Netflix stock

The company said it added more subscribers than expected, but missed earnings estimates.

As always, our north stars remain pleasing our members and building even greater profitability over time." [ad-supported tier](https://www.axios.com/2022/10/13/netflix-ad-supported-tier-us) last November. [ad-supported tier](https://www.axios.com/2022/10/13/netflix-ad-supported-tier-us), which launches in the U.S. - Netflix said last quarter that it would no longer be offering subscriber addition guidance as a part of its earnings report because it wanted revenue to be its primary key performance indicator. [major hits](https://www.axios.com/2022/07/20/netflix-streaming-subscribers-losses-profits)on its stock last year. [Economy & Business](https://www.axios.com/economy-business)

Netflix's fourth-quarter additions brought its total paid subscribers to 231 million. Growth was driven by new offerings like “Wednesday" and “Harry ...

Last year, the company saw [more than a third of its value wiped out](https://www.washingtonpost.com/world/2022/04/20/netflix-loses-subscribers-russia/?itid=lk_inline_manual_22&itid=lk_inline_manual_14) after a poor showing in the first quarter. It turned its hit “Stranger Things” into a game and has made shows based on popular video games such as “League of Legends.” Competition in the streaming segment has intensified beyond direct competitors, with options for audiences expanding to YouTube, TikTok and gaming. While it did not disclose the numbers, the company said it was pleased with the progress. [letter](https://s22.q4cdn.com/959853165/files/doc_financials/2022/q4/FINAL-Q4-22-Shareholder-Letter.pdf) to shareholders released Thursday, Netflix said the new subscribers were well over its forecast of 4.5 million. TV series “Wednesday,” an Addams Family spinoff, was the company’s “third most popular series ever,” while documentary “Harry & Meghan” was a hit with audiences.

A sign is posted in front of a Google office on April 26, 2022 in San Francisco, California. Google parent company Alphabet will report first quarter earnings ...

Shares of Macy's fell more than 2%, while [Kohl's](/quotes/KSS/) declined 4%. [Dillard's](/quotes/DDS/) dipped 1.3%. [Eli Lilly ](/quotes/LLY/)— Shares of the pharmaceutical company slumped more than 1% in premarket after the U.S. [Regeneron Pharmaceuticals](/quotes/REGN/) — The pharmaceutical giant gained 1% in the premarket after being [upgraded to overweight from neutral by JPMorgan](https://www.cnbc.com/2023/01/20/jpmorgan-upgrades-regeneron-says-eye-drug-launch-could-help-boost-shares-nearly-20percent.html). [Nordstrom](/quotes/JWN/) — Shares of the retailer fell 7% in premarket trading after Nordstrom announced that its holiday sales fell 3.5% year over year. [Ralph Lauren](/quotes/RL/) — The stock rose more than 1% after Barclays upgraded Ralph Lauren to overweight, saying investors are buying a "best-in-class" apparel brand with continued elevation.

Netflix reported more new subscribers than expected in the fourth quarter. But its profit missed views. Still, Netflix stock rose.

In the same quarter last year, Netflix earned $3.53 a share on sales of $7.87 billion. For the first quarter, Netflix expects to earn $2.82 a share on sales of $8.17 billion. In the year-earlier period, Netflix earned $1.33 a share on sales of $7.71 billion. Wlodarczak rates Netflix stock as buy with a price target of 400. Netflix earned 12 cents a share on revenue of $7.85 billion in the period. [IBD Stock Checkup](https://research.investors.com/stock-checkup/nasdaq-netflix-nflx.aspx). During the regular session Thursday, Netflix stock fell 3.2% to close at 315.78. Wall Street cheered Netflix's free cash flow generation. The company reported $1.6 billion in free cash flow in 2022 and expects at least $3 billion in 2023. "As always, our north stars remain pleasing our members and building even greater profitability over time." Analysts polled by FactSet expected Netflix to add 4.57 million new subscribers. Wall Street had predicted earnings of 55 cents a share on sales of $7.86 billion.

Netflix Stock Rises as Bullish Analysts Boost Price Targets, But Will It Soon Take a Breather? Hopes for momentum for the ad-tier, an account sharing crackdown ...

“We expect the stock to take a pause in the mid-$300s for a bit since the first quarter will see lower earnings and margins year-over-year (mostly content timing) and paid (password) sharing will start to impact net adds,” the analyst detailed. But Benchmark analyst Matthew Harrigan remains a Netflix bear, maintaining a “sell” rating, even though he pushed his stock price target from $225 to $250. The Wells Fargo expert projects an acceleration in growth that “will likely come from advertising gaining scale, which we see as nearly a foregone conclusion over time,” projecting 2023 ad revenue of $1.3 billion, followed by $4.2 billion in 2024 and $8.1 billion in 2025. “Reed Hastings stepping down from his current role raises a lot of questions about Netflix’s future strategy,” he said. “Downside risk is mostly about the content pipeline weakening materially, and we think the first half of 2022 was a rare content air pocket.” “Content performance is underpinning all aspects of financial improvement and helps investors sleep better,” he wrote. “Having run from $200 per share, a lot of improvement is now baked in,” he explained in his report, aptly titled “Run, Pause, Run.” “We think Netflix made a great decision to launch an ad-tier, as growth had stalled in the U.S./Canada and was heading toward full market saturation in Europe, the Middle East and Africa. Meanwhile, Pivotal Research Group analyst Jeffrey Wlodarczak stuck to his “buy” rating on Netflix shares, but raised his price target from $375 to $400, driven by increased subscriber and free cash flow forecasts. The financial impact of the ad tier will be limited until mid-year, with “contributions to expand over time,” Morris concluded. The Evercore ISI analyst’s bullish conclusion: “Netflix isn’t going into these GCI catalysts from a position of dramatic weakness, which is what the market had feared. In particular, we are bullish on the long-term potential of advertising, which management stated could eventually reach 10 percent of total revenues.”

Check out the companies making headlines in midday trading. Netflix – Shares of Netflix jumped 6.3% after the company's per-share earnings came short of ...

[Costco](/quotes/COST/) – Shares of Costco rose 1.2% after the company said its board [reauthorized a stock repurchase program](https://investor.costco.com/news/news-details/2023/Costco-Wholesale-Corporation-Announces-Reauthorization-of-Stock-Repurchase-Program-and-Quarterly-Cash-Dividend/default.aspx) of up to $4 billion through January 2027. The company also announced that [co-CEO Reed Hastings would step down from the role](https://www.cnbc.com/2023/01/19/netflixs-reed-hastings-is-giving-up-ceo-role.html). Nevertheless, the latest quarterly results showed the [streaming service added millions more subscribers](https://www.cnbc.com/2023/01/19/netflix-nflx-earnings-q4-2022.html) in the quarter than Wall Street anticipated. [Macy's](/quotes/M/), [Kohl's](/quotes/KSS/) and [Dillard's](/quotes/DDS/) fell 2.5%, 4% and 1.3% respectively. [Nordstrom](/quotes/JWN/) – Nordstrom shares fell 6.5% after the [company cut its annual profit forecast for its fiscal year following weak holiday sales.](https://www.cnbc.com/2023/01/19/nordstrom-shares-sink-after-retailer-posts-weak-holiday-sales.html) The retailer reported that net sales for the holiday period slipped 3.5%, and that it now expects annual revenue growth at the lower end of the 5% to 7% range it previously gave. [Netflix](/quotes/NFLX/) – Shares of Netflix jumped 6.3% after the company's per-share earnings came short of analysts' expectations.

Netflix (NFLX) is surging this morning, after better-than-expected subscriber growth attracted a slew of bull notes.

30, and have added more than 59% during the last nine months. The equity is up 7.9% to trade at $340.64 at last check, as bull notes continue to blow tailwinds. Options traders are not holding back, either, with 102,000 calls and 120,000 puts exchanged so far today, which is seven times the average intraday volume.

Stocks rose Friday as tech heavyweights Alphabet and Netflix advanced—though only the Nasdaq Composite managed to eke out a weekly gain following a 2.7% ...

Alphabet’s median employee pay for 2021 was $295,884—the highest in the S&P 500, according to calculations by The Wall Street Journal.\n\nShares of Alphabet rose 4% on the day—a sign of investor support for the cuts as the company joins the ranks of fellow big tech names like Meta Platforms, Microsoft, Amazon.com and Salesforce in enacting broad layoffs in recent months.\n\nThis analysis comes from the Journal's Heard on the Street team. Many prospective sellers don't want to list their homes because they would have to trade in for a higher mortgage rate to finance their next home.\n\nSpeaking of impossible problems, Google parent Alphabet said Friday it would lay off 12,000 employees—the company's first large-scale layoffs in its core business. The latest data looked pretty bleak: Sales of previously owned homes slid 17.8% in 2022 from the prior year to just over 5 million, the National Association of Realtors said Friday.

Wayfair announces it is slashing 10% of its workforce. Ally posts a fourth-quarter earnings beat.

Netflix stock reached its highest level since last April as Wall Street cheered subscriber growth and a smoothly executed executive succession plan.

But he cautioned in a note to clients that the stock “has run too far and too fast given the fundamentals.” In a note to clients, he acknowledged that it seems that “the good vibes are back” after a rocky period. The changing of the executive guard is a non-factor, as she sees it. As far as the change in leadership, “We don’t love that Reed H. Still, not only is the company growing again, but it pulled an anti-Disney, announcing in the earnings release that co-founder [Reed Hastings](https://deadline.com/tag/reed-hastings/) has handed off his Co-CEO title to longtime exec Greg Peters, who shares it with Ted Sarandos. [said](https://deadline.com/2023/01/netflix-beats-q4-subscriber-growth-target-mixed-financial-results-streaming-1235227761/) it added almost 7.7 million global subscribers in the period, reaching 230.75 million, far exceeding analysts’ consensus forecast.

Netflix reported much higher-than-expected subscriber growth, while Wall Street cheered Alphabet's layoff announcement.

The lesson of the past two years: Be ready for anything. By Karee Venema • Published With over a decade of experience writing about the stock market, Karee Venema is an investing editor and options expert at Kiplinger.com. She joined the publication in April 2021 after 10 years of working as an investing writer and columnist at Schaeffer's Investment Research. Despite a dismal end of the year for [Tesla stock](https://www.kiplinger.com/investing/stocks/tesla-stock-slumps-on-demand-concerns), analysts still expect solid growth in the company's Q4 financial results. Additionally, December's personal consumption expenditures (PCE) index – the Fed's preferred measure of inflation that tracks [consumer spending](https://www.kiplinger.com/economic-forecasts/retail-sales) – will be released Friday. Ahead of this, Wall Street will get more data on how the economy is holding up amid the central bank's efforts to tame Lots of chatter around what the Federal Reserve may or may not do at its upcoming two-day policy meeting, set to kick off on Tuesday, Jan. This follows similar layoff announcements from several big tech companies in recent months, most notably Amazon.com ( [AMZN](https://www.kiplinger.com/tfn/ticker.html?ticker=AMZN) (opens in new tab)), Meta Platforms ( [META](https://www.kiplinger.com/tfn/ticker.html?ticker=META) (opens in new tab)) and Microsoft ( [MSFT](https://www.kiplinger.com/tfn/ticker.html?ticker=MSFT) (opens in new tab)). Elsewhere in the tech space, Alphabet said it is cutting roughly 12,000 positions, which works out to be about 6% of its global workforce, sending its shares up 5.3%. "While Wall Street sags with the weight of Stocks ended the week on a high note.

Tech stocks on display at the Nasdaq. Peter Kramer | CNBC. Check out the companies making headlines in midday trading. Netflix

[American Tower](/quotes/AMT/) — Shares of American Tower fell 0.87% after reports that the company may be exploring a takeover bid of Spanish company Cellnex. [Concentrix](/quotes/CNXC/) — The stock declined 0.68% after the IT service management company posted weaker-than-expected [quarterly results](https://ir.concentrix.com/news-releases/news-release-details/concentrix-reports-fiscal-2022-fourth-quarter-and-full-year). [PagerDuty](/quotes/PD/) — The software stock jumped more than 5% after [being upgraded](https://www.cnbc.com/2023/01/20/morgan-stanley-upgrades-this-under-the-radar-software-stock-poised-to-survive-it-budget-cuts.html) to overweight from equal weight by Morgan Stanley. [Ally Financial](/quotes/ALLY/) — The financial stock rallied a whopping 20.01% after the company reported better-than-expected quarterly results. [Eli Lilly](/quotes/LLY/) — Shares of the pharmaceutical company fell 1.43% after the U.S. [PPG Industries](/quotes/PPG/) — Shares of PPG Industries climbed 5.99% after the company reported earnings that were in line with analyst estimates. [Netflix](/quotes/NFLX/) — Shares of the streaming giant jumped more than 8% after Netflix [added 7.66 million net subscribers](https://www.cnbc.com/2023/01/19/netflix-nflx-earnings-q4-2022.html) in the fourth quarter, above the 4.57 million expected, according to StreetAccount. [SVB Financial](/quotes/SIVB/) — Shares surged 16.56%, a day after Wells Fargo said SVB Financial seems like the "deal of the century" and said the bank "remains the trusted partner of the innovation economy." [Ralph Lauren](/quotes/RL/) — Shares rose more than 3% after [Barclays upgraded Ralph Lauren](https://www.cnbc.com/2023/01/20/barclays-upgrades-ralph-lauren-a-best-in-class-apparel-name-with-growth-opportunities.html) to overweight from equal weight, saying investors are buying a "best-in-class apparel brand with a proven track record of brand elevation." [Alphabet](/quotes/GOOGL/) — The Google parent saw shares rise 5.34% after CEO Sundar Pichai announced the company [will lay off 12,000 employees](https://www.cnbc.com/2023/01/20/google-to-lay-off-12000-people-memo-from-ceo-sundar-pichai-says.html) noting in a memo that the company "hired for a different economic reality than the one we face today." Thursday's slide in shares came after news reports announcing that [the company cut 1,100 jobs](https://www.reuters.com/technology/capital-one-scraps-1100-tech-positions-source-2023-01-19/) in its technology division. [Coinbase](/quotes/COIN/) — The crypto services firm climbed 11.61% after JPMorgan [reiterated its neutral rating](https://www.cnbc.com/2023/01/20/fridays-top-wall-street-analyst-calls-include-tesla-netflix.html) on the stock, calling it a potential "beneficiary of the challenges that have faced other brokers/exchanges in the aftermath of the collapse and bankruptcy of FTX."