EmptyNetflix looking good
Netflix likely will continue to exceed estimates the rest of this year thanks in part to continued growth in the DVD-rental-by-mail business, Piper Jaffray analyst Michael Olson said Monday as he moved his target on the stock from $36 to $40. By analyzing Web site data, Olson said he was able to deduce that visits to Netflix's site rose 18% in the past three months, compared with a drop of 6% at Blockbuster's Total Access DVD-rental site. Blockbuster's fourth-quarter results — where it reported stagnant online subscription growth — showed "strength in Netflix's improving market position," he said. Netflix shares rose 5.3% on Monday to $38.17, while Blockbuster shares climbed 7.6% to $3.55.
Finance topper to leave EA
Electronic Arts said Monday that CFO Warren Jenson will leave the video game publisher, which is pursuing a hostile takeover of rival Take-Two Interactive Software. EA did not give a reason for his departure but said Jenson will stay to help the company close its fiscal year, which ends March 31, and could remain through September to ensure a smooth transition. A replacement hasn't been named. EA took its $2 billion all-cash bid for Take-Two directly to stockholders this month. Take-Two has resisted the bid, saying it does not account for expectations of a blockbuster debut for its "Grand Theft Auto 4" game April 29.