably obscure to most of our members) or some other cave-man cartoon character... with your words in the bubble above the guy's head.

One of your best 10 posts ever... too bad it's back here where not everyone visits.

Bob

[MightyGiants]

Rich: Upon further consideration, I want to point out in a separate post that IMO directing your humorous remark at "an ancestor of" mine rather than at me was TRULY INSPIRED!!! 

It conjured up the image of Fred Flintstone or Alley Oop (a reference probably obscure to most of our members) or some other cave-man cartoon character... with your words in the bubble above the guy's head.

One of your best 10 posts ever... too bad it's back here where not everyone visits.

Bob

when you go shopping, take note of how most stores are dependent on electricity to "ring you up".  The items are scanned and the "register" (more like a computer) adds up all the costs of the items (which often don't even have individual price tags). The register even tells them how much change to give the customer)  Do you think most stores will have people with pen and paper adding up your items (assuming they can tell how much each item costs) and calculating your change?   It's not likely to happen in all but the small mom-and-pop-type stores (that are rapidly vanishing).

Hell, young people, today are often cash-free counting on phone apps and credit/debit cards for all their transactions.    It's the wave of the future.  I will also tell you that in the midst of the massive power failures in NJ during Sandy the internet was still up and running and even cell coverage (while degraded) still existed at least for the better carriers.   Funny thing about the internet.   Its roots were from DARPA (the "D" stands for defense) and the internet was built to withstand war or even smaller scale nuclear attack.  It's very very hardy. 

[Bob In PA]

when you go shopping, take note of how most stores are dependent on electricity to "ring you up".  The items are scanned and the "register" (more like a computer) adds up all the costs of the items (which often don't even have individual price tags). The register even tells them how much change to give the customer)  Do you think most stores will have people with pen and paper adding up your items (assuming they can tell how much each item costs) and calculating your change?   It's not likely to happen in all but the small mom-and-pop-type stores (that are rapidly vanishing).

Hell, young people, today are often cash-free counting on phone apps and credit/debit cards for all their transactions.    It's the wave of the future.  I will also tell you that in the midst of the massive power failures in NJ during Sandy the internet was still up and running and even cell coverage (while degraded) still existed at least for the better carriers.   Funny thing about the internet.   Its roots were from DARPA (the "D" stands for defense) and the internet was built to withstand war or even smaller scale nuclear attack.  It's very very hardy.

Rich: Yes, in addition (or maybe just to "second" your thoughts) I worry that people will lose the ability to do basic tasks, and if the power "goes out" the entire economy will collapse... solely for that reason.  Bob

[Jolly Blue Giant]

Rich: Yes, in addition (or maybe just to "second" your thoughts) I worry that people will lose the ability to do basic tasks, and if the power "goes out" the entire economy will collapse... solely for that reason.  Bob

Yeah, I can't count the times I give a kid cashier some loose change in order to relieve my pocket of change and even it out to simple bills and they look at me like I'm from outer space. I gave a kid a 10.00 bill and 23 cents change to pay for an item that was 5.23. Expecting a 5.00 bill back, he gave me back 4 dollar bills, 77 cents change then handed me the 23 cents I gave him and told me I overpaid so here's this back. So I gave all the change that added up to a dollar and 4 one dollar bills and asked for a 5.00 bill, for which he carefully counted out and gave me the fiver..LOL Can't imagine the kid's reaction if I asked for a sawbuck or a Jackson

And asking them to count it out backwards is a joke unless the cashier is an older lady or gentleman. Really need to do a better job in our high schools teaching kids about money and finance. Reminds me of the funny meme where a guy thanks his school for teaching him trigonometry instead of finance and taxes...he says it comes in really handy during trigonometry season

Regardless, we all rely on electronic funding, but that isn't the same thing as crypto by any stretch of the imagination