Netflix (NASDAQ:NFLX) Updates Q2 2026 Earnings Guidance

16 Apr 2026, 17:30 by Renee Jackson · The Cerbat Gem

Netflix (NASDAQ:NFLX – Get Free Report) issued an update on its second quarter 2026 earnings guidance on Thursday morning. The company provided earnings per share (EPS) guidance of 0.780-0.780 for the period, compared to the consensus 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 Stock Performance

Shares of NASDAQ:NFLX traded up $0.08 on Thursday, hitting $107.79. 51,464,622 shares of the company were exchanged, compared to its average volume of 47,172,727. The firm has a market capitalization of $455.11 billion, a P/E ratio of 42.66, a price-to-earnings-growth ratio of 1.61 and a beta of 1.67. The company has a current ratio of 1.19, a quick ratio of 1.19 and a debt-to-equity ratio of 0.51. Netflix has a 1-year low of $75.01 and a 1-year high of $134.12. The stock’s 50 day moving average price is $91.36 and its 200 day moving average price is $98.65.

Netflix (NASDAQ:NFLX – Get Free Report) last released its earnings results on Tuesday, January 20th. The Internet television network reported $0.56 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.55 by $0.01. The firm had revenue of $12.05 billion for the quarter, compared to the consensus estimate of $11.97 billion. Netflix had a return on equity of 43.26% and a net margin of 24.30%.The firm’s revenue was up 17.6% on a year-over-year basis. During the same period in the prior year, the firm earned $0.43 EPS. Netflix has set its Q1 2026 guidance at 0.760-0.760 EPS. Sell-side analysts predict that Netflix will post 24.58 EPS for the current year.

Analyst Ratings Changes

Several brokerages have recently issued reports on NFLX. Moffett Nathanson raised their price objective on Netflix from $115.00 to $120.00 and gave the stock a “buy” rating in a research note on Tuesday. UBS Group set a $104.00 target price on Netflix in a research report on Tuesday, January 27th. DZ Bank reiterated a “buy” rating on shares of Netflix in a report on Friday, February 27th. Barclays began coverage on shares of Netflix in a research report on Monday, March 2nd. They set an “equal weight” rating and a $115.00 price target for the company. Finally, Citic Securities dropped their price objective 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 research analysts have rated the stock with a Strong Buy rating, thirty-five have assigned a Buy rating and thirteen have issued a Hold rating to the company. According to data from MarketBeat, Netflix has an average rating of “Moderate Buy” and a consensus price target of $115.80.

Read Our Latest Stock Analysis on NFLX

Insider Activity

In other Netflix news, insider David A. Hyman sold 5,727 shares of the company’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 value of $464,230.62. Following the sale, the insider owned 316,100 shares in the company, valued at approximately $25,623,066. This represents a 1.78% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, CEO Gregory K. Peters sold 27,312 shares of the firm’s stock in a transaction that occurred on Tuesday, February 10th. The stock was sold at an average price of $83.24, for a total transaction of $2,273,450.88. Following the sale, the chief executive officer directly owned 122,140 shares in the company, valued at $10,166,933.60. The trade was a 18.27% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 1,511,233 shares of company stock valued at $138,320,982 over the last 90 days. Company insiders own 1.37% of the company’s stock.

Key Headlines Impacting 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

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. State Street Corp boosted 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 worth $16,574,986,000 after buying an additional 159,578,053 shares during the last quarter. Morgan Stanley increased its stake in Netflix by 903.0% during 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 in the last quarter. Price T Rowe Associates Inc. MD raised its holdings in shares of Netflix by 685.8% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 86,058,878 shares of the Internet television network’s stock valued at $8,068,882,000 after acquiring an additional 75,107,069 shares during the last quarter. Bank of America Corp DE lifted its position in shares of Netflix by 900.3% in the fourth quarter. Bank of America Corp DE now owns 55,566,463 shares of the Internet television network’s stock valued at $5,209,912,000 after acquiring an additional 50,011,603 shares in the last quarter. Finally, Northern Trust Corp lifted its position in shares of Netflix by 883.1% in the fourth quarter. Northern Trust Corp now owns 43,445,226 shares of the Internet television network’s stock valued at $4,073,424,000 after acquiring an additional 39,026,066 shares in the last quarter. Institutional investors and hedge funds own 80.93% of the company’s stock.

About Netflix

(Get Free Report)

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.