Here’s why we bought PUT LEAPS on $NFLX last week: LULU has been dropping like a rock since Christmas Day in 2023........forecasting what we finally learn only just this past week that the company is giving us declining forward guidance. The stock immediately dropped -20% to fight out a Wall Street level of $100 per share. From $500 to $100. A drop of -80%. And now a change of CEO. That's rough. And $100 per share is likely a bus stop to its final destination. -80% is recession behavior for a large cap. But this is about $NFLX. Netflix reached an ALL-TIME high of $132.31 per share on 6/23/2025. It's now at $78.29 per share – a drop of $54.02 per share. Does it have another $35.31 share price drop left in the tank before January 21, 2028 to make these put options we bought breakeven? We think so. Here’s why: The stock is now below both its 200-day and 300-day moving averages in a continuing waterfalling pattern. While earnings estimates continue to climb, we've seen this before. This is a wolves-know-something that retail doesn't situation. Our bet is that an earnings decline is going to be shared sometime soon in the upcoming next few quarters that will expose why the stock has been behaving as it has since the summer of 2025. Can you see the similarities with $LULU? But that's not all. There is a plethora of other reasons why Beskar Capital is making this bet. Did you know the founder just quit Netflix? Remember the teacher that came up with the idea to ship movies by mail to kill Blockbuster rental stores? Yeah....that guy quit in June. Reed Hastings is effectively retired from Netflix operations: he stepped down as co-CEO in 2023, shifted to a non-executive chairman role in 2025, and announced in April 2026 that he would leave the company entirely when his board term ends in June 2026. He ran. 😂 And on 08/26/2026, we see a whale make a bet against the company. A ~$2.9 Million bet. See the table attached. In KTS #52 fashion, we'll make like a barnacle and attach to this whale 🐚 2 🐳 This is the Way! 🏄🌊
2,250 views
11 Comments
Collin @wallstreetwannabe · 1d
Netflix and Lulu are both at or near structural floors that seem to be slowly crumbling.
Mike L@noviceadvisor · 1d
Delululemon. I have Netflix and I'd rather watch the movies on Tubi
NickMtb @nickmtb · 14hEdited
You lost credibility when you say CEO quit, when in fact he retired, big difference. You also failed to mention that one of NFLX most important leader is staying put. So obviously you run your story bleakly for a purpose, instead of being neutral. That turns this into garbage imho.
Mika @goldenfit · 1d
Conventionalists can't fathom making a bet like this.
See the full comment section 👀Sign up for the full Blossom experience!
