Despite launching new programming that included star-studded movies like “Red Notice” and “Don’t Look Up” and a new season of “The Witcher,” the company also offered a weaker-than-expected forecast for early 2022. , as their rivals ignited a dispute over television viewers.
The bad combination between the weak rise in subscribers and the reduction in expectations for 2022 generated a collapse in the shares of the streaming company that fell 21.8% this Friday on Wall Street and accumulated a decline of more than 24% in the week.
The stock market crash was closely watched by Bill Ackman, a historical investor and fund manager in charge of Pershing Square Capital Management, who decided to advance in the purchase of 3.1 million shares of the technology company.
For the acquisition of the Netflix papers, Ackman disbursed a total of US $ 1,100 million and became one of the 20 largest shareholders of the largest streaming service in the world.
The novelty was announced by the millionaire himself to those who make up his investment fund: “The opportunity to acquire Netflix at an attractive valuation arose as investors reacted negatively to last quarter’s subscriber growth and management’s short-term guidance.”
In addition, he expressed his admiration for Netflix “as consumers and as investors, but we have never had a stake in the company before.”
“Netflix is one of the main beneficiaries of the growth of streaming and the decline of linear TV driven by its superior customer experience, a large and diverse amount of excellent and constantly updated content, global improvements in bandwidth and the proliferation and continuous improvement and comfort of the devices in which it can be seen”, said the investor.
As he explained, one of the reasons why he decided to invest in the company is precisely the number of subscribers, which for Ackman provides “enormous potential for future growth.”
Source From: Ambito
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