Netflix (nflx) has been facing tougher than ever competition from internet television subscriber services. Hulu Plus recently rolled out an ad-free option for $11.99. The HBO Now app, which doesn't require a cable subscription, recently hit 2 million subscribers. Meanwhile, Amazon Prime Video went worldwide in December and added offline viewing a month after Netflix debuted the feature.
But with the release of the fifth season of Orange is the New Black, Netflix could see its subscriber rates rise. Netflix has worked hard to add more content to its library, saying it will double the number of its original series by the end of this year.
Netflix released the new season of its original series, which focuses on women in prison, on Friday. The season brought on a lot of pre-release buzz followed by above average ratings from critics.
The number of Netflix subscribers has grown significantly in the last few years. It's added over 29 million since 2011.
With subscribers at an all time high, the streaming service seems intent on maintaining a healthy lead on its competitors. Earlier this year, Netflix said it would raise $1 billion to create even more original content, like Orange is the New Black.
The company's earnings per share surged 167% from the fourth quarter last year to first quarter this year, going from 15 cents to 40 cents. Netflix reported a 34% year-over-year rise in its consolidated revenue in Q1.
However, it wasn't because Netflix added a ton of new users. The company actually missed on its subscription estimates. Instead, the increased revenue came from a price hike.
Despite a drop in Q2 estimates, analysts are calling Netflix a "strong buy."