Click to Enlarge Wall Street is concerned that Netflix’s (NFLX) red-hot profit growth is set to cool down, and that’s not helping NFLX stock. The streaming video stock got off to a strong start in 2014, topping $450 a share less than a month ago, but ever since then it’s been heading down.
NFLX stock starts the second quarter off 3% for the year-to-date and there’s ample space for it to slide further. NFLX stock is 23% below its 52-week high and 15.3% below its 50-day moving average, according to data from Thomson Reuters. It trades at a slight premium to its 200-day moving average.
But the price momentum is just not there and that suggests more weakness to come. Besides, on average NFLX stock has a monthly return for April of -1%, according to Thomson Reuters. Relative strength scores a 29 out of 100 on Thomson Reuters’ Relative Strength Indicator. That lands NFLX among the stocks to sell this month.