The Hollywood Reporter’s Post

Netflix's stock fell 15% at one point following the Q1 earnings call — despite smashing analyst estimates across the board. So what gives? The streaming giant announced that it would stop reporting subscriber numbers, causing investor uncertainty and stock volatility. And while I’m all about increased transparency across the board, 𝐈’𝐝 𝐚𝐫𝐠𝐮𝐞 𝐭𝐡𝐚𝐭 𝐍𝐞𝐭𝐟𝐥𝐢𝐱 𝐢𝐬 𝐭𝐚𝐤𝐢𝐧𝐠 𝐭𝐡𝐞 𝐫𝐢𝐠𝐡𝐭 𝐚𝐩𝐩𝐫𝐨𝐚𝐜𝐡 𝐢𝐧 𝐭𝐡𝐢𝐬 𝐜𝐚𝐬𝐞. Up until recently, streamers like Netflix chased subscription growth at all costs. Profitability played second fiddle, resulting in unsustainable business practices and a lack of focus on viewer engagement. Today, almost all streaming platforms have introduced ad-supported tiers to diversify their revenue streams. And with this change, the focus must also shift from subscriber growth to engagement metrics. What do you think: Is Netflix one step ahead of investors? Or is Wall Street right to question the tech giant’s decision to stop reporting on subscriber numbers? Check out my op-ed for The Current here for the full picture: https://lnkd.in/gHR86aw3 #streamingmedia #connectedtv #ott

It turns out Netflix’s crackdown on password-sharing, which was expected to tank its revenue and profits, was the right move after all. Netflix’s financial performance in the first quarter has left investors pleasantly surprised, with the streaming giant’s operating income soaring by an impressive 54 percent. This surge comes alongside the addition of a whopping 9.3 #Netflix #PASSWORDSHARING #Q12024

Netflix Stock Soars as Subscribers, Revenues Top Expectations The shares of the Netflix streaming service soared 10% in premarket trading on Wednesday and continued on their upward trajectory from Tuesday that was prompted by its results topping all expectations. Netflix reported adding 13.1 mln. subscribers in Q4, far more than the 8-9 mln. Wall Street expected, and posted a new record with a total of 260.8 mln. paid subscribers. The company also beat the revenue expectations, but missed on EPS. "Netflix has already won the streaming wars and this type of strong result/guidance, especially relative to its streaming peers, is what winning looks like," Pivotal Research Group analyst Jeffrey Wlodarczak told Reuters, raising his price target on the stock to a Wall Street high of $700. Several other analysts also raised their price target for Netflix. Trade CFDs on Netflix: https://lnkd.in/dNxwugAf 59% of retail CFD accounts lose money.

Netflix shares fell on Friday as its plan to stop sharing subscriber numbers from 2025 stoked growth worries, with analysts warning that rivals may follow the step by scrapping the key metric on the streaming industry's health. Subscriber additions have long been watched by investors and Wall Street analysts to evaluate how companies, including Netflix, Walt Disney Co and Warner Bros Discovery, are faring in the streaming wars. But after three quarters of blockbuster growth in subscribers, streaming pioneer Netflix said late on Thursday it would stop reporting the figure to focus more on revenue and profitability. "Industries tend to work in unison and if one of the leading players decides it is better that investors judge performance on different measures, rivals might adopt the same logic," said Dan Coatsworth, investment analyst at AJ Bell. The move comes as some analysts raised concerns about how Netflix plans to maintain growth after its password-sharing crackdown, which helped it add 9.3 million new customers in the first quarter. There are signs that streaming growth is saturating in the U.S. as it halved in 2023, data from research firm Antenna showed in February. Read more on Reuters: https://lnkd.in/g2McVNMT

Netflix had a home-run quarter. On its year-end earnings call Tuesday, the streaming service reported booming numbers for its final quarter of 2023. It added 13 million subscribers, bringing its total to 260 million worldwide. bit.ly/3vUJx8O Revenues were up 12.5% to $8.8 billion and net income was up 160% to $938 million for the fourth quarter of 2023, and Netflix finished the year with $33.7 billion in revenue, up 6.7%, with a 20.4% increase in profits bringing the year end total to $5.4 billion. These numbers smashed analyst estimates for financial performance, and investors cheered it on with an 8.6% increase in the stock price in post-trading hours.

Netflix just made the news with massive #subscriber gain and a jump in its #stock. The #streaming giant, that was struggling just a year ago, seems to have regained its winning position. It looks like this #streaming #king earned back its crown 👑 by making #strategic, #market and #consumerinsights driven moves, which include: 🌍 Expanding #global reach: While US #subscriptions also grew significantly, much of the recent subscriber growth came from Europe and Asia 🔐 Investing into #security to prevent #password-sharing and borrowing 💲 Introducing a variety of options for subscriptions, with an ability to choose a lower fee for advertising-supported subscription tier ⚽🎮Diversifying #content with #gaming and #sports streaming All this #success and next season of #strangerthings isn't even out until 2025, I believe. 😉

Overall, this was a highly positive report for Netflix on all the more important metrics, which, despite the slight disappointment in future guidance for Q3, should position the company in the right direction toward a solid H2. Mainly, the better-than-expected figures in EPS growth and revenue indicate that the strategy of pushing users into the ad-tier business is just starting to pay off and still has a very high untapped potential. Amid a more competitive backdrop expected for Q3 and beyond, when Netflix's streaming peers are likely to find better macro conditions to pursue faster user growth, Netflix is betting on cashing in where the fat margins are. On top of that, NFLX's strategy could potentially help the company benefit from a weaker US dollar as the Fed approaches its rate-cut cycle, given that it shows a very high potential for growth in markets outside of North America. This means that despite expecting an eventual slowdown in revenue growth, operating margins should remain stable, and cash should keep flowing in - albeit at a slower pace than from last year. Against this backdrop, I would consider the lowering of Q3 guidance an intelligent strategy for keeping excitement put amid sky-high expectations, thus lowering overall stock volatility and attracting the type of long-term investor the company has grown to pursue after the partial crashes of 2022 in the stock. Read all about it on Investing.com: https://lnkd.in/gXajAutT

Binge on Knowledge Before You Binge Their Shows: Is Netflix Still a Buy? Netflix (NFLX) has been a market leader, but is it time to cut the cord on your investment? Finance Team dives deep to analyze the streaming giant's future and help you make an informed decision. ➡️ https://lnkd.in/gCX3x-8g #Netflix #StockMarket #InvestingTips #StreamingWars #FinancialLiteracy Share this post and spark a conversation about the future of Netflix!

#Netflix Inc (NASDAQ:NFLX) is positioned to out-muscle its competitors in the ongoing streaming wars, analysts at Wedbush wrote in a note to clients Thursday.  Wedbush kept the streaming giant on its Best Ideas List, reiterating its Outperform rating and $525 price target. Netflix shares rose 0.5% Thursday to $491.61.  "We think Netflix has reached the right formula with global content creation, balancing costs and increasing profitability, while its password sharing crackdown and eventually its ad-supported tier should further boost cash generation,” the analysts wrote.  As such, Netflix “can generate significantly more free cash flow than its guidance suggests,” they added.  When Netflix released its fiscal third quarter results in October, it raised its fiscal 2023 free cash flow guidance to roughly $6.5 billion from a prior forecast of at least $5 billion.  More at #Proactive #ProactiveInvestors #NASDAQ #NFLX http://ow.ly/t97n1056xgW

Netflix (NASDAQ:NFLX) is performing with strong earnings, subscriber growth expected. Netflix’s 17-year history, as more people sign up for its video streaming services amid the current environment. I foresee another strong performance for Netflix(NASDAQ:NFLX)’s stock in the week. a push towards new 52-week highs, following the release of the streaming giant’s fourth quarter earnings report. Market participants expect a sizable swing in NFLX shares following the print, as per the options market, with a possible implied move of about 9% in either direction. The stock soared 13% after the company’s last earnings report in mid-October. It should be noted that Netflix’s profit estimates have been revised upward 17 times in the last 90 days, according to an InvestingPro survey, as sentiment grows increasingly bullish on the streaming video leader. I reckon Netflix will maintain its rapid pace of subscriber growth and easily top Wall Street estimates of about 8.8 million new global subscribers added during the December quarter.