NFLX now has a p/e of about 17 after this drop. It was trading at ridiculous multiples over the past couple years that were not justifiable given its growth prospects. Netflix has also given us many negative forward looking earnings statements, and they expect to have several quarters of operating at a loss. Combine that with the rising cost of media aquisition, and I believe that the current stock price is likely still to go much lower. Netflix had a good run, but the party is over for this stock.

I just opted out of the DVD service. I will go to Redbox for my DVD movie needs. If I find that the tv shows I want to watch are not available on streaming...then I may look to Hulu that has a better tv selection. While I was annoyed with the 60% price increase on my plan, I decided that the $6 was not a big deal. But not integrating the two websites, that is what has ultimately made me decide to cancel the DVD subscription.

My big problem as a consumer of Netflix is the separate websites. And why would it matter to come up with a new name for the DVD business if they are spinning off or selling the DVD business. The Netflix name has branding power. Blockbuster DVD Kiosks are not even owned by Blockbuster...they are owned by NCR. Many separate companies integrate their websites. I have already gone ahead and cancelled my DVD portion if my Netflix plan. I am keeping streaming for now, but will also highly consider Hulu and Amazon Prime at some point I think.

How about turning on the TV. You know they still brodcast a bunch of channels over the air.

I have kept my plan the same, DVD & Streaming. Sons of anarchy season 3 is coming out on DVD next Tuesday. After I work my way through that, I plan on dropping down to the streaming only. I dont use the DVD portion of the plan that much anyways, and can never seem to remember to send back the DVD's

After I finish up a few things on my DVD Queue like Breaking Bad Season 3....we are certainly dropping the DVD portion. We will likely go streaming only...but we are also considering giving Amazon Prime a chance in lieu of Netflix Streaming. It is slightly cheaper, and has just as many shows that we watch as Netflix has. I mean Netflix has a much larger category, but most of it is stuff we really dont watch.

Im likely to downgrade to a streaming only plan, and get my DVD fix from Red Box.

A 60% price increase is insane. If that happens....I will likely get rid of Netflix and switch to Amazon Prime for $79 a year/$6.58 a month.