Hulu is quickly taking over the market for online streaming television, and the company may be ready to test its importance by going public. An initial public offering (IPO) is said to be in the works, and the company may end up valued at around $2 billion. The move could happen as early as this fall.
Hulu is partially owned by News Corp, Disney, and NBC. The comany has seen small, but steady profits as of late, $100 million last year. This makes the possibility of a $2 billion valuation confusing. Analysts are cautious citing the weak IPO market. Hulu's saving grace could be the high volume of ads thy serve, 566 million in June. Investors may also see hope in Hulu's new $9.99 Hulu Plus service.Will you be snapping up Hulu stock in the event of an IPO?