- Netflix shares rose to a high of $413 per share for 52 weeks on Monday and are the highest gainer during the lockdown period.
After the government declared the lockdown time, OTT platforms were gaining significant popularity as people were staying and relying on platforms to entertain themselves. In the entire lockdown era, the OTT streaming industry has seen a growing curve both in demand and benefit. The streaming giant Netflix has been the biggest OTT gainer in the entire quarantine era, amongst others. Also, the demand for streaming services is expected to grow further as the government extended the lockdown period for another 19 days to neutralize the Coronavirus threat.
Netflix shares rose to a high of $413 per share for 52 weeks on Monday, before closing at $396.72 per share.
To date, Netflix stock is up more than 22 percent year, while the broader S&P 500 is down 14.26 percent year-to-date and down 25 percent from its high. The Dow Jones Industrial Average dropped by 1.37%, while the S&P 500 dropped by 1.01%. Upon the jump of Netflix, the Nasdaq Composite rose 0.48 percent.
Surprisingly, over the entire lockdown period, Hotstar, which is one of the most requested OTT platforms, posted a 30 percent drop in total session time. The main reason behind the decrease is the platform’s numerous user libraries. Moreover, the absence of sporting events, which is Hotstar’s main USP, was discontinued due to the COVID-19 outbreak, which further reduced the platform’s overall session time. It is expected, however, that Hotstar will maintain demand with the launch of Disney+ in India, as the service has attracted eight million subscribers only after the launch.
Though the demand for Amazon is slightly inclined towards the negative side, the steaming platform witnessed 83% more daily average users (DAU) in the lockdown period. Also, the platform is pushing out some of the premium shows for its users to make sure they have an entertaining quarantine period.