NFLX - Netflix Q4: Stock's Reaction Prompts My Rating Downgrade
2024-01-24 09:00:00 ET
Summary
- Netflix reported its best ever Q4 in terms of net additions.
- Ad-tier is gaining momentum, to the extent that the company plans to completely retire its basic ad-free plan.
- Netflix stock may be ahead of itself at 35 times 2024 EPS estimates.
- I am downgrading NFLX stock to a hold as I believe growth will slow down due to competitive and pricing threats.
Netflix, Inc. (NFLX) reported its Q4 earnings last night as Seeking Alpha has covered here . The stock is up more than 10% pre-market, on the back of a day where the company and stock already made headlines about grabbing the rights to WWE Raw from 2025. A 10% move for a $200 billion company is not an everyday event, even on an earnings day. What did the market like so much in the Q4 report?...
Netflix Q4: Stock's Reaction Prompts My Rating Downgrade