Amid a crashing stock market and projected record levels of unemployment — rivaling those seen during the Great Depression, Netflix is one of few companies benefitting financially from the COVID-19 pandemic, seeing record-high viewership and stock prices, Forbes reports.
On Wednesday, the company closed with a record-high share price of $426.75, pushing the net worth of Reed Hastings, the company’s CEO and cofounder, up by $1.2 billion since the end of March, according to Forbes.
This is the second time in history that Netflix’s total worth (currently an estimated $187.3 billion) has surpassed Disney’s (currently evaluated at $186.5 billion), likely due to the devastating effect the COVID-19 pandemic has had on Disney Parks and planned movie releases across the globe, reports Quartz.
According to ScreenRant, in just the past week Disney shares have decreased by 2.5%, and will continue to drop while parks, cruises and theaters remain closed.
The first time Netflix surpassed Disney was in March 2019, but Fox Business reports this was very brief. This time, by contrast, MarketWatch surmises Netflix shares will continue to see monumental growth, with a projected target price of $490.
In the first three months of 2020, Variety reports Netflix gained between 8.45 million new subscribers, likely due to the increase in popularity for streaming content during worldwide stay-at-home orders.