Netflix narrows FY revenue forecast, to scale back viewing disclosures
NFLX•Outlook
- Netflix sees Q3 revenue at $12.86 bln and operating margin of 33.2%
- Company narrows 2026 revenue forecast to $51.0-$51.4 bln, operating margin at 31.5%
- Company expects Q3 revenue growth driven by memberships, pricing and ad revenue
Key details and analyst view
| Metric | Beat/Miss | Actual | Consensus Estimate |
| Q2 Revenue | Slight Miss* | $12.56 bln | $12.59 bln (37 Analysts) |
| Q2 EPS | $0.80 | ||
| Q2 Net Income | $3.40 bln | ||
| Q2 Free Cash Flow | $1.53 bln |
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
- The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 40 "strong buy" or "buy", 12 "hold" and no "sell" or "strong sell"
- The average consensus recommendation for the online services peer group is "buy"
- Wall Street's median 12-month price target for Netflix Inc is $112.00, about 52% above its July 15 closing price of $73.68
- The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 29 three months ago
