Streaming apps across the world seemingly appeared out of nowhere and took off, with services like Netflix quickly becoming household names. 

According to a CNBC survey, 57 percent of Americans are using streaming apps. Although the economy is declining during the COVID-19 pandemic, streaming apps usage and subscriptions are increasing.  

Here’s some information to consider before buying stocks in streaming apps. 

Netflix

Netflix subscriptions have increased by 15 percent since the COVID-19 outbreak. This increase comes after many companies stated that Netflix has come to a standstill in subscribers. 

Netflix will also benefit in regard to revenue because they don’t rely on advertising. This gives them an upper hand relative to other popular streaming services. Viewers enjoy this perk that Netflix offers. Kaitlin Beach, a student at Westfield State University, said that she will continue to have her Netflix subscription for years because she has “no patience for commercials,” similarly to many other Americans. 

Other streaming platforms like YouTube TV rely on commercial advertisements to gain revenue. Netflix’s revenue comes straight from subscribers. According to NASDAQ, Netflix’s stock was down 1.6 percent as of April 21, despite increasing over the last few months. 

Hulu

Now more than ever, families are relying on their Hulu subscriptions. 

“More than 45 percent of Hulu viewers have either cut the cord or never had cable, and may not have access to live, televised news to receive critical information during times of national crisis,” according to Hulu Press. “Given the rapidly-evolving situation around COVID-19, and to ensure that our viewers can stay informed during this time, we’re partnering with ABC News Live to bring the channel’s 24/7 live coverage to Hulu.” 

With this live coverage, Hulu is keeping their viewers notified and informed on worldwide events surrounding COVID-19, and new and potential subscribers have noticed. Hulu subscriptions have increased by 21 percent since the COVID-19 outbreak. 

And, although Hulu doesn’t have an IPO stock yet, its shares are still available for purchase. 

Disney+

Disney+ is a more recent streaming app that has also seen an increase in usage since the onset of the COVID-19 pandemic . 

Subscriptions have increased 29 percent since the COVID-19 outbreak. The number of subscriptions has jumped from 28.6 million subscribers to 50 million during this time as well. Although Disney+ has seen an increase in usage and subscriptions, the overall stock according to NASDAQ was down 1.6 percent because  Disney theme parks and Disney+ are bundled into one stock. Other assets companies own should be considered when buying stock. 

“When buying stocks I look at things I can use year around, not just seasonal things,” said Roman Scruggs, a student at Wisconsin Lutheran College.

Investing in streaming companies is a difficult decision to make and there are multiple avenues to research the company and how their money is being managed. Considering all the factors of a company before investing is an intelligent choice for senior traders as well as beginners.