NFLX is a reasonable deal: nearly halved, ~30% below five-year average and below sector PEG average. Slowing growth (13% to 11.7% next) and competition are offset by 33% margins, over $4B quarterly operating income, ~$12.5B FCF and ad/live/venue growth; it still ranks third behind more diversified peers like Meta.

Okay, now we move on to the second purchase , which is in the consumer entertainment sector , specifically to one of the biggest names in this field, the undisputed king of live streaming , Netflix (its stock symbol is NFLX), where Trump acquired shares worth up to five million dollars.

Incidentally, in these disclosures, they are only required to state the price ranges of individual purchase transactions as they are completed. So, I say "up to a certain amount" because it's just a price range, and we don't know the exact figure.

In any case, if we look at the Netflix stock chart , we will notice that it went through a rough period during the past year, losing about half of its value from its highest levels.

This decline in sales, I believe, is due to concerns about a slowdown in its revenue growth. For example, in the last quarter, sales grew by 13%, but future projections indicate that growth will slow to 11.7% in the next quarter, its weakest growth rate in about three years.

Furthermore, investors were concerned about reports of stagnant subscriber engagement and intensifying competition to attract viewers, as is the case with YouTube and other platforms.

Recent news has been somewhat negative for Netflix, with the company announcing the layoff of about 1,000 employees in an effort to reduce costs. So, what does trying to reduce costs mean? Is the company facing any difficulties?

I think Trump, and perhaps some other investors who hold a different view, are studying this decline very closely. While most other tech giants spend hundreds of billions of dollars on data centers, straining their cash flow in the near term, it may surprise you that Netflix is generating increasing profits over time . It's a great achievement.

In the last quarter alone, the company generated more than $4 billion in operating income, with excellent operating profit margins of 33%. Management expects to generate net free cash flow of approximately $12.5 billion for the full year.

This is completely contrary to what we have been used to in the past regarding Netflix, which was considered its biggest criticism. Now, this turns into a huge advantage for the company, given its amazing profitability.

In addition, the company is launching new growth engines outside of core subscriptions. For example, sales of ad-supported subscription packages are expected to nearly double to $3 billion this year.

They are expanding aggressively into premium live events, having even booked broadcasting rights to major NFL games, important boxing matches , and even WWE wrestling shows. They are also opening physical entertainment venues, including " Netflix House," and other activities they undertake to build long- term loyalty, especially since Netflix is a widely known brand.

Many people subscribe to Netflix, and it has a huge subscriber base . They strive to foster long-term customer loyalty.

As a result, analysts expect their income to continue growing at sharp rates in the future. However, with the share price nearly halved , the company's valuation is now a rare opportunity, at about 30% below the average share price over the past five years , and even below the sector average based on price-to-growth ratio ( PEG).

Now, to get the world's leading live streaming giant at such a low price, I actually think it's a reasonable deal. However, since I still prefer other companies that are more diversified and also have a presence in the live streaming field , I will give clear preference to Meta in our rankings.

Therefore, Netflix currently occupies the third position on our list, right after Meta.

Therefore, I think I would put it in fourth place, right after Netflix,