How do Netflix stock options work? I currently got a job offer from them and I feel like this is too good to be true? They say I get 40% off the stock price. Why wouldn’t I just put in my entire paycheck in and pull out what I want when I need it. What am I missing? Is there trading windows? What’s the deal? There has to be a catch right? TC 325
When you buy call options you buy a contract to buy the y numbers of stocks at x price , now if the stock has appreciated 40% since the the time options were awarded , you gain that 40%.
If it’s espp the limit per year is $25k.
You need to confirm the specifics since options are very tricky and have tricky tax treatment. Usually you’ll have a holding (vesting) period that means if the stock goes down in that time the options are worthless.
Can you help share your interview prep? I have an interview coming up
Are you from data center routers or PI protocols team ?
Interview was - recruiter - hiring manager - day 1 full day prezo and test - day 2 interviews It wasn’t to bad but I basically spent 4 weeks fully immersed in Netflix. I listened to a bunch of podcasts and studied their culture stuff. If u know your craft and can speak to their culture… I think that’s all the prep u can do. Good luck!
You have it wrong. It's not 40% off. The stock has to appreciate 40% before you break even, so it's actually the opposite.
So why buy through the company vs just buy on the open market and hope it goes up?
Leverage. https://graystoneadvisor.com/blog/netflix-supplemental-stock-options
Usually these kinds of ESPP discount deals are great deals but come with the catch that you have to hold the stock for a period of time (often a year)