This is how you beat the woke.
When they start beating you over the head with woke content you stop paying for their service. As users drop so do the profits and that’s when shareholders start to get upset. Couple that with poor stock performance and you end up with a lawsuit in federal court.
Netflix, who went woke and gave Obama a ton of money if now going to face a lawsuit from shareholders in federal court accusing them of misleading investors.
The lawsuit filed in northern California federal court includes investors who purchased stock from October 19, 2021 thru April 19, 2022. During that period the value of Netflix stock dropped 67 percent.
The drop was so extreme that billionaire Bill Ackman sold 3.1 million shares and reported a loss of more than $400 million, stating that he’s lost faith in the company.
The suit claims that Netflix mislead investors after the company reported that it had lost 200,000 subscribers in the first quarter of 2022 and expects to lose another 2 million more.
“As a result of these materially false and/or misleading statements, and/or failures to disclose, Netflix’s securities traded at artificially inflated prices during the Class Period. Plaintiff and other members of the Class purchased or otherwise acquired Netflix’s securities relying upon the integrity of the market price of the Company’s securities and market information relating to Netflix, and have been damaged thereby,” the complaint reads.
The lawsuit was filed by Imperium Irrevocable Trust and hope that it turns into a class action lawsuit as more shareholders join.
In 2018, Netflix signed a massive multiyear deal with the Obama’s to produce content that was rumored to be just under a hundred million dollars. At the time news organizations said the deal was an “unmatchable asset” for Netflix.
It was an unmatchable failure that Disney is about to experience if they don’t shape up.