Netflix tumbles as slowing growth, less viewership data spook investors

Friday's drop could erase more than $35 billion from the company's market value of about $313 billion, if the premarket losses hold. The stock has lost 44% since hitting an all-time high in June 2025, including an over 20% fall just this year.

Netflix's failed pursuit of Warner Bros earlier this year has also raised doubts about its next phase of growth amid slow adoption of an ad-supported streaming tier that the company has long touted as a big growth driver.

After a strong content slate in 2025 that included the final season of its hit sci-fi series "Stranger Things" and South Korean drama "Squid Games", analysts said the company also has a weaker content line-up this year that could weigh on growth.

Keeping subscribers hooked is crucial for Netflix as it has long traded at a premium to other media companies that command a smaller streaming subscriber base and are grappling with the ongoing declines in cable TV.

Netflix trades at nearly 20 times expected earnings over the next 12 months, compared with 13.5 times for Walt Disney and 6.6 times for Comcast, underscoring the premium investors place on the streaming giant.