Netflix (NASDAQ:NFLX) Updates Q2 2026 Earnings Guidance
by Scott Moore · The Cerbat GemNetflix (NASDAQ:NFLX – Get Free Report) issued an update on its second quarter 2026 earnings guidance on Thursday morning. The company provided earnings per share guidance of 0.780-0.780 for the period, compared to the consensus earnings per share estimate of 0.840. The company issued revenue guidance of $12.6 billion-$12.6 billion, compared to the consensus revenue estimate of $12.6 billion.
Netflix Trading Up 0.1%
Shares of NASDAQ:NFLX traded up $0.08 during midday trading on Thursday, hitting $107.79. 54,665,520 shares of the stock traded hands, compared to its average volume of 47,368,508. The stock has a market capitalization of $455.11 billion, a PE ratio of 42.66, a P/E/G ratio of 1.61 and a beta of 1.67. The business’s 50 day moving average is $91.36 and its two-hundred day moving average is $98.65. The company has a quick ratio of 1.19, a current ratio of 1.19 and a debt-to-equity ratio of 0.51. Netflix has a one year low of $75.01 and a one year high of $134.12.
Netflix (NASDAQ:NFLX – Get Free Report) last issued its quarterly earnings data on Tuesday, January 20th. The Internet television network reported $0.56 EPS for the quarter, beating the consensus estimate of $0.55 by $0.01. Netflix had a net margin of 24.30% and a return on equity of 43.26%. The firm had revenue of $12.05 billion during the quarter, compared to the consensus estimate of $11.97 billion. During the same period in the prior year, the firm posted $0.43 earnings per share. The company’s quarterly revenue was up 17.6% compared to the same quarter last year. Netflix has set its Q1 2026 guidance at 0.760-0.760 EPS. As a group, research analysts forecast that Netflix will post 24.58 earnings per share for the current year.
Analysts Set New Price Targets
A number of research firms have recently commented on NFLX. Erste Group Bank upgraded shares of Netflix from a “hold” rating to a “buy” rating in a report on Tuesday, March 24th. Freedom Capital upgraded shares of Netflix from a “hold” rating to a “strong-buy” rating in a report on Tuesday, January 27th. Bank of America cut their price target on shares of Netflix from $149.00 to $125.00 and set a “buy” rating on the stock in a report on Friday, March 6th. Wedbush reiterated an “outperform” rating on shares of Netflix in a report on Thursday. Finally, Citic Securities cut their price target on shares of Netflix from $109.00 to $95.00 and set a “hold” rating on the stock in a report on Monday, January 26th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-five have assigned a Buy rating and thirteen have assigned a Hold rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $115.80.
View Our Latest Report on Netflix
Insider Buying and Selling
In related news, CFO Spencer Adam Neumann sold 28,630 shares of the firm’s stock in a transaction that occurred on Thursday, April 2nd. The shares were sold at an average price of $98.00, for a total value of $2,805,740.00. Following the sale, the chief financial officer owned 73,787 shares in the company, valued at approximately $7,231,126. This trade represents a 27.95% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, insider David A. Hyman sold 5,727 shares of the firm’s stock in a transaction that occurred on Monday, February 9th. The stock was sold at an average price of $81.06, for a total transaction of $464,230.62. Following the completion of the sale, the insider owned 316,100 shares in the company, valued at $25,623,066. This represents a 1.78% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 1,511,233 shares of company stock valued at $138,320,982 in the last ninety days. Corporate insiders own 1.37% of the company’s stock.
Trending Headlines about Netflix
Here are the key news stories impacting Netflix this week:
- Positive Sentiment: Prediction markets and traders are pricing in a strong quarter — Polymarket and other markets show a high probability Netflix will beat EPS estimates, and options imply a sizable post-earnings move. This boosts short-term buyer interest ahead of the print. Prediction Market Preview
- Positive Sentiment: Analysts have ramped up expectations and some firms reiterated bullish views (Guggenheim raised price targets; Citizens highlights ~$1.1B upside from U.S. price hikes). Upgrades and favorable notes are supporting the rally. Analyst Expectation Revamp
- Positive Sentiment: Monetization tailwinds — recent price increases and a growing ad business (reports cite a potential multi-billion dollar annual ad engine) should lift revenue and margins if engagement holds, a key bullish thesis for investors. Ad Business & Price Hikes
- Positive Sentiment: High-profile supporters — media figures like Jim Cramer continue to champion Netflix as a market leader, which can attract retail flows and support sentiment into earnings. Jim Cramer Commentary
- Neutral Sentiment: Street consensus and guidance focus — consensus expects ~ $0.76–$0.79 EPS and ~$12.17–$12.18B revenue; Netflix set Q1 guidance at $0.76. The print will likely move the stock depending on engagement metrics and ad revenue cadence. Earnings Expectations
- Neutral Sentiment: Technical and market backdrop — NFLX recently cleared the 200-day moving average and broader indices hitting records is keeping risk-on flows into large-cap growth names ahead of earnings. These factors support intraday momentum but don’t guarantee direction post-release. Technical Breakout
- Negative Sentiment: Strategic uncertainty after the failed Warner Bros. bid — while Netflix receives a breakup windfall, the company must now show it can grow organically vs. a strengthened competitor (potential Warner Bros + Paramount Skydance). Investors will watch content ROI closely. Warner Bros Bid Fallout
- Negative Sentiment: Execution and competition risks — some analysts (e.g., Needham) warn Netflix must prove ad execution and content choices can fend off hyperscalers and competitors; failure to show progress could trigger downside. Analyst Warning
- Negative Sentiment: Consumer backlash risk — online complaints and cancellations tied to price increases could pressure engagement/ARPU if the company can’t sustain perceived value. Investors will watch churn and viewing hours in the report. Consumer Backlash
Institutional Trading of Netflix
Institutional investors and hedge funds have recently modified their holdings of the company. State Street Corp increased its holdings in Netflix by 927.6% in the 4th quarter. State Street Corp now owns 176,780,995 shares of the Internet television network’s stock valued at $16,574,986,000 after acquiring an additional 159,578,053 shares during the last quarter. Morgan Stanley increased its holdings in shares of Netflix by 903.0% in the 4th quarter. Morgan Stanley now owns 85,349,973 shares of the Internet television network’s stock worth $8,002,414,000 after buying an additional 76,840,318 shares during the last quarter. Price T Rowe Associates Inc. MD increased its holdings in shares of Netflix by 685.8% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 86,058,878 shares of the Internet television network’s stock worth $8,068,882,000 after buying an additional 75,107,069 shares during the last quarter. Bank of America Corp DE increased its holdings in shares of Netflix by 900.3% in the 4th quarter. Bank of America Corp DE now owns 55,566,463 shares of the Internet television network’s stock worth $5,209,912,000 after buying an additional 50,011,603 shares during the last quarter. Finally, Northern Trust Corp increased its holdings in shares of Netflix by 883.1% in the 4th quarter. Northern Trust Corp now owns 43,445,226 shares of the Internet television network’s stock worth $4,073,424,000 after buying an additional 39,026,066 shares during the last quarter. 80.93% of the stock is currently owned by institutional investors.
Netflix Company Profile
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.