Netflix Q3 Earnings Preview: Bank of America Expects In-Line Performance
Netflix prepares to report third-quarter results after market close tomorrow, with Bank of America anticipating performance at or slightly above guidance. Analyst Jessica Reif Ehrlich highlights the streaming giant's continued success in scaling blockbuster content, citing the record-breaking Canelo-Crawford boxing match (41.4M viewers) and KPop Demon Hunters (325M views) as evidence of its IP monetization prowess.
Revenue and operating income projections align closely with company guidance at $11.53B and $3.63B respectively. Despite this operational strength, Netflix shares have underperformed the S&P 500 by 10.5 percentage points over three months—a divergence Reif Ehrlich attributes to challenging comparables rather than fundamental weakness.