Netflix topped Wall Street expectations for earnings and revenue in the first quarter, but the streaming giant’s shares still took a dive in after-hours trading Thursday.
Revenue rose 16% from the year-ago period to hit $12.25 billion, while diluted earnings per share came in at $1.23, nearly double a year ago.
Wall Street analysts’ consensus expectations were for earnings of 76 cents a share and total revenue of $12.18 billion.
Despite the beat, Netflix shares – which have risen 15% in 2026 to date – fell as much as 10% in after-hours trading. The cognitive dissonance between strong financials and an immediate drop in share price has occurred in many previous quarters. This time, one drag on shares may have been news about Reed Hastings that was relayed along with the earnings. The company co-founder and former longtime CEO is leaving the company’s board of directors later
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