What to expect from Netflix's Q1 Earnings?
Netflix (NASDAQ:NFLX) is scheduled to announce Q1 earnings results on Tuesday, April 18th, after market close.
Wall Street forecast that Netflix will report a 4% year-on-year rise in revenue in the first quarter to $8.18 billion, in-line with the guidance provided by the company. Diluted EPS is set to fall 19% to $2.86. Still, the market consensus is ahead of Netflixâs guidance for EPS of $2.82.
Key Metrics: The internet video service ended FY22 with 230.75M paid memberships. All eyes will be on the effect that a broader crackdown on sharing the service's passwords will have on subscriber growth in the second quarter (and beyond).
Analyst ratings: UBS keeps a Neutral rating and $350 price target ahead of the company's Q1 results. The quarter will reflect continued progress toward re-accelerating growth as subscribers added will come in ahead of the company's outlook for "modest" adds, helped by a slower ramp for paid sharing, the analyst tells investors in a research note.
Piper Sandler views the stock setup as "mixed" into Netflix's Q1 results on April 18. The U.S. series "Wednesday" was a big success in Q4, but there were fewer hits in Q1 and Piper's Netflix Navigator points to a weaker net adds result for Q1,
Citi keeps a Buy rating on Netflix with a $400 price target into the company's Q1 results on April 18. Relative to most quarters, Netflix's Q1 "may be confusing" given an incipient advertising tier, slower rollout of password sharing enforcement, and questions around its "sharply lower prices" in 100 smaller, lower penetration markets, the analyst tells investors in a research note.
Earning History: Netflix popped up 4% after the streaming giant reported fourth-quarter results that showed healthy gains in subscriber growth. Over the last 1 year, NFLX has beaten EPS estimates 50% of the time and has beaten revenue estimates 75% of the time.