Netflix Earnings: NFLX Stock Falls 2% Despite Q4 Beat

Netflix (NASDAQ:NFLX) earnings for the video streaming company’s fourth quarter of 2019 have NFLX stock down in after-hours trading. This is despite its diluted per-share earnings of $1.30. That’s much better than Wall Street’s estimate of 53 cents for the quarter. Revenue of $5.47 billion also beats out analysts’ estimates of $5.45 billion.

Netflix Earnings: NFLX Stock Falls 2% Despite Q4 Beat

Source: XanderSt /

Let’s take a closer look at the most recent Netflix earnings report.

  • Diluted EPS is up 333.33% from 30 cents in the fourth quarter of 2018.
  • Revenue comes in 30.55% higher compared to $4.19 billion in the same period of the year prior.
  • Operating income of $459 million is a 112.50% increase YoY from $216 million.
  • The Netflix earnings report also includes a net income of $587 million.
  • That’s a 336.08% improvement from the company’s net income of $134 million during the same time last year.

Netflix says this about its NFLX stock earnings in a letter to investors.

“During December, we also launched The Witcher, which is tracking to be our biggest season one TV series ever. Through its first four weeks of release, 76m member households chose to watch this action-packed fantasy, starring Henry Cavill.”

The Netflix earnings report also includes its outlook for the first quarter of 2020. It is expecting diluted earnings per share of $1.66 on revenue of $5.73 billion. For comparison, Wall Street is looking for diluted EPS of $1.19 on revenue of $5.76 billion for the quarter.

NFLX stock was down 1.60% after markets closed on Tuesday.

As of this writing, William White did not hold a position in any of the aforementioned securities.

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