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I’m prepared to see them drop unless earnings beat by a decent amount. I think stock price will at best stall from here until EPS growth lowers the P/E back to a more reasonable point.
Mentor
I agree with you and don’t think this is the quarter to try to play an ER run up. Interesting thing is we are also so close to the 200 SMA for NFLX, MSFT, and AMZN. Wonder if we will test those areas before earnings. We are also near the current price where NFLX has fallen to after the last 2 earnings so maybe it stays flat here before next week.