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Netflix (NFLX) Inks Multi-Movie Deal With TikToker Addison Rae

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Netflix (NFLX - Free Report) is set to sign a multi-movie deal with the TikTok star, Addison Rae. As part of the deal, Netflix will work with Rae to develop new films. Rae will also be the executive producer of any project she brings to the streamer.

Rae is immensely popular with around 83.3 million followers on Tiktok alone. She has 39.2 million followers on Instagram and close to 5 million on Twitter. Moreover, Addison Rae was nominated in the breakthrough social star category at the 2021 MTV Movie and TV Awards.

The news comes after He's All That, a rom-com remake of 1999's popular movie She's All That, starring Addison Rae as the lead, became a hit for Netflix after its global release on Aug 27.

The company projects that the film will be watched by more than 55 million households in the first month of release and claimed that it has already reached #1 on the company’s chart in 78 countries, including Brazil, France and Saudi Arabia.

Netflix, Inc. Price and Consensus

 

Netflix, Inc. Price and Consensus

Netflix, Inc. price-consensus-chart | Netflix, Inc. Quote

 

Netflix’s Original Content Slate to Fend Off Competition

The robust demand for media content has not only benefited incumbents like Netflix and Amazon but also the likes of newly-released services — Disney+, Comcast (CMCSA - Free Report) -owned NBCUniversal’s Peacock, Apple’s (AAPL - Free Report) Apple TV+ and AT&T (T - Free Report) -owned WarnerMedia’s HBO Max.

Currently, Apple has a couple of show lineups for Apple TV+ including Helpsters, Ghostwriter and Blush. Apple also signed Nobel laureate Malala Yousafzai for a number of projects, including a kid-oriented show.

Discovery is set to merge with WarnerMedia in a deal, which is expected to generate DTC revenues of more than $15 billion in 2023.

Moreover, Comcast is further intensifying competition in the space. Its movie studio Universal Pictures entered into a multi-year deal with NBCUniversal’s streaming service, Peacock, to exclusively stream its new films within four months of their theatrical debut starting 2022.

Nonetheless, Netflix is expected to strengthen its original content offerings of TV series, documentaries and feature films across various genres and languages through the rest of 2021 to combat intense competition.

Netflix has a strong content portfolio of popular original shows for the second half of 2021 that includes Sex Education Season 3, The Witcher Season 2, Stranger Things Season 4 and You Season 3. Original movies slated for release include Red Notice, Don’t Look Up and Robin Robin.

Moreover, the streaming giant has three new animated comedy series — A Tale Dark & Grimm (Fall 2021), Dogs in Space (Fall 2021) and Super Giant Robot Brothers (2022) lined up for kids and families around the world.

This Zacks Rank #3 (Hold) company plans to spend more than $17 billion in cash on content this year. Through the first half of 2021, the company spent $8 billion in cash on content, up 41% year over year. The company also plans to launch more originals compared with 2020 numbers. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.

Netflix and Moonbug Entertainment will produce new specials, nursery rhyme compilations (4 x 60 minutes) and three seasons (24 x 7-minute episodes) of CoComelon Lane, starting in 2022. Moreover, the new Little Baby Bum: Music Time (48 x 7-minute episodes, 1 season) will premiere in 2023.


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