Wall Street Remains Mostly Bullish on Netflix Stock Despite Softer Q2 Forecast

By Todd Spangler

Todd Spangler

NY Digital Editor

Latest

• Wall Street Remains Mostly Bullish on Netflix Stock Despite Softer Q2 Forecast 16 minutes ago
• Netflix Bosses Bestow Heartfelt Praise on Reed Hastings as He Sets Exit: ‘Selfless, Disciplined and Graceful’ 15 hours ago
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Netflix shares were down 10% in premarket trading Friday after the streaming giant reported a slight beat in first-quarter 2026 revenue but forecast lighter-than-expected Q2 sales and operating income.

For Q2, Netflix forecast revenue growth of 13% and operating margin of 32.6% (compared with 34.1% in the year-ago quarter); it said operating income will be lower because increases in content amortization will be higher in the first half of 2026 “due to the timing of title launches.” Those metrics were slightly under Wall Street’s previous consensus estimates. The company said Q2 is expected to have the highest year-over-year content amortization growth rate in 2026, before decelerating to “mid-to-high single digit growth” in the second half of the year.

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