$NFLX Ahead of Earnings
Netflix has come down quite a bit lately. The stock has lost more than 30% over the past seven months and is currently trading around $90.
There are several reasons behind this correction. The two major ones are uncertainty around the planned Warner Bros. acquisition and disappointing Q3 results. It’s still unclear whether the deal will go through, as Paramount and Comcast have also submitted competing bids. On top of that, investors are concerned about deal costs, financing structure, and potential antitrust hurdles.
The second driver of the sell-off was Q3 earnings that came in below analyst expectations, which further pressured the stock.
Now we’re just hours away from Q4 earnings, set to be released tonight. Historically, Netflix is one of the most volatile stocks on earnings day, so things could get interesting.
Are you holding Netflix or considering stepping in at these levels? I’m tempted but have not decided yet.
