Zacks.com users have recently been watching Netflix (NFLX) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.
Netflix (NFLX) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Sector expert Dan Rayburn on the streaming industry rapidly evolving with asset spin-offs, rising prices, and increased ad loads, making ARPU and profitability key investor metrics. Netflix is still king, leading in profitability, international growth, and ad-supported revenue, while adapting quickly to market shifts.
Netflix (NFLX) has an impressive earnings surprise history and currently possesses the right combination of the two key ingredients for a likely beat in its next quarterly report.
Finding stocks expected to beat quarterly earnings estimates becomes an easier task with our Zacks Earnings ESP.
Netflix (NASDAQ:NFLX) is anticipated to announce its Q2 2025 earnings on Thursday, July 17, 2025. According to consensus estimates, revenues are expected to reach approximately $11 billion for the quarter, representing a 15% increase compared to the previous year, while earnings are projected to be $7.06 per share, up from $4.88 during the same period last year.
In the latest trading session, Netflix (NFLX) closed at $1, marking a -1.11% move from the previous day.
According to NextEarningsDate.com, the Netflix NFLX next earnings date is projected to be 7/17 after the close, with earnings estimates of $7.06/share on $11.04 Billion of revenue.
Netflix, Inc.'s fundamentals remain strong, with robust revenue and profit growth, making it a compelling long-term investment despite a high valuation. Key catalysts include successful price increases, rapid growth in ad-supported subscriptions, and new content deals like WWE and NFL games. I rate Netflix a Buy and would consider adding more if the stock pulls back 5-10% after earnings, given its solid outlook and execution.
I am downgrading Netflix from buy to hold due to valuation concerns, despite strong fundamentals and a 40% YTD share price increase. Netflix's operational efficiency, subscriber retention, and pricing have driven impressive growth, but the current price no longer offers an attractive entry point. My DCF model, even with optimistic AI-driven margin assumptions, suggests a 6.9% downside from current levels, making the stock less compelling.
Netflix's stock slipped after a downgrade at Seaport Research, which believes the it has already priced in growth that could be years down the line.
Streaming favorite Netflix Inc (NASDAQ:NFLX) is down 1.1% to trade at $1,291.57, after suffering a downgrade to "neutral" from "buy" at Seaport Research Partners.