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Netflixexceeded analyst expectations when it reported earnings this week, but legendary short seller Jim Chanos told CNBC's Scott Wapner that he still has questions about the stock.
Chanos thinks DVDs are on the way out, and wonders if Netflix will ever make enough money on streaming.
He also wonders if the market is as high as Netflix CEO Reed Hastings says it is — are there enough households in the U.S. ready to use the product?
Chanos points out that HBO and AOL have basically topped out at 30 million users.
"It's very difficult ... penetrating households in the U.S. beyond the 30 million level," he continued. "Growth stops or slows dramatically. You gotta be careful with Netflix there."
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