Just one reason their stock price is down. They no longer report subscriber numbers — you can probably guess why. It’s strange to me that a public company can just hide data from investors that might reveal when a company isn’t doing so hot.
It’s also stupid they would clamp down like this on ad-supported plans. Advertisers want eyeballs, and this means less of them. Reminds me of Reddit moving to a log-in only model.
the biggest reason is, them cancelling too many shows too soon. after 1-2 season, the show ceases to ecist. 3 if you are lucky and its thier way of forcing its end.
I will never understand investors. Anyone with half a brain can put two and two together when a company starts hiding anything. Investors have no idea what they’re doing, they just trust the customer will make them money, get angry when they’ve been duped, and will do it again.
Considering how many streamers are encouraging people to sign up for the ad-supported plans, I think they’re making more money from the ads. Of course, they’re double-dipping just like the cable companies used to do. Charging for a subscription, and then making even more money by showing you ads. The OP’s screenshot is like how they used to charge for each cable descrambler box in a home. Wanna watch in both the bedroom and the living room? Pay up!
They aren’t stopping reporting subscriber numbers, what are you talking about? They’re dropping from reporting it twice a year to just once a year. Annual growth is really all that matters after all. What matters far more is revenue, profit, and cash flow - all of which are still reported regularly.
Stock prices falling after earnings calls is basically the norm because no matter how well they go, even beating expectations, some people wanted more - and you can’t ignore the market manipulation by big players who try to manufacture drops so they can increase their position. Spook people to sell and drop the price so they can buy more at a reduced price.
Netflix need or exceeded their targets as they have basically every single time for years. Their revenue grew double digits, their margins are getting healthier, and their viewing hours increased.
Advertisers want eyeballs, and this means less of them. Reminds me of Reddit moving to a log-in only model.
Not sure if you’re being rhetorical, but I’ll answer anyways. The reason Reddit wants you to log in is to better track you, no duh. The reason that makes them more money is because better data means better ad targeting, and better ad targeting can be translated to results like a better click through rate. When a platform has that, they can incentivize more advertisers to spend more money on their platform.
That way, each time they sell an ad, that ad can be more expensive. It’s undeniable that demanding logins will be bad for the number of ads they sell, but if they can sell higher quality ads, they’ll make more money at the end of the day.
This whole thing is the core driver behind privacy being eroded at scale, because ad targeting has proven effective, and so advertisers want to advertise on the platform with the best targeting. So everyone wants to spy on their users the best and build the best targeting.
Just one reason their stock price is down. They no longer report subscriber numbers — you can probably guess why. It’s strange to me that a public company can just hide data from investors that might reveal when a company isn’t doing so hot.
It’s also stupid they would clamp down like this on ad-supported plans. Advertisers want eyeballs, and this means less of them. Reminds me of Reddit moving to a log-in only model.
https://www.fool.com/investing/2026/07/15/with-netflix-down-45-from-its-highs-viewer-engagem/
https://www.businessinsider.com/netflix-engagement-data-earnings-subscribers-stock-wall-street-2026-7
Stranger Things finally ended and the price for no ads went over $20 per month. That’s what made me finally quit.
the biggest reason is, them cancelling too many shows too soon. after 1-2 season, the show ceases to ecist. 3 if you are lucky and its thier way of forcing its end.
One of the reasons I stopped watching Netflix shows was because all the ones I got invested those were cancelled just after one season.
I will never understand investors. Anyone with half a brain can put two and two together when a company starts hiding anything. Investors have no idea what they’re doing, they just trust the customer will make them money, get angry when they’ve been duped, and will do it again.
Not all investors are in it for the long run. Some just expect a short boost or go short betting on a loss.
In this case, the ads are probably bringing in less per viewer than the service costs, so having non-paying viewers is still a net negative.
Clamping down on this is probably a worse negative in the long run, but investors only care about this quarter.
Considering how many streamers are encouraging people to sign up for the ad-supported plans, I think they’re making more money from the ads. Of course, they’re double-dipping just like the cable companies used to do. Charging for a subscription, and then making even more money by showing you ads. The OP’s screenshot is like how they used to charge for each cable descrambler box in a home. Wanna watch in both the bedroom and the living room? Pay up!
It’s just greed.
They aren’t stopping reporting subscriber numbers, what are you talking about? They’re dropping from reporting it twice a year to just once a year. Annual growth is really all that matters after all. What matters far more is revenue, profit, and cash flow - all of which are still reported regularly.
Stock prices falling after earnings calls is basically the norm because no matter how well they go, even beating expectations, some people wanted more - and you can’t ignore the market manipulation by big players who try to manufacture drops so they can increase their position. Spook people to sell and drop the price so they can buy more at a reduced price.
Netflix need or exceeded their targets as they have basically every single time for years. Their revenue grew double digits, their margins are getting healthier, and their viewing hours increased.
Not sure if you’re being rhetorical, but I’ll answer anyways. The reason Reddit wants you to log in is to better track you, no duh. The reason that makes them more money is because better data means better ad targeting, and better ad targeting can be translated to results like a better click through rate. When a platform has that, they can incentivize more advertisers to spend more money on their platform.
That way, each time they sell an ad, that ad can be more expensive. It’s undeniable that demanding logins will be bad for the number of ads they sell, but if they can sell higher quality ads, they’ll make more money at the end of the day.
This whole thing is the core driver behind privacy being eroded at scale, because ad targeting has proven effective, and so advertisers want to advertise on the platform with the best targeting. So everyone wants to spy on their users the best and build the best targeting.
It’s also easier to control scraping by requiring an account.