Netflix (NASDAQ:NFLX) Updates Q3 2026 Earnings Guidance

Netflix (NASDAQ:NFLX) updated its third quarter 2026 earnings guidance on Friday. The company provided EPS guidance of 0.820-0.820 for the period, compared to the consensus EPS estimate of 0.840. The company issued revenue guidance of $12.9 billion-$12.9 billion, compared to the consensus revenue estimate of $13.0 billion. Netflix also updated its FY 2026 guidance to EPS.

Netflix Stock Up 0.9%

NASDAQ:NFLX opened at $74.35 on Friday. The business’s fifty day moving average price is $80.52 and its 200 day moving average price is $87.03. The company has a current ratio of 1.41, a quick ratio of 1.41 and a debt-to-equity ratio of 0.43. Netflix has a 1-year low of $70.86 and a 1-year high of $127.75. The firm has a market capitalization of $313.07 billion, a price-to-earnings ratio of 24.01, a PEG ratio of 0.94 and a beta of 1.52.

Netflix (NASDAQ:NFLX) last announced its quarterly earnings results on Thursday, July 16th. The Internet television network reported $0.80 EPS for the quarter, beating the consensus estimate of $0.79 by $0.01. Netflix had a return on equity of 40.92% and a net margin of 28.52%.The business had revenue of $12.56 billion during the quarter, compared to analysts’ expectations of $12.58 billion. During the same quarter in the previous year, the business posted $0.72 EPS. The firm’s quarterly revenue was up 13.4% compared to the same quarter last year. On average, sell-side analysts forecast that Netflix will post 3.6 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of analysts have recently weighed in on NFLX shares. Bank of America restated a “buy” rating and issued a $125.00 price objective on shares of Netflix in a research note on Monday, May 18th. Erste Group Bank downgraded shares of Netflix from a “buy” rating to a “hold” rating in a report on Monday, April 27th. HSBC boosted their target price on shares of Netflix from $106.00 to $114.00 and gave the stock a “buy” rating in a research report on Friday, April 10th. The Goldman Sachs Group set a $94.00 price target on Netflix in a research report on Friday. Finally, Wedbush reissued an “outperform” rating and set a $118.00 price objective on shares of Netflix in a research report on Thursday, April 16th. Two research analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating, fourteen have given a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $110.53.

Insider Activity at Netflix

In related news, Director Reed Hastings sold 407,550 shares of the firm’s stock in a transaction that occurred on Friday, May 1st. The shares were sold at an average price of $93.13, for a total value of $37,955,131.50. Following the completion of the sale, the director owned 3,940 shares of the company’s stock, valued at $366,932.20. This trade represents a 99.04% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Theodore A. Sarandos sold 27,312 shares of the company’s stock in a transaction on Tuesday, May 5th. The stock was sold at an average price of $87.97, for a total value of $2,402,636.64. Following the transaction, the chief executive officer directly owned 284,804 shares in the company, valued at approximately $25,054,207.88. This represents a 8.75% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 899,839 shares of company stock valued at $80,141,661 in the last three months. 1.24% of the stock is currently owned by corporate insiders.

Key Stories Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix continued to post strong underlying profitability, with operating income of $4.19 billion and earnings per share slightly ahead of estimates. Netflix Q2 2026 earnings report
• Positive Sentiment: Some analysts remained constructive, with Citi reiterating a Buy rating and other bulls pointing to margin expansion, ad growth, and stable engagement as longer-term support. Citi maintains Buy rating on Netflix
• Neutral Sentiment: Netflix also highlighted new growth avenues such as advertising, live events, video games, creator content, and vertical video, which may help the long-term story but did not offset the near-term disappointment. Netflix new growth initiatives
• Negative Sentiment: Management’s weaker Q3 guidance and reduced disclosure of viewing-hour data intensified investor worries about slowing engagement and less transparency, adding to the selloff. Reuters on Netflix weak forecast
• Negative Sentiment: Broader tech weakness is also weighing on sentiment, with a Nasdaq selloff and concern around AI spending and semiconductor stocks amplifying pressure on NFLX shares. Tech selloff intensifies

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in NFLX. Sivia Capital Partners LLC boosted its stake in Netflix by 21.2% during the 2nd quarter. Sivia Capital Partners LLC now owns 1,406 shares of the Internet television network’s stock worth $1,883,000 after acquiring an additional 246 shares during the last quarter. Schnieders Capital Management LLC. increased its position in shares of Netflix by 12.1% in the 2nd quarter. Schnieders Capital Management LLC. now owns 2,115 shares of the Internet television network’s stock valued at $2,832,000 after buying an additional 228 shares in the last quarter. Brighton Jones LLC raised its stake in Netflix by 5.0% during the 4th quarter. Brighton Jones LLC now owns 5,390 shares of the Internet television network’s stock worth $4,804,000 after buying an additional 257 shares during the period. Scarborough Advisors LLC raised its stake in Netflix by 1,920.6% during the 4th quarter. Scarborough Advisors LLC now owns 687 shares of the Internet television network’s stock worth $64,000 after buying an additional 653 shares during the period. Finally, 1248 Management LLC lifted its holdings in Netflix by 900.0% during the fourth quarter. 1248 Management LLC now owns 620 shares of the Internet television network’s stock worth $58,000 after acquiring an additional 558 shares in the last quarter. Institutional investors and hedge funds own 80.93% of the company’s stock.

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.