Netflix's big bet on live sports

Welcome back to Fast Money. Ring the bell. Former heavyweight world champion Iron Mike Tyson going fist to fist tonight with social media star turned boxer Jake Paul, 31 years his junior. The event marks Tyson's first professional fight in almost 20 years and has already broken the record for the biggest boxing gate outside of Las Vegas. No matter who comes out on top in the bout, Netflix shaping up to be the real winner. The fight is available to all of the streamers, 280 million plus subscribers for no additional fee. A welcome change for boxing fans who would usually have to shell out for pay per view. But this is of course one of Netflix's strategy live sports, live entertainment, I guess is what they call it. Um, they don't have to pay for rights and it can attract a lot of eyeballs. This is going to attract a lot of eyeballs and they're doing this to putting a push into the NFL as well. And I think by not charging you something is the way to garner those eyeballs we were talking about. I would hope that you could see the fight at a normal time, not 11 or 12 o'clock when they first come on. But I think this is a home run for Netflix and it actually, when I look at the chart, you could said that it could have said this was toppy months ago. This if they can accrue some ad dollars based on this and the NFL and live sports probably still worth a shot. Well, there's all of that. Plus the content slate. They've got season two, a squid game. They've got this cure nightly series coming out. But this recent run, I think is a lot on this. You know, I always say buy the rumor, sell the news. And I always use that. All right. Let's say a new Star Wars is coming out. The very next one. People get all excited. The box office is going to be gigantic. It almost doesn't matter how gigantic the box office is. Ultimately, it's a little disappointing. So I'm long, I'm not going to trade around it just because I think it's a little ahead of itself. But I think that's what's happened in the last 10 days or so. Well, and I would argue that that Star Wars has more fiction in it than this fight. So you know, it doesn't really matter again. This is entertainment. Call it what it is. That's what I'm going to call it. And I love the fact that Netflix is throwing themselves in the ring on this one. I do think that Christmas Day NFL football is a huge thing for Netflix. And I do think that they have multiple levers to pull. And again, we don't even really talk all that much about gaming and some of the other dynamics. I think Netflix, when we and we spent a lot of time this week talking about a great week for Disney and a peculiar but extraordinary three year outlook that they gave with a lot of detail. And when I go out to 26 and I see Netflix making 30 bucks a share to Disney 650 at probably half of the revenue. And so a much more profitable business that I think possibly has more scale. This is what you're excited about with Netflix. This is why the stock has moved. Doesn't mean I don't like Disney. I like the week Disney had. We're not talking about Disney. We're talking about Netflix. And it just gives you some sense on where they are in free cash flow and how far ahead. Well, you just self would you rather. I'm going to oppose Julie Disney having a week that was up 16 percent, Julie. Would you rather Netflix or Disney here? Still probably Netflix in this case. You know, like the way that I think about investing is I try to own the stocks that every other p.m. it's the last thing that they want to sell. They'll hold on to this till the end. And Netflix is that for all of the streaming bundles. And I would say that even above Disney, which if you have kids, it's probably less likely. But events like this make it so much harder for people to just decide to dip out and cancel their subscription. So I think the stickiness of this kind of event is critical for the long term success and the valuation.