Analyst: Microsoft Corporation (MSFT) Could Take A Stab At Buying Netflix

Microsoft Corporation (NASDAQ:MSFT) wants to get into the streaming business, and it just may do so in a way that will certainly stun the markets. According to Porter Bibb, an analyst with Media Tech Capital Partners, Microsoft may make a run at acquiring Netflix in the future.

CNBC shares Bibb’s prediction on what Microsoft may do.

Microsoft will attempt to buy Netflix in an effort to crack into the streaming business, veteran media analyst Porter Bibb predicted Tuesday.
Bibb, a tech and media analyst with more than 40 years experience on Wall Street, did not offer a timeline for when he thought Microsoft could go after Netflix’s assets. But, he said, the technology giant lacks media content and wants to get into streaming content.

Netflix share prices have soared over the past year, and the streaming giant now has a market value in the neighborhood of $142 billion. Tech giant Microsoft current market value is around $739 billion, and there has been some speculation that there could be a marriage between the pair in the future. The deal would instantaneously make Microsoft a major player in streaming, while Netflix would have a pot of cash at its disposal to continue signing content deals.

“They’re moving as fast they can into the cloud business. They don’t have any direct to the consumer content delivery,” Bibb said on CNBC’s “Squawk Box.” “I think Netflix is going to be acquired by Microsoft, which doesn’t have any content right now.”

Microsoft Corporation shares rose $0.34 (+0.35%) in premarket trading Wednesday. Year-to-date, MSFT has gained 12.53%, versus a 0.42% rise in the benchmark S&P 500 index during the same period.

MSFT currently has a StockNews.com POWR Rating of A (Strong Buy), and is ranked #1 of 67 stocks in the Software – Application category.