Disney+ Takes on Netflix

Disney+ Takes on Netflix

Assessment

Interactive Video

Business

University

Hard

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The video discusses the impact of Disney's announcement on the options market, highlighting increased investor interest in Disney options and a rise in bearish options due to profitability concerns. It also covers the implications of Netflix's upcoming earnings and the elevated skew in Netflix options, indicating market uncertainty. The video concludes by noting Netflix's high volatility on earnings day, which is unusual for a large, mature company.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the primary reason for the surge in bearish options for Disney?

New product launch

Positive earnings report

Concerns about Disney Plus's profitability

Increased investor confidence

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

According to Oppenheimer, which company's options should investors consider hedging with?

Amazon

Apple

Netflix

Google

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What does the elevated skew in Netflix options indicate?

Higher cost of bearish options

Decreased market volatility

Stable market conditions

Increased investor confidence

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Why might investors be abandoning their Netflix hedges?

Due to a new competitor entering the market

In anticipation of a positive earnings report

Because of Disney's new announcements

Due to a decrease in Netflix's volatility

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is unusual about Netflix's stock behavior on earnings day?

It is less volatile than expected

It is the most stable stock

It shows no change in price

It is highly volatile despite being a mature company