Netflix hits 20-month low as debt worries mount

Published November 23, 2011 by
Uncategorized

SAN FRANCISCO (AP) ? Netflix’s stock price on Tuesday plunged to its lowest point in more than 20 months.

The latest sell-off came after Netflix Inc. raised $400 million by taking on more debt and selling more stock. That move intensified concerns about the public relations and competitive pressures facing the video subscription service.

Netflix shares dropped by $3.22, or 4.3 percent, to $71.25 in afternoon trading. It sagged as low as $69 earlier in the session. That’s the lowest it’s been since March 2010.

Netflix shares have been in free fall since the company angered subscribers by raising its U.S. prices by as much as 60 percent. Netflix hit a peak of nearly $305 a share around the same time that the higher prices were announced in July.

Share Post:
N