Netflix Jumps After Adding More Subscribers Than Expected

Netflix’s share price rose about 7% after an earnings report in which it added more subscribers than expected despite a significant decline in revenue. The streaming giant also said CEO Reed Hastings will become CEO and step down from his current role. The company’s CEO, Greg Peters, was promoted to co-chief executive along with Ted Sarandos. Netflix Quarterly Results: EPS: 12 cents vs. 5 cents per share, according to Refinitiv. , revenue: $7.85 billion $7.85 billion, according to Refinitiv research. , paid online subscribers worldwide: 7.66 million adds compared to StreetAccount estimates of .57 million subscribers. “2022 was a difficult year with a rough start but a brighter end. We believe we have a clear path to accelerate revenue growth,” Netflix said in a letter to shareholders. , In the US stock market, major stock futures were slightly higher in the early session on Friday, as market participants continued to January rally, although worries about a slowdown in central bank monetary policy and earnings reports persisted. , Dow Jones Industrial Average futures rose about 5 points, while S&P 500 and Nasdaq 100 futures rose about 0.2 % and 0. 3%, respectively. In Thursday’s regular session, the Dow and S&P 500 closed lower for the third straight session after disappointing earnings reports and economic data that suggested the economy was slowing. The Dow has lost more than 252 points, now down 0.31% year to date. The S&P 500 fell about 0.76% and the Nasdaq Composite fell 0.96%, but they remain in positive territory for 2023. However, the three main US indexes are down over the weekend, with the Dow down about 3.67%. the worst weeks since September. The S&P 500 lost more than 2.5%, while the Nasdaq fell more than 2% and is on track to end its two-week winning streak. “Markets are focused and uncertain how to react between the retrospective Fed market analysis and the market’s forward-looking and leading indicators,” said Tim Seymour, founder and chief investment officer of Seymour Asset Management. In the oil market, prices held steady for another positive week, supported by optimism that China’s reopening could support energy demand. Brent futures at , were about 30 cents higher, trading at $86. 6 a barrel at 0317 GMT, while U.S. crude was up 9 cents near $80.82. Both oil benchmarks ended Thursday’s session up around 1%, one of their highest closing levels since early December. According to OPEC, China’s oil demand is expected to recover this year as the country transitioned to a zero-covid policy. Oil prices received further support on expectations that the Federal Reserve is ending its tightening cycle. According to comments from New York Federal Reserve Bank President John William, the Federal Reserve sees signs of easing of hot inflation at high levels. “The world’s two largest economies need more crude oil. Oil markets are on the brink of a global recession, but still show signs that they could remain tight for some time,” says senior analyst Edward Moya. in OANDA. Additionally, the dollar index was in its second week of losses, which can be seen as supportive of oil prices, as a weaker dollar makes dollar-denominated oil cheaper for holders of other currencies. According to Tina Teng, an analyst at CNC Markets, oil traders can buy cheaper now on the back of Sino-US optimism.

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