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Netflix Q4 Earnings Preview: Time for Investors to Worry About NFLX Stock?

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Netflix (NFLX - Free Report) is set to report its fourth-quarter fiscal 2019 earnings results after the closing bell on Tuesday, January 21. The streaming giant’s stock price has climbed over the last several months but Wall Street is worried about Netflix’s growing competition.

Netflix stock is down roughly 1% over the last year, which stands in stark contrast to the S&P 500 and many of its fellow tech giants. The company is coming off back-to-back subscriber growth misses and those came before Disney (DIS - Free Report) and Apple (AAPL - Free Report) entered the fray in November.

Soon Netflix will be part of a streaming market that features Comcast (CMCSA - Free Report) , AT&T(T - Free Report) , and others. Meanwhile, Amazon (AMZN - Free Report) continues to spend on its streaming TV future.

The early numbers from Disney+ appear strong and Apple TV+ has some big names in front of and behind the camera. Despite the competition, Netflix is still the largest streaming TV company in the world. But the firm has taken on debt to fund its original content.

NFLX is currently a Zacks Ranks #3 (Hold) heading into its report. Investors need to pay close attention to its subscriber growth and what management has to say about its new, deep-pocketed competition.

Netflix’s upcoming report and guidance could prove to be a pivotal for the firm that went on an insane run during the 2010s.

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