Netflix (NFLX) is set to report Q1 results today on its website right at the close with a video call to follow at 6pm ET.
Current S&P CapitalIQ consensus is for EPS to fall 22% yr/yr to $2.92 and for revenue to grow 11% yr/yr to $7.94 bln.
In January, NFLX guided to EPS of $2.86 and revenue of $7.903 bln.
The most important operating metric with Netflix is global streaming paid net adds.
NFLX missed prior guidance for subs in Q4 and the Q1 sub guidance at +2.50 mln was below Street estimates.
In terms of other important metrics, UCAN (US & Canada) ARPU keeps growing. Q4 came in at $14.78 vs $14.68 in Q3 and vs $13.51 a year ago. NFLX recently raised prices and now we're seeing that effect roll into the ARPU metric.
TECHS:
Based on the stock being roughly cut in half since mid-November and its inability to recover following the sell-off in January tells us investors are nervous heading into tonight's report.
This nervousness is in spite of Founder/CEO Reed Hastings disclosing a purchase of ~50K shares worth over $20 mln (post-earnings report) in late January. Also, don’t forget Pershing Square's Ackman announced he acquired 3.1+ mln NFLX shares, also following earnings.
Be sure to monitor other streaming names to watch on NFLX's results, including ROKU, DIS, WBD (recently spun off from AT&T), AMZN, FUBO.
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