Netflix's valuation is lofty with a P/E ratio of ~35, requiring future growth. Current FCF yield of
Netflix's Q3 earnings were exceptional, with a 15% revenue increase and an 800 basis point margin expansion, leading to a BUY rating reiteration. Netflix's first-mover advantage and advertising growth are key drivers, allowing it to outperform peers like Disney and Warner Bros. Discovery. Advertising is a crucial future profit driver, with ad-supported subscriptions growing 35% quarter-over-quarter, and ad revenue expected to double by 2025.
NFLX's double beat FQ3'24 earnings call and promising FY2025 guidance have underscored why it is likely to remain highly profitable. This is despite the stagnant streaming market share growth and decelerating membership net adds, with the advertising segment yet to be a growth driver in 2025. With NFLX set to release an exciting Q4 slate aided by the highly sticky membership base, we expect the management to deliver another beat (and potentially, raise) performance.
The streaming pioneer is adding millions of new subscribers while profit margins expand.
'The Claman Countdown' panelists Jason Bazinet and Alicia Reese break down earnings numbers.
'Mad Money' host Jim Cramer looks closer at Netflix's Q3 results.
'Mad Money' host Jim Cramer looks closer at Netflix's Q3 results.
To get the latest market news check out finance.yahoo.com US stocks notched records and extended impressive streaks Friday as Netflix (NFLX) delivered powerful earnings and set the stage for Big Tech's corporate results in the coming days. The S&P 500 (^GSPC) added about 0.4% and recorded a fresh all-time high, as well as its sixth straight week of gains, the longest streak in 2024.
Major U.S. equities indexes moved higher on the final day of a trading week that included a series of earnings reports from key companies.
Here are some of the major companies whose stocks moved on the week's news.
The stock market rose while the Dow Jones and S&P 500 hit new highs. Tesla earnings and a quarterly report from GE now loom.
Netflix ( NFLX ) stock is making new record highs today on the back of a strong quarterly earnings report. Earnings per share of $5.40 beat estimates of $5.12 and revenue of $9.83 billion beat estimates of $9.77 billion.