Netflix (NASDAQ:NFLX) Issues Q4 2026 Earnings Guidance

Netflix (NASDAQ:NFLX) issued an update on its fourth quarter 2026 earnings guidance on Wednesday. The company provided earnings per share (EPS) guidance of 0.670-0.670 for the period, compared to the consensus EPS estimate of 0.730. The company issued revenue guidance of $13.4 billion, compared to the consensus revenue estimate of $13.5 billion. Netflix also updated its FY 2026 guidance to EPS.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on NFLX shares. Barclays set a $65.00 price target on shares of Netflix and gave the stock an “equal weight” rating in a research report on Wednesday. BMO Capital Markets reissued an “outperform” rating and set a $125.00 price objective (down from $135.00) on shares of Netflix in a report on Friday, October 16th. KeyCorp lowered their price objective on shares of Netflix from $92.00 to $85.00 and set an “overweight” rating for the company in a research report on Tuesday, October 13th. Phillip Securities raised shares of Netflix from a “moderate buy” rating to a “strong-buy” rating and set a $110.00 target price for the company in a research note on Sunday, July 19th. Finally, Wedbush dropped their target price on shares of Netflix from $105.00 to $90.00 and set an “outperform” rating for the company in a research note on Friday, October 16th. Three investment analysts have rated the stock with a Strong Buy rating, thirty-five have given a Buy rating, sixteen have assigned a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $89.94.

Netflix Trading Down 5.3%

Shares of NFLX stock traded down $3.65 on Wednesday, reaching $65.04. 101,075,288 shares of the stock were exchanged, compared to its average volume of 42,641,000. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.14 and a quick ratio of 1.14. Netflix has a one year low of $64.10 and a one year high of $116.73. The stock has a market cap of $270.82 billion, a PE ratio of 20.47, a P/E/G ratio of 0.99 and a beta of 1.62. The stock has a 50 day moving average price of $74.92 and a 200 day moving average price of $80.20.

Netflix (NASDAQ:NFLX) last announced its quarterly earnings data on Tuesday, October 20th. The Internet television network reported $0.87 EPS for the quarter, topping analysts’ consensus estimates of $0.82 by $0.05. The firm had revenue of $12.87 billion during the quarter, compared to analyst estimates of $12.87 billion. Netflix had a return on equity of 40.02% and a net margin of 28.22%. The company’s revenue was up 11.9% on a year-over-year basis. During the same period last year, the company earned $0.59 earnings per share. Equities research analysts forecast that Netflix will post 3.59 EPS for the current fiscal year.

Insider Activity

In other news, CEO Theodore A. Sarandos sold 27,312 shares of the firm’s stock in a transaction on Tuesday, August 4th. The stock was sold at an average price of $73.35, for a total value of $2,003,335.20. Following the transaction, the chief executive officer directly owned 178,954 shares in the company, valued at $13,126,275.90. This trade represents a 13.24% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Gregory K. Peters sold 27,312 shares of Netflix stock in a transaction on Thursday, August 6th. The stock was sold at an average price of $73.54, for a total value of $2,008,524.48. Following the sale, the chief executive officer directly owned 120,931 shares of the company’s stock, valued at approximately $8,893,265.74. This trade represents a 18.42% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 179,045 shares of company stock worth $13,132,194. Corporate insiders own 1.24% of the company’s stock.

Key Headlines Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix reported third-quarter EPS of $0.87, above the $0.82 consensus estimate. Revenue rose approximately 12% year over year to $12.87 billion, while operating margin expanded to 34.6% and net income increased 44% to about $3.66 billion. Netflix Q3 results
• Positive Sentiment: Some analysts view the selloff as an opportunity: BMO reportedly sees substantial upside, while TD Cowen maintained a Buy rating with a $100 target. UBS said Netflix’s fundamental positioning remains intact, and management continues to target double-digit revenue growth into 2027. BMO analyst view
• Neutral Sentiment: Management is pursuing additional growth avenues, including theatrical releases, live events, third-party content partnerships and a revamped content organization. However, investors want evidence that these initiatives can improve viewing engagement and produce more breakout hits. Netflix theatrical strategy
• Negative Sentiment: Netflix forecast fourth-quarter revenue of roughly $13.44 billion, below analysts’ expectations of about $13.52 billion, implying another quarter of slowing sales growth. The company also reduced its 2026 advertising-revenue outlook to approximately $2.7 billion from $3 billion because product rollouts are progressing more slowly than expected. Netflix weak fourth-quarter forecast
• Negative Sentiment: Investors remain concerned about stagnant or modest viewing-hour growth, particularly in the U.S., as YouTube, TikTok and other streaming services compete for attention. Co-CEO Ted Sarandos acknowledged that Netflix needs better execution and stronger U.S. programming. Netflix engagement concerns
• Negative Sentiment: Wall Street responded with multiple price-target reductions, including cuts from JPMorgan, Bank of America and Guggenheim, while Needham downgraded NFLX to Hold. Lower 2026 free-cash-flow guidance and restructuring costs that are expected to pressure fourth-quarter margins added to the selling pressure. Netflix analyst price-target cuts

About Netflix

Netflix, Inc (NASDAQ:NFLX) is a global entertainment company that provides subscription-based streaming services. Its platform offers a broad selection of television series, films, documentaries, stand-up specials and other programming, including content produced by Netflix and licensed from third-party studios and creators.

The company also develops and distributes original productions under the Netflix brand and has expanded into additional entertainment offerings, including mobile and cloud-based games in select markets and live programming.