Netflix is expected to report strong Q4 earnings with revenue and subscriber growth projections

From Nasdaq: 2025-01-20 09:02:00

Netflix (NFLX) is set to report fourth-quarter 2024 results on Jan. 21. The company expects revenues to increase by 15%, reaching $10.12 billion. Earnings are projected at $4.23 per share. The company’s diversified content portfolio is expected to drive growth, with heavy investments in localized and foreign-language content.

In the last quarter, Netflix delivered an earnings surprise of 6.09%. The company has a history of beating earnings estimates. The upcoming earnings are predicted to beat expectations due to a positive Earnings ESP and a Zacks Rank #1, #2, or #3. The company’s focus on expanding its gaming portfolio and diverse content slate are key factors shaping upcoming results.

The Zacks Consensus Estimate for paid total streaming net membership additions in the fourth quarter is 9.11 million. Revenue estimates for Asia-Pacific, Latin America, EMEA, and the United States and Canada show growth projections. Netflix’s stock has surged 76.8% in the past year, outperforming competitors in the Consumer Discretionary sector.

Netflix presents a balanced investment opportunity for the fourth quarter. While the company shows strength in subscriber growth and content offerings, it faces intense competition from streaming rivals. Investors may consider holding positions or waiting for a more attractive entry point, considering the company’s current valuation and market challenges. Prudent monitoring of subscriber growth and content performance is advised.



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