They said that employees suddenly were blocked from making any stock transactions in the company, which means something major is about to happen (keep in mind, this could also be that they’re about to announce something very bad).
I would presume if these rumors are false, there should be an announcement of that by the end of day by NFLX, as this rumor negative affects NFLX’s share price, they would be in a hurry to debunk it if it’s not true.
If the deal is true, this would likely be an all/mostly stock deal, as NFLX doesn’t have a lot of cash and already has a sizeable amount of debt.
At this point I think there is truth to the fact that NFLX and ROKU have had a discussion regarding a possible takeover or have a meeting scheduled to have a discussion.
Obviously those discussions can end with nothing, but at this point if there was zero truth to it, it would be incredibly inappropriate for NFLX to not have made an announcement saying that there’s no truth to the rumors.
I think a buyout is unlikely as well, however, I’m pretty sure that the 2 companies have been/are talking about it as NFLX has not debunked the rumor. (Even if ROKU was talking to someone besides NFLX about it, NFLX would’ve come out by now and said they are not in discussions to buy ROKU, so it’s definitely these 2 parties in discussion).
A lot of merger talks don’t lead to an actual merger.
