Netflix, Inc. (NASDAQ:NFLX) is planning to expand its customer base outside the US and experts are now predicting a high rate of acceptance and growth for the streaming service in the Europe. Bezinga quoted Pacific Crest’s Andy Hargreaves in an article and said that Netflix, Inc. (NASDAQ:NFLX) will grow its non US subscriber base at a rate of 20% faster than the expectations of Wall Street. Netflix, Inc. (NASDAQ:NFLX) is expanding in Europe in the second half of the year and there is a massive potential for the company because of smaller competition and growing demand for streaming.
According to the article, Netflix, Inc. (NASDAQ:NFLX)’s domestic customer base went up by 26% to 31.7 million, whereas it had 9.7 million customers internationally, up by 134%, by the end of 2013. In addition, the number of international customers went up to 13.8 million by the middle of 2014.
According to Hargreaves, Wall Street is eyeing for less than five million new customers this year for Netflix, Inc. (NASDAQ:NFLX) internationally, but the estimate he is setting for the company is about six million new international customers. The article also cited a report by IHS which says that Netflix, Inc. (NASDAQ:NFLX) will add five to six million subscribers by the end of this year, and might reach around eight million new subscribers by 2018.
Hargreaves has an ‘Outperform’ rating for Netflix, Inc. (NASDAQ:NFLX)’s stock, with the price target reaching $530 per share.
Netflix, Inc. (NASDAQ:NFLX) is planning to launch its service in France, Germany, Austria, Switzerland and Belgium. Aside from these markets, the company has been already operating in the UK, Ireland, Denmark, Finland, Norway, Sweden and the Netherlands.
Carl Icahn‘s Icahn Capital LP is one of the shareholders of Netflix, Inc. (NASDAQ:NFLX), owning around 1.7 million shares of the company.
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