Description: Shares of Netflix tumbled after Morgan Stanley downgraded the stock due to fears of increased competition and that investors have unreasonably high expectations for subscriber gains.

Source: CNNMoney.com – video report

Date: Jan 07, 2014

Link: http://money.cnn.com/video/investing/2014/01/07/investing-the-buzz-netflix-streaming-house-of-cards-dvds-amazon-prime-hulu-hbo-go.cnnmoney/index.html

Questions for Discussions:

• Summarize the reasons for the downgrade.
• Do you think Netflix will remain overvalued like Amazon?