Firsthand Capital CIO: When You Look At The Industry Netflix Is Disrupting, You Feel Better About Its Market Cap

Netflix, Inc. NFLX is almost 40 percent year-to-date. Kevin Landis, Firsthand Capital CIO, was on CNBC Wednesday to discuss why Netflix is his current top stock pick.

"Every time I see bad news come out about cord-cutting and I think about the really, really terrible position that cable companies are in...I think, well who's on the right side of this disruption and who is it that's growing profitable and on the right side of this disruption and Netflix is kind of first, second and third on it," Landis said.

Anyone On That List Apart From Netflix?

"Amazon is moving on that direction, but it's not a pure play on that and Amazon is doing something fairly smart going after award-winning shows right, with 'Transparent,' but again Netflix is a pure-play on that thesis and that works really well," Landis replied.

"Netflix looks like it’s a pretty expensive stock, but when you take a look at its market cap and then take a look at the industry it's disrupting, you feel a little bit better about it," Landis said.

Is There Any Company That's Completely Misunderstood?

"Today who's really misunderstood, in some ways I would have said Netflix, but I think people are starting to come around to that story," Landis answered. "So, that's a great thing, but today most tech stocks are a little bit misunderstood just because it's kind of hard to wrap your head around when somebody is doing something really new and really interesting."