Netflix's stock drops, heads for sixth-straight loss

Netflix Inc.'s stock dropped 3% in premarket trade Friday, putting it on track for a sixth-straight loss, as investors continue to fret over increasing competition. The stock has lost 14% over the previous five sessions, and 20% since closing at a record of $126.45 on Aug. 6. But even with Friday's premarket decline to $98.07, the stock is still more than double what it was at the end of 2014 ($48.80). A sixth-straight loss would be the longest losing streak since the six-session stretch ending March 10. Analyst Youssef Squali at Cantor Fitzgerald reiterated on Friday his buy rating and his stock price target of $125, which is 24% above Thursday's closing price. He said the good ratings that Netflix's original series Narcos received in its first week is a positive for the stock, "as there is correlation between the launch of big original titles and subscriber growth." However, Amazon's announcement this week to allow its Prime users to watch select TV shows and movies offline "should increase the appeal of its streaming service," implying increased competition for Netflix.

Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.