Netflix Stock Plunges 8% After Q2 Earnings Renew Growth Concerns

On Friday, Netflix's stock dropped 8% to $68.64, hitting its lowest point in a year, following the release of its Q2 earnings report that sparked growth apprehensions. The company revised its revenue forecast for 2026, now estimating between $51 billion and $51.4 billion, down from a prior range of $50.7 billion to $51.7 billion, prompting analysts to lower their projections. Year-over-year, the stock has plummeted by 49%. Guggenheim Securities analysts pointed out that this outlook heightens investor anxiety, yet they still uphold a "buy" rating. Key issues include a shrinking share of U.S. TV viewership and competition from YouTube. In H1 2026, Netflix reported 97 billion hours viewed, a 2% rise, with revenue increasing 13% to $12.6 billion and net income up 9% to $3.4 billion. Advertising revenue is expected to hit $3 billion in 2026.