On May 26, 2023, Netflix (NFLX) had a closing price of $358.98 in the latest trading session, which was a decrease of 1.61% from the previous day. This change was not as significant as the S&P 500’s gain of 0.88% on the same day, but the tech-heavy Nasdaq lost 3.76%. Before this trading session, Netflix’s shares had increased by 13.61% over the past month, outperforming the Consumer Discretionary sector’s loss of 4.88% and the S&P 500’s loss of 0.38% during that time.
According to projections, Netflix is expected to report earnings of $2.80 per share in its next earnings release, which would be a decrease of 12.5% compared to the previous year. The latest consensus estimate predicts revenue of $8.25 billion, which is an increase of 3.47% from the prior-year quarter. For the full year, Zacks Consensus Estimates are forecasting earnings of $11.19 per share and revenue of $33.77 billion, which would represent changes of +12.46% and +6.8%, respectively, from the prior year.
Analysts forecast that Netflix will grow earnings and revenue by 19.7% and 9.9% per annum, respectively, with EPS expected to grow by 20.5%, and return on equity forecasted to be 24.8% in 3 years. The 35 analysts offering 12-month price forecasts for Netflix Inc have a median target of 380.00, with a high estimate of 450.00 and a low estimate.
The upcoming earnings date for Netflix is estimated to be on July 18, 2023, which is derived from an algorithm based on the company’s historical reporting dates. For the full year ending in December, Netflix’s earnings are projected to rise by 15.67% year over year to $11.51 per share, while full-year revenue of $34.45 billion would mark an increase of 9% year over year.
In the first quarter, Netflix reported revenue and earnings that were roughly in line with Wall Street expectations but offered a forecast below analyst estimates for the next three months. Looking ahead, Netflix forecast $8.242 billion in revenue and $2.86 in diluted EPS for the second quarter, while Wall Street had been projecting $8.476 billion for revenue and $3.05 for diluted EPS.
Netflix Stock Performance on May 26, 2023: Strong Earnings and Revenue Growth Boost Investor Confidence
On May 26, 2023, Netflix (NFLX) opened at $360.57, slightly higher than the previous day’s close of $358.93. Throughout the day, the stock fluctuated between $356.00 and $382.50 with a volume of 427,191. Netflix’s market cap was $162.4B.
Netflix’s earnings growth in the last year was -12.51%, but it has rebounded this year with a growth rate of +12.38%. The company is expected to continue growing at a strong pace over the next five years, with an estimated earnings growth rate of +29.47%. The revenue growth for the last year was +6.46%.
The P/E ratio for Netflix was 41.0, indicating that investors were willing to pay a premium for the stock. The price/sales ratio was 4.21, and the price/book ratio was 7.83.
Netflix performed well on May 26, 2023, compared to other companies in the industry. Comcast (CMCSA) had a slight increase of 1.04%, while Charter Communications (CHTR) had a more significant gain of 2.94%. Warner Bros Discovery (WBD) had a modest increase of 1.99%.
Netflix’s next reporting date was scheduled for July 17, 2023, with an EPS forecast of $2.85. The company had an annual revenue of $31.6B and an annual profit of $4.5B. Its net profit margin was 14.21%.
Overall, Netflix had a volatile day on May 26, 2023, but remained popular among investors due to its strong earnings and revenue growth.
Netflix Inc. Stock Forecast: Analysts Predict Median Target Price of $380.00
On May 26, 2023, Netflix Inc. (NFLX) has a median target price of $380.00, according to 35 analysts who offer a 12-month price forecast. The high estimate is $450.00, while the low estimate is $215.00. This median estimate represents a -0.24% decrease from the last price of $380.93. The current consensus among 44 polled investment analysts is to buy stock in Netflix Inc. The company has been performing well in the current quarter, with earnings per share of $2.85 and sales of $8.3 billion. Investors are eagerly waiting to see the company’s performance when it reports on July 17. Despite competition in the streaming industry, Netflix Inc. has been able to maintain its position as a leader due to its ability to adapt and provide quality content.
Discussion about this post