Netflix stock plunges to 52-week low following mixed earnings report

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Set us as preferred Netflix stock plunged 9% on Friday morning to $67.74 a share, after the streamer’s second quarter earnings report renewed concerns among investors and analysts about the streamer’s future growth.The Los Gatos-based company on Thursday narrowed its 2026 forecast to $51 billion to $51.4 billion from $50.7 billion to $51.7 billion, causing equity analysts to cut their estimates.The stock reached a new 52-week low on Friday and is down 49% from a year ago.

“This outlook likely reinforces investor concerns,” wrote analysts from Guggenheim Securities in a research note on Friday, which has a “buy” rating on the stock.Netflix did not immediately respond to a request for comment on its declining stock price.

Hollywood Inc.Some investors are concerned about Netflix’s future growth, causing the company’s stock price to tumble 21% year to date.Investors have been skittish about the amount of time people spend on the streaming platform.

Netflix’s share of TV viewing time in the U.S.has steadily declined in recent months as YouTube has gained market share, according to Nielsen data.Investors are concerned that if people spend less time watching Netflix, it could cause people to cancel their subscriptions and make it more challenging for Netflix to raise prices in markets like the U.S.Netflix said engagement is healthy on its platform and its programs continue to draw large audiences with popular shows like crime drama series “I Will Find You.” Netflix said subscribers watched more than 97 billion hours on the streaming service in the first half of the year, up 2% from a year ago.

“We are increasingly concerned that younger generations are less interested in long form content as their time migrates to ‘free’ social media platforms,” wrote Jeffrey Wlodarczak, CEO of Pivotal Research Group...