Netflix Stock (NFLX) Rises Following Big Q4 2024 Earnings

Netflix Stock (NFLX) posted its Q4 2024 results Tuesday, putting up great numbers in route to a rise in its stock value. NFLX jumped over 13% in after-hours trading Tuesday after the streaming giant reported 18.9 million users in the final quarter of 2024. Netflix also reported earnings that exceeded expectations from Wall Street.

Revenue hit $10.25 billion in Q4, beating Bloomberg consensus estimates for $10.11 billion and marking an increase of 16% compared to the same period last year. Netflix guided to first-quarter revenue of $10.42 billion, a miss compared to consensus estimates of $10.48 billion. Diluted earnings per share (EPS) also beat estimates in the quarter, with the company reporting EPS of $4.27, above consensus expectations of $4.18 and well ahead of the $2.11 EPS figure it reported in the year-ago period. Netflix guided to fourth quarter EPS of $5.58, below consensus calls for $6.01.

Netflix Stock Booms After Q4 Earnings, $1000 Value in Sight

Additionally, the company announced a $15 billion stock buyback and boosted its full-year revenue outlook. Netflix now projects 2025 revenue between $43.5 billion to $44.5 billion, This exceeds the prior $43 billion to $44 billion range projection. Netflix will also be raising its prices in certain regions following the strong performance. “We are adjusting prices today across most plans in the US, Canada, Portugal, and Argentina,” the company said in its earnings release. Price increases in other countries are unknown.

Netflix picked up big numbers in 2024 in part thanks to its work in live show production. Subscription numbers remained strong and growing as Netflix hosted two back-to-back NFL games live and a successful “Jake Paul vs. Mike Tyson” boxing event. It’s original programming also racked up big numbers, with the return of “Squid Game” to close out the year.

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“Our business remains intensely competitive with many formidable competitors across traditional entertainment and big tech,” Netflix added in its Q4 report. “We’re fortunate that we don’t have distractions like managing declining linear networks and, with our focus and continued investment, we have good and improving product/market fit around the world.”

Netflix stock has skied to 985.20 at press time, up over 100 points.