Netflix Shares Soar After Surpassing 200 Million Users and Amazon Rises Amid Joe Biden’s Inauguration
On Wednesday, shares of Netflix skyrocketed, closing up nearly 17%. Shares of the media company soared after its latest earnings report.
According to its earnings report, Netflix surpassed 200 million users for the first time. The pandemic has fueled Netflix’s user growth as consumers forgo the movie theaters and opt to consume content at home instead.
Tuesday, Netflix says it expects to be cash-flow neutral in 2021 and cash-flow positive each year after 2021. The company also said it would consider stock buybacks, the process of buying back its own shares from the market.
Shares of Netflix are up over 79% in the past 12 months.
Shares of Amazon closed up 4.57% on Wednesday after a massive tech rally. The Nasdaq Composite closed up 1.97%.
Investors appear to view President Joe Biden’s inauguration as a bullish sign for stocks, especially tech stocks. Investors expect Biden to ease tensions with China and push more fiscal stimulus, accelerating an economic rebound in the second half of 2021.
In a letter to President Biden, Amazon has offered to help the newly inaugurated president distribute the COVID-19 vaccine in the United States.
Shares of Amazon are up over 72% in the past 12 months.
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