Netflix (NFLX) stock has struggled since the internet television network in April guided to disappointing subscriber growth for the second quarter.
Netflix stock rose 0.4% to 98.39 on Friday ahead of the company’s Q2 earnings report, set for Monday after the market close.
Shares are down 9% since Netflix reported Q1 results and gave its Q2 guidance on April 18. For the year to date, Netflix stock is down 14%.
So, expectations are muted for the company’s Q2 report.
IBD’s TAKE: Netflix has fallen out of favor with investors. It currently ranks No. 20 out of 21 stocks in IBD’s Leisure-Movies & Related industry group. For more information on Netflix stock, visit IBD Stock Checkup.
Netflix expects to add 500,000 new U.S. streaming subscribers in the June quarter, down from 900,000 in the year-earlier period. It is targeting 2 million new international streaming subscribers, vs. 2.37 million a year ago.
Analysts polled by Thomson Reuters expect Netflix to earn 2 cents a share on sales of $2.11 billion. A year earlier, Netflix earned 6 cents a share on sales of $1.64 billion. But earnings have taken a back seat to sales growth as the company has rapidly expanded Read Full Article
Source: Technology – IBD