Apart from the outlook and subscriber numbers, analysts also pointed to Netflix’s revenue coming in at higher costs, while the company is also facing margin pressures.
Streaming video giant Netflix (NASDAQ: NFLX) reported Q4 CY2025 results beating Wall Street’s revenue expectations, with sales up 17.6% year on year to $12.05 billion. The company expects next quarter’s revenue to be around $12.16 billion, close to analysts’ estimates. Its GAAP profit of $0.56 per share was in line with analysts’ consensus estimates.
Investors are bailing on NFLX stock primarily because they expected more from the mass media giant given its perceived leadership position in streaming.
U.S. stock markets experienced a significant downturn today, with both the S&P 500 and the Nasdaq indices declining. This marks their most substantial drop in over three months. The decline was largely driven by heightened risk-off sentiment, exacerbated by President Donald Trump’s renewed tariff threats related to Greenland.
