Netflix shares have fallen 21% this year to $73.68, even as the company remains the largest streaming service with over 325 million global subscribers. The decline reflects investor unease after Netflix walked away from a potential acquisition of Warner Bros. Discovery in February, and as its share of U.S. TV viewing slipped to 7.8% in April, the lowest since May 2025, while YouTube's share rose to 13.4%. Analysts still expect strong second-quarter results, with revenue projected to rise 14% to $12.58 billion and net income up 8% to nearly $3.38 billion, driven by advertising growth and new programming. Netflix is pursuing live sports, video podcasts, and possible bundling or acquisitions to sustain long-term growth.
Netflix IncNetflix's share of U.S. TV viewing slipped to 7.8%, the lowest since May 2025, indicating weakening viewer demand.
Warner Bros Discovery IncYouTube's share of U.S. TV viewing rose to 13.4%, indicating growing viewer demand.