Trump's Investment in Netflix Bonds Amid Merger Risks
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 06 2026
0mins
Source: Benzinga
- Investment Portfolio Revealed: Trump purchased bonds from Netflix and Warner Bros. in December 2022 and January 2023, totaling between $600,000 and $1.25 million, coinciding with his public discussions about Netflix's bid for Warner Bros., indicating a potential conflict of interest.
- Debt Risk Mitigated: With Netflix backing out of the Warner Bros. acquisition, the risk associated with Trump's investments decreased, making Netflix's bonds relatively safer, reflecting Trump's indirect benefit from this transaction despite claims of independent portfolio management.
- Positive Market Reaction: Netflix's stock has risen 8% year-to-date and 19.5% over the past month following the cancellation of the merger, indicating increased market confidence in Netflix's future, which could positively impact Trump's investments.
- Political and Business Interplay: Although Trump initially stated he would be involved in the decision regarding Netflix's acquisition of Warner, he ultimately deferred to the Justice Department, highlighting the complex relationship between politics and business, with Netflix's CEO asserting that the deal is a business matter, not a political one.
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Analyst Views on NFLX
Wall Street analysts forecast NFLX stock price to rise
38 Analyst Rating
27 Buy
10 Hold
1 Sell
Moderate Buy
Current: 88.600
Low
92.00
Averages
114.18
High
150.00
Current: 88.600
Low
92.00
Averages
114.18
High
150.00
About NFLX
Netflix, Inc. is a provider of entertainment services. The Company acquires, licenses and produces content, including original programming. It provides paid memberships in over 190 countries offering television (TV) series, films and games across a variety of genres and languages. It allows members to play, pause and resume watching as much as they want, anytime, anywhere, and can change their plans at any time. The Company offers members the ability to receive streaming content through a host of Internet-connected devices, including TVs, digital video players, TV set-top boxes and mobile devices. It is engaged in scaling its streaming service, such as introducing games and advertising on its service, as well as offering live programming. It is developing technology and utilizing third-party cloud computing, technology and other services. The Company is also engaged in scaling its own studio operations to produce original content.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- YouTube's Network Effect: YouTube has established a powerful network effect with its vast user base and the ability to upload 20 million videos daily, expecting total revenue exceeding $60 billion in 2025, with $40 billion from advertising, showcasing its competitive edge in the streaming market.
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- Significant User Growth: As of December 31, 2025, Netflix had over 325 million subscribers, a substantial increase from 71 million a decade ago, with projected revenues of $51 billion in 2026, further solidifying its market position.
- YouTube's Network Effect: YouTube has established a powerful network effect with its vast user base and the ability to upload 20 million videos daily, expecting total revenue exceeding $60 billion in 2025, with $40 billion from advertising, showcasing its competitive edge in the streaming market.
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See More
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- Significant User Growth: As of December 31, 2025, Netflix boasts over 325 million subscribers, a substantial increase from 71 million a decade ago, highlighting its strong market appeal and penetration in the streaming sector.
- Strong Financial Performance: Netflix anticipates approximately $51 billion in revenue for 2026, with a first-quarter operating margin of 32.3%, indicating its advantages in cost control and profitability, which further solidifies its market position.
- Intense Competitive Landscape: While Netflix excels in the streaming domain, YouTube emerges as a formidable competitor, leveraging its powerful network effect and the daily upload of 20 million videos, illustrating the increasing competition in the streaming market.
- Massive Brand Influence: Netflix's brand has become synonymous with streaming video, achieving high consumer recognition, which not only enhances user loyalty but also lays a solid foundation for future market expansion.
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- Long-term Investment Appeal: All three companies exhibit strong growth potential, with Remitly and Nu Holdings expected to achieve double-digit growth, and Coupang's undervaluation making them compelling long-term investment choices for the next 20 years.
See More
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- Business Expansion Potential: Although Remitly's total remittance volume over the past 12 months is less than $100 billion, the introduction of new services like digital wallets and business transactions is expected to enable double-digit growth for many years, making it an ideal candidate for a long-term investment portfolio.
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- Diverse Revenue Streams: According to the latest S1 filing, SpaceX's 'Space' and 'Connectivity' segments generated over $4 billion in revenue in 2025, showcasing its strong market position in rocket launches and satellite internet services.
- Industry Classification Challenges: Given SpaceX's involvement in multiple sectors, MSCI and S&P face complexities in determining its final industry classification, which could place it in either the Communication Services or Industrials sector, impacting its appeal to investors.
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