Netflix Earnings: Stock Dives 17%
Rising costs hurt S&P 500 (NYSE:SPY) component Netflix Inc. (NASDAQ:NFLX) in the third quarter as profit dropped from a year earlier. Netflix provides subscription service, streaming movies, and TV episodes over the Internet.
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Netflix Inc. Earnings Cheat Sheet
Results: Net income for the internet commerce fell to $8 million (13 cents per share) vs. $62.5 million ($1.16 per share) a year earlier. This is a decline of 87.2% from the year-earlier quarter.
Actual vs. Wall St. Expectations: Netflix Inc. beat the mean analyst estimate of 5 cents per share.
The company has now topped analyst estimates for the last four quarters. It beat the mark by 7 cents in the second quarter, by 20 cents in the first quarter, and by 18 cents in the fourth quarter of the last fiscal year.
Looking Forward: Analysts appear increasingly negative about the company’s results for the next quarter. The average estimate for the fourth quarter has moved down from a profit of 3 cents a share to a loss of 8 cents over the last ninety days.
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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)
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