- Netflix's first-quarter earnings exceeded expectations with a revenue of $9.4 billion.
- After rallying 234% from a May 2022 low of $164, Netflix's stock has shown significant volatility, with investors closely monitoring the $500 support level.
In its first-quarter earnings report, Netflix Inc (NASDAQ: NFLX) has surpassed all expectations, revealing a revenue of $9.4 billion and a profit per share of $5.28, decisively outperforming analyst predictions of $4.52 per share.
The company has experienced a surge in subscriber numbers, as an additional 9.3 million paid net subscribers have joined, boosting Netflix's total global subscribers to a staggering 270 million.
This includes a substantial increase of 2.53 million subscribers from the U.S. and Canada alone. Though this figure is a slight dip from previous quarters, it's still more than what was expected, highlighting the demand for Netflix’s offerings in these regions.
The company's stock showed unexpected volatility after their earnings report, despite soaring by 31% earlier. It opened nearly 7% lower following the announcement, closing down the day down by 9%.
This drop underscores the stock market's unpredictable response to even outstanding earnings reports. Since April, the stock has declined by 9% as a correction unfolds.
Investors are now watching to see if it approaches the crucial $500 support level, a significant milestone and 2023's high point.
Following a remarkable recovery from a May 2022 low of $164, with a 234% rally, Netflix's stock has demonstrated volatility but continues to trend upwards overall.
After the closing bell on Friday, April 19, the stock closed at $555.04 trading down by 9.11%.
This article is from an unpaid external contributor. It does not represent Benzinga's reporting and has not been edited for content or accuracy.
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