Samuel Meciar's avatar
$7.7m follower assets
Portfolio changes - update 2
Let's get things started tomorrow!

I made a decision today, I'll be selling my $NFLX and $DIS shares tomorrow, and let me explain my rationale behind this:

I bought both to catch the inevitable transition towards streaming space. The space is very tough, capital intensive and competitive since it's by a large part based on the top hits. No doubt both Netflix and Disney will play a significant role there.

BUT - I decided to consolidate to 2 of my other holdings because I see them as a better R/R at this point:

$ROKU due to its huge market lead in connected TV, streaming agnostic so they win no matter which streaming service really succeeds. The more streaming, the better for them.

$TTD is a phenomenal company on its own, but as many services go for ad-supported tiers, Trade Desk is one of the best players to provide ads to those services in case they don't want to build up their proprietary tech for that.

Netflix CEO said that they'd rather look for outsourcing of that as opposed to in-house development and chances are TTD will be the chosen player for Netflix's ad-supported tiers. $DIS already partnered with TTD for Disney Channel and would expect them to do same for Disney+.

I hope you understand. Share your thoughts below!
Neil's avatar
Good choice imo ;)
Rafa's avatar
Do you know Pubmatic? I think they in the same space as TTD
Samuel Meciar's avatar
@rafamvalera I know them, but they are fundamentally different. TTD is focused on the buy-side, so helping businesses reach correct audience efficiently through partnered channels as opposed to Pubmatic which helps channels negotiate the most money for their ad space. In that case, for the reasons outlined, TTD fits better.
Rafa's avatar
@sammeciar thank you for your insight, kind of complicated market indeed. I hold some Pubmatic, down severely but follow their fundamentals and
going strong
Alex's avatar
When it comes to $NFLX and $DIS, why is now an ideal time to sell? Or rather, is selling now your decision as you do not see their respective share prices rebounding in the future?
Samuel Meciar's avatar
@alex18 I don't do timing, I execute when I decide to, so I don't really care where both are. I said in my post that I see playing both by owning $ROKU and $TTD as a better R/R due to points discussed.

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