Several notable names in the streaming and entertainment sector, including Walt Disney Co (NYSE:DIS), are trading lower in sympathy with Netflix Inc (NASDAQ:NFLX) after the company reported first-quarter earnings results.
Netflix reported quarterly earnings of $3.53 per share which beat the analyst consensus estimate of $2.90. Netflix also reported quarterly sales of $7.87 billion which missed the analyst consensus estimate of $7.93 billion by 1%. Global streaming paid net additions were down 200 thousand.
Netflix sees second-quarter revenue of $8.053 billion, below the analyst consensus estimate of $8.21 billion. Netflix also sees EPS of $3.00, below the analyst consensus estimate of EPS of $3.01. Netflix also guided for second-quarter global streaming paid memberships of 219.64 million, which represents a decrease of 2 million from the first quarter.
See Also: Netflix Shares Plunge After Q1 Earnings, First Subscriber Loss Since 2011
Netflix also saw several analyst rating revisions Wednesday morning:
- JP Morgan analyst Doug Anmuth downgraded Netflix from Overweight to Neutral and announced a $300 price target.
- Atlantic Equities analyst Hamilton Faber downgraded Netflix from Overweight to Neutral and announced a $280 price target.
- Piper Sandler analyst Thomas Champion downgraded Netflix from Overweight to Neutral and lowered the price target from $562 to $293.
- Pivotal Research analyst Jeffrey Wlodarczak downgraded Netflix from Buy to Sell and lowered the price target from $550 to $235.
- Stifel analyst Scott Devitt downgraded Netflix from Buy to Hold and announced a $300 price target.
- UBS analyst John Hodulik downgraded Netflix from Buy to Neutral and announced a $355 price target.
- Barclays analyst Kannan Venkateshwar maintained Netflix with an Equal-Weight and lowered the price target from $380 to $275.
- B of A Securities analyst Nat Schindler downgraded Netflix from Buy to Underperform and lowered the price target from $605 to $300.
- Credit Suisse analyst Douglas Mitchelson maintained Netflix with a Neutral and lowered the price target from $450 to $350.
- Needham analyst Laura Martin upgraded Netflix from Underperform to Hold.
- BMO Capital analyst Daniel Salmon maintained Netflix with an Outperform and lowered the price target from $640 to $405.
- Oppenheimer analyst Jed Kelly downgraded Netflix from Outperform to Perform.
According to data from Benzinga Pro, Disney is trading lower by 4.76% to $125.62. Disney has a 52-week high of $190.33 and a 52-week low of $126.82.
