Netflix (NASDAQ:NFLX) Updates Q1 2026 Earnings Guidance

Netflix (NASDAQ:NFLX) updated its first quarter 2026 earnings guidance on Tuesday. The company provided earnings per share guidance of 0.760-0.760 for the period, compared to the consensus earnings per share estimate of 0.810. The company issued revenue guidance of $12.2 billion-$12.2 billion, compared to the consensus revenue estimate of $12.2 billion. Netflix also updated its FY 2026 guidance to EPS.

Netflix Stock Down 0.8%

Netflix stock traded down $0.74 during trading hours on Tuesday, reaching $87.26. The stock had a trading volume of 102,140,474 shares, compared to its average volume of 47,457,699. The company has a market cap of $369.75 billion, a price-to-earnings ratio of 36.45 and a beta of 1.71. The business’s 50 day moving average price is $98.48 and its 200-day moving average price is $112.51. Netflix has a 52 week low of $82.11 and a 52 week high of $134.12. The company has a debt-to-equity ratio of 0.56, a current ratio of 1.33 and a quick ratio of 1.33.

Netflix (NASDAQ:NFLX) last posted its earnings results on Tuesday, October 21st. The Internet television network reported $5.87 EPS for the quarter, missing analysts’ consensus estimates of $6.96 by ($1.09). The firm had revenue of $11.51 billion for the quarter, compared to analysts’ expectations of $11.51 billion. Netflix had a net margin of 24.05% and a return on equity of 41.86%. The company’s revenue was up 17.2% on a year-over-year basis. During the same period in the previous year, the company earned $5.40 EPS. Sell-side analysts anticipate that Netflix will post 24.58 EPS for the current year.

Wall Street Analyst Weigh In

A number of brokerages have recently weighed in on NFLX. Citic Securities dropped their price objective on shares of Netflix from $128.00 to $125.00 and set a “hold” rating on the stock in a report on Wednesday, October 29th. TD Cowen cut their price target on shares of Netflix from $142.00 to $115.00 and set a “buy” rating on the stock in a report on Tuesday, January 13th. Needham & Company LLC reissued a “buy” rating and set a $150.00 target price on shares of Netflix in a report on Tuesday, December 9th. Rosenblatt Securities reaffirmed a “neutral” rating and issued a $105.00 price target on shares of Netflix in a report on Friday. Finally, Hsbc Global Res raised Netflix to a “strong-buy” rating in a research report on Monday, January 12th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating, fifteen have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, Netflix has an average rating of “Moderate Buy” and a consensus target price of $127.13.

Insider Activity at Netflix

In related news, CFO Spencer Adam Neumann sold 23,600 shares of Netflix stock in a transaction that occurred on Monday, November 3rd. The shares were sold at an average price of $109.76, for a total value of $2,590,241.60. Following the completion of the transaction, the chief financial officer owned 39,310 shares in the company, valued at $4,314,508.36. The trade was a 37.51% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider David A. Hyman sold 314,620 shares of the stock in a transaction on Tuesday, November 4th. The shares were sold at an average price of $109.98, for a total value of $34,603,166.08. Following the completion of the transaction, the insider directly owned 316,100 shares in the company, valued at $34,765,942.40. This trade represents a 49.88% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 1,630,160 shares of company stock valued at $171,076,053 over the last quarter. 1.37% of the stock is owned by insiders.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Holiday/streaming momentum and product upgrades — Netflix reported stronger engagement metrics (viewership +10% in recent streaming data) and is testing a “voting” feature, which together signal healthy content-driven growth that could support subscriber and ad revenue beat potential in Q4. Netflix Stock (NFLX) Rises Ahead of Q4 on Streaming Gains, Voting Feature
• Positive Sentiment: Content tailwinds into earnings — Several outlets and analysts point to a strong holiday season (final season of Stranger Things, NFL games, other hits) that could drive upside to engagement, subscriber metrics and ad monetization on the Q4 report. From NFL Games to Stranger Things, Netflix Just Had Its Biggest Holiday Season Ever
• Neutral Sentiment: Earnings expectations and event risk — NFLX reports Q4 after the bell with Street estimates (consensus EPS and revenue targets) and options-implied moves near ~7–8%, meaning the stock is set up for a sizeable short-term swing regardless of direction. Traders should expect heightened volatility around the release. Netflix reports earnings after the bell. Here’s what to expect
• Negative Sentiment: All-cash Warner Bros. Discovery bid raises financing and leverage concerns — Netflix amended the deal to an all-cash structure (same headline price) to secure board/shareholder support and fend off Paramount, but that increases near-term cash needs and investor worry about leverage and integration risk. Netflix submits amended all-cash offer for Warner Bros, wins board support
• Negative Sentiment: Debt and financing details emerging — Reports say Netflix has secured more bank debt to fund the amended all-cash offer, a development that can pressure margins/credit metrics and fuel investor concern if earnings or cash flow disappoint. Netflix secures more debt from banks to buy Warner’s assets under new all-cash offer
• Negative Sentiment: Analyst pressure and valuation adjustments — Some firms have trimmed targets and warned the Warner deal could overshadow core growth; KeyBanc cut its price target recently, reflecting near-term uncertainty. KeyBanc cuts PT on Netflix, Inc. (NFLX) to $110 from $139
• Negative Sentiment: Insider selling noted — Recent director-level share sales have been flagged by filings; while not uncommon, insider disposals can add to negative sentiment ahead of a major earnings and M&A moment. Insider Selling: Netflix Director Sells $2.8M in Stock

Hedge Funds Weigh In On Netflix

Hedge funds and other institutional investors have recently bought and sold shares of the company. Pacific Sun Financial Corp lifted its position in shares of Netflix by 1.6% during the third quarter. Pacific Sun Financial Corp now owns 574 shares of the Internet television network’s stock worth $688,000 after purchasing an additional 9 shares during the last quarter. Beaird Harris Wealth Management LLC boosted its position in shares of Netflix by 9.6% during the third quarter. Beaird Harris Wealth Management LLC now owns 114 shares of the Internet television network’s stock worth $137,000 after buying an additional 10 shares during the period. Monograph Wealth Advisors LLC raised its holdings in Netflix by 1.8% during the second quarter. Monograph Wealth Advisors LLC now owns 682 shares of the Internet television network’s stock worth $913,000 after purchasing an additional 12 shares in the last quarter. Resources Management Corp CT ADV grew its position in Netflix by 2.0% in the second quarter. Resources Management Corp CT ADV now owns 829 shares of the Internet television network’s stock worth $1,110,000 after buying an additional 16 shares during the last quarter. Finally, Sompo Asset Management Co. Ltd. grew its position in Netflix by 1.4% during the 2nd quarter. Sompo Asset Management Co. Ltd. now owns 1,500 shares of the Internet television network’s stock worth $2,009,000 after purchasing an additional 20 shares in the last quarter. 80.93% of the stock is owned by institutional investors and hedge funds.

About Netflix

Netflix, Inc (NASDAQ: NFLX) is a global entertainment company that provides subscription-based streaming of films, television series, documentaries and other video content. Founded in 1997 by Reed Hastings and Marc Randolph and headquartered in Los Gatos, California, the company began as a DVD-by-mail rental service and introduced streaming video in 2007. Netflix later expanded into producing and distributing original programming, beginning notable original hits in the 2010s, and now operates a content production and distribution ecosystem alongside its licensing activity.

The company’s primary product is its on-demand streaming service, which can be accessed on a wide range of internet-connected devices and delivered through a suite of apps and web platforms.