Streaming Dominance and Economic Signals: An Empirical Analysis on Netflix’s Stock Market Performance

Abstract

The growth of Over-the-Top (OTT) Service has redefined the Indian digital entertainment market, and Netflix is Considered to be one of the essential pointers of market and economic mood. This Research paper uses monthly data on the period between January 2014 and June 2024 to discuss the impact of Gross Domestic Product (GDP), Consumer Confidence Index (CCI), and Indian Household Consumption on the Netflix Market Performance. Using ARDL model with ARIMA based Forecasting, the analysis finds out that there are negative short run effect of GDP and strong long run effect of consumption and consumer confidence. The error correction value takes long time to stabilize at equilibrium and the projection is that the stock market performance will continue to increase steadily. On the whole, Netflix valuation correlates well with the consumption based and sentiment based economic conditions in India.