Amazon Strikes Netflix While the Company is Down

In preparation for a showdown with Netflix (NASDAQ:NFLX) over dominance of the U.K. streaming market, Amazon’s (NASDAQ:AMZN) Lovefilm subsidiary is making deals with the BBC and ITV. Lovefilm, which also operates in Scandinavia and Germany, could be a big threat to Netflix in Britain because it offers combined DVD/streaming packages.

The contracts with BBC and ITV — Lovefilm’s two biggest TV deals to date — will boost its position in the U.K., its core market, adding to the 70,000 blu-ray, DVD, video games and streaming titles it already offers its almost 2 million members.

Lovefilm members can choose to have videos delivered by mail or by streaming over the Internet to computers, Internet-connected TVs, Sony’s PlayStation 3 (NYSE:SNE), Apple’s (NASDAQ:AAPL) iPad and Microsoft’s (NASDAQ:MSFT) Xbox 360.

Here’s how these stocks are reacting to the news:

Netflix, Inc. (NASDAQ:NFLX): NFLX shares recently traded at $86.26, up $6.96, or 8.78%. They have traded in a 52-week range of $62.37 to $304.79. Volume today was 10,540,786 shares versus a 3-month average volume of 8,255,690 shares. The company’s trailing P/E is 19.60, while trailing earnings are $4.40 per share.

Amazon.com Inc. (NASDAQ:AMZN): AMZN shares recently traded at $183.52, up $5.91, or 3.33%. They have traded in a 52-week range of $160.59 to $246.71. Volume today was 4,365,228 shares versus a 3-month average volume of 6,550,630 shares. The company’s trailing P/E is 96.74, while trailing earnings are $1.90 per share.

Sony Corporation (NYSE:SNE): SNE shares recently traded at $17.47, down $0.23, or 1.3%. They have traded in a 52-week range of $25.85 to $36.97. Volume today was 330,136 shares versus a 3-month average volume of 1,144,670 shares. The company’s trailing earnings are $-4.66 per share.

Apple Inc. (NASDAQ:AAPL): AAPL shares recently traded at $420.65, up $2.62, or 0.63%. They have traded in a 52-week range of $310.50 to $426.70. Volume today was 6,476,472 shares versus a 3-month average volume of 15,054,700 shares. The company’s trailing P/E is 15.20, while trailing earnings are $27.68 per share.

Microsoft Corporation (NASDAQ:MSFT): MSFT shares recently traded at $27.98, up $0.3, or 1.08%. They have traded in a 52-week range of $23.65 to $29.46. Volume today was 38,182,643 shares versus a 3-month average volume of 51,281,000 shares. The company’s trailing P/E is 10.17, while trailing earnings are $2.75 per share.