Cramer Bullish On Netflix After Strong Earnings Report

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Netflix,Earnings,Growth

Jim Cramer is optimistic about Netflix's future after the streaming giant exceeded Wall Street's expectations for earnings, revenue and paid membership growth. He was impressed by management's outlook and commentary about content.

He was impressed by management's outlook and commentary about content, saying the company seems capable of generating solid growth.

The streaming giant beat Wall Street's expectations for earnings, revenue and paid membership growth when it posted its report Thursday evening, sending shares up 11% during Friday's session.explained why the quarter made him more optimistic about the company's future, saying he was impressed by management's outlook and commentary about content.

This breadth of content makes Cramer optimistic about Netflix's ability to scale its ad-tier, pointing to popular offerings like"Emily in Paris,""Selling Sunset" and"Squid Game," as well as two National Football League games set to stream on Christmas. He also liked Sarandos' positive read on how AI will impact business.

"I'm not saying that Netflix has become an AI play, not at all, I'm just saying that between the expanding library, clear customer interest in the ad tier model, and their ability to harness the power of artificial intelligence, we have a lot of positives here, and it's gong to translate into a lot of money," Cramer said.

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