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Netflix (NFLX) Stock Slides as Market Rises: Facts to Know Before You Trade

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Netflix (NFLX - Free Report) closed at $93.23 in the latest trading session, marking a -1.23% move from the prior day. The stock trailed the S&P 500, which registered a daily gain of 0.64%. Meanwhile, the Dow gained 0.47%, and the Nasdaq, a tech-heavy index, added 0.52%.

Shares of the internet video service have depreciated by 9.51% over the course of the past month, underperforming the Consumer Discretionary sector's gain of 2.47%, and the S&P 500's gain of 3%.

The investment community will be closely monitoring the performance of Netflix in its forthcoming earnings report. The company is scheduled to release its earnings on January 20, 2026. In that report, analysts expect Netflix to post earnings of $0.55 per share. This would mark year-over-year growth of 27.91%. In the meantime, our current consensus estimate forecasts the revenue to be $11.97 billion, indicating a 16.79% growth compared to the corresponding quarter of the prior year.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $2.53 per share and revenue of $45.1 billion. These totals would mark changes of +27.78% and +15.63%, respectively, from last year.

Any recent changes to analyst estimates for Netflix should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.18% higher. Netflix currently has a Zacks Rank of #3 (Hold).

With respect to valuation, Netflix is currently being traded at a Forward P/E ratio of 37.31. This expresses a premium compared to the average Forward P/E of 15.94 of its industry.

The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 150, putting it in the bottom 40% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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