There's no hiding the fact that the S&P 500 index has been on a wild ride for the past couple of weeks. Volatility has popped with President Trump's rollout of new trade tariffs on most countries doing business with the United States.
The streamer's shares have climbed 51% over the past year, powered higher by a password-sharing crackdown and a new ads business.
Netflix NFLX shares have shown a nice level of relative strength in 2025, gaining 5% compared to the S&P 500's 8% decline. It's worth noting that shares are decently insulated from the ongoing tariff talks, though the company is reliant on a healthy consumer.
NFLX shows promise, but valuation reflects growth. Investors can hold the stock and wait for better entry amid Q1 seasonality, FX pressures, and streaming competition.
Netflix Inc (NASDAQ:NFLX) will announce its first-quarter results after the close on Thursday, April 17.
In a short trading week, we'll also see earnings from J&J, Abbott Labs, and ASML. A retail sales report will be the most important economic data release against the backdrop of ongoing tariff volatility.
I am downgrading Netflix stock to a "hold" with a price target of $871 due to potential volatility and uncertain macroeconomic conditions impacting ad-supported tier monetization. Netflix's Q4 FY24 earnings showed strong growth with revenue up 16% YoY and operating income up 52% YoY, driven by a robust content slate and momentum in Net New Paid Adds. Key metrics to watch in Q1 FY25 include Net New Paid Adds, watch time, the performance of ad-supported vs. ad-free tiers as well as its impact on overall profitability amid economic uncertainty.
President Donald Trump's decision to impose sweeping tariffs on imports from nearly every country in the world has resulted in one of the worst quarters for the U.S. stock market in years. Investors fear that the impact of this move, as well as the retaliatory actions that some countries have already responded with, will take a heavy toll on the entire economy.
Netflix (NFLX) is scheduled to report first-quarter results after the closing bell Thursday, with analysts suggesting the streaming giant could be well-positioned to weather an uncertain macroeconomic environment.
Sudden drops in the stock market can leave investors with an uneasy feeling. While market crashes have happened several times over the last century, they all come to an end and prove to be the best times to buy stocks.
CNBC's Jim Cramer on Friday told investors which market-moving events to follow next week. He pinpointed earnings reports from major banks like Goldman Sachs, as well as Johnson & Johnson and Netflix,
NFLX's strategic content investment and ad-tier growth fuel its 47.9% stock rise. With record subscriber gains, 2025 offers smart investors an ideal entry point.