Investment
Features
FeesSafety
Academy
More
Pluang+

Netflix posts solid Q3 results with strong cash flow despite ad revenue cut, shares seen as a buy opportunity.

Company Fundamentals
21 Oct 2026
Seeking Alpha
View Source
Bullish
Netflix posts solid Q3 results with strong cash flow despite ad revenue cut, shares seen as a buy opportunity.

Netflix reported Q3 revenue and profit margins in line with expectations, showing strong operating income growth and healthy free cash flow. Although the company lowered its ad revenue forecast by 10% due to delays in ad technology rollout, subscription revenue exceeded expectations and pricing power remains strong. Netflix shares trade at historically low valuation multiples while maintaining sector-leading profitability and a 4.2% free cash flow yield. The analyst maintains a Strong Buy rating, viewing the recent share price dip after earnings as a good entry point despite risks from execution and competition.

Netflix shares trade at USD 65.27 on Pluang as of Oct 21, 2026 22:31 WIB, down 4.94% in one day. The stock sees strong buying interest, with 94% of orders on Pluang being buys. Market cap stands at $286.02 billion, reflecting its large presence in the media sector.

More News (NFLX)

Netflix Q3 earnings beat expectations but Q4 guidance disappoints, shares repurchased, 2026 targets reaffirmed.

Netflix Q3 earnings beat expectations but Q4 guidance disappoints, shares repurchased, 2026 targets reaffirmed.

Netflix reported a 12% revenue increase to $12.874 billion and a 49% rise in earnings per share to $0.87 in Q3, beating expectations. Despite strong earnings and a record $4.8 billion share buyback, Netflix's Q4 revenue guidance of $13.442 billion fe...

Company Fundamentals
Neutral
4 hours ago
Netflix shares fall despite earnings beat amid ongoing engagement concerns

Netflix shares fall despite earnings beat amid ongoing engagement concerns

Netflix stock dropped in premarket trading after the company reported earnings that beat expectations. However, investors remain worried about user engagement levels, which have not improved despite Netflix's efforts to diversify content with games a...

Company Fundamentals
Bearish
9 hours ago
Netflix Q3 beats estimates but stock drops on cautious outlook for 2027 growth

Netflix Q3 beats estimates but stock drops on cautious outlook for 2027 growth

Netflix reported strong third-quarter 2026 results, surpassing earnings and revenue expectations. Despite this, its stock fell 6% due to concerns from Bernstein about the long timeline for changes in Netflix's business model to impact financials. Ber...

Analyst Insights
Bearish
10 hours ago
Netflix downgraded to Buy after soft Q3 and cautious Q4, with slowing growth and content concerns.

Netflix downgraded to Buy after soft Q3 and cautious Q4, with slowing growth and content concerns.

Netflix, Inc. has been downgraded from Strong Buy to Buy following a weaker-than-expected Q3 performance and cautious guidance for Q4. Revenue growth is slowing due to modest membership gains, price increases, and advertising revenue, while content e...

Company Fundamentals
Bearish
19 hours ago
Netflix shares drop 5% as revenue growth slows and company aims to boost viewing hours amid leadership changes

Netflix shares drop 5% as revenue growth slows and company aims to boost viewing hours amid leadership changes

Netflix shares fell about 5% after reporting its slowest quarterly revenue growth in three years, with revenue rising 12% to $12.9 billion and net income up 44% to $3.66 billion. The company highlighted concerns over slowing engagement following rece...

Company Fundamentals
Bearish
19 hours ago
banner-footerbanner-footer

Invest & Trade with
#1 Award-Winning Investment Super App