We recently published a list of Top 10 Stocks Market Is Watching Today. In this article, we are going to take a look at where Netflix, Inc. (NASDAQ:NFLX) stands against other top stocks market is watching today.

Chris Grisanti, MAI Capital Management chief market strategist, said in a latest program on CNBC that the market is going through a shift towards value stocks from growth stocks.

“A lot of investors miss is that you have to choose a great company, but you also have to choose a great entry price. And the valuation, especially over the last several years, has really gotten out of whack as growth has outperformed value by the most ever that we’ve ever seen. So now we’re just kind of getting back.”

The analyst warned that the latest selloff is not the “healthy correction” we used to see in the past.

“The economically sensitive stocks leading the way down. You’ve got banks that are tanking, you got airlines that are tanking, the worst groups are the financials, the industrial, and the consumer discretionary like retailers. So this is the market saying economic slowdown. Now is it right? You know the old saw about the market predicting eight of the last two recessions—maybe it’s wrong. The problem is one, it’s different this time so people should pay attention, and two, what generally happens is things can fall even on irrational fears, and then they become self-fulfilling.”

READ ALSO: 7 Best Stocks to Buy For Long-Term and 8 Cheap Jim Cramer Stocks to Invest In.

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Netflix, Inc. (NASDAQ:NFLX)

Number of Hedge Funds Investors: 121

LikeFolio‬’s Megan Brantley said in a latest program on Schwab Network that Netflix, Inc. (NASDAQ:NFLX) ad tier and sports streaming is helping the company gain more subscribers. The analyst said she’s watching the sustainability of subscription additions gained based on sports streaming.

“Our data have been the introduction of its ad tier and also its foray into live sports, and you can see that whenever we look specifically at web traffic for Netflix Inc (NASDAQ:NFLX), we saw a massive increase in the month of November and then also a nice little bump in December whenever Netflix Inc (NASDAQ:NFLX) hosted the Jake Paul Mike Tyson fight and also the NFL Christmas Day matchup. And so I think that this has proven that live sports not only grabs these consumer eyeballs but it’s also very compelling for advertisers. Netflix announced that it also secured rights for the FIFA Women’s World Cup coming up, so I think that this is a smart move and this is what’s been driving a lot of the growth that we’ve seen in Netflix, at least in terms of consumer interest.

But we want to watch for retention long term because we have some signs in our data that a lot of those consumers that Netflix Inc (NASDAQ:NFLX) gained may have jumped on to watch those sports events and they popped off. And so I think that this is something that investors will be watching pretty closely just because Netflix Inc (NASDAQ:NFLX) was able to report such nice user growth last quarter.”

Sensing major threats amid rising competition in the market from Disney Plus, Peacock (CMCSA), Max, Amazon and YouTube, Netflix, Inc. (NASDAQ:NFLX) has fired all engines and is using a multi-pronged approach to thrive. Netflix Inc (NASDAQ:NFLX) is expanding into emerging markets, aggressively focusing on user engagement and tapping into advertisement and gaming. Netflix, Inc. (NASDAQ:NFLX) is also expanding into NFL games and WWE.

Overall, NFLX ranks 4th on our list of top stocks market is watching today. While we acknowledge the potential of NFLX as an investment, our conviction lies in the belief that under the radar AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than NFLX but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.