Netflix stock price dip after ER

I work with some clients who have extensive online retail operations. They were flying all last year including Christmas. January was good too if a little subdued, but February March and April have been disastrous.

On the flip side, those with physical retail have seen good performance of the stores. One person said it was like the last 2 years did not happen and retail has mostly returned to the pattern of pre-covid.

If you put that against any company that rode the covid / wfh wave, they will have poor reports. Then also combine with less discretionary spending and you will see poor figures from companies in that space

TSLA up almost 5% after-hours..

nice trade, well done!

I find the response to Netflix update to be a little tabloid and panicked. The way some people are commenting, they are talking like Netflix is doomed!

I actually thought the update was actually positive. We always knew that Netflix had received an artificial bump in subscriptions due to the pandemic. And the share price had already dropped 50% from last November to (over) reflect that. But, instead of losing 10's of millions of subscriptions, they are actually holding steady which is great to see. On that, while every media outlet is harping on about "losing" 200K, firstly, that's less than 0.1%, but is also including the fact that they withdrew from Russia which had 700K subs (so they actually added 500K, other than Russia). But more than that, Netflix raised prices recently, which is just pure profit, and didn't result in any subscription loss. Add to that the fact that they are looking to convert even some of the current "sharers" to actual subscriptions, I'm very bullish on the long-term of Netflix.

I get that, but for the share price to fall 70% since November, when everything is going according to predictions (everybody knew growth would slow/stall for a while post pandemic, but long-term outlook is still good) really shows just how short-sight and over-reactive many (retail?) investors are. Or, to put it another way, the share price hasn't been this low since 2017 - basically, the market considers Netflix to be the same today as it was in 2017 when it was much smaller (one third the revenue) and only breaking even on earnings as opposed to today's more than 6.5 billion in earnings and growing strong. Similarly with EPS which has gone from sweet fa to more than 3.5 (and beating expectations by 20%).

I too added a few more shares to my portfolio at these bargain prices :)

Good to see that the share price has been growing steadily since this crash and is now back to pre-crash levels within 9 months (despite the overall market performing poorly over this time period). With Netflix subscriptions and revenues continuing to grow at a nice, modest rate, hopefully the share price will keep growing at a nice steady rate for years to come!