Netflix stock down 42% from 2023 high as July earnings approach

Netflix shares have fallen about 42% from their record high of $130, trading near $76 as the company prepares for its second‑quarter earnings report slated for July 16. The streaming giant posted Q1 revenue of $12.25 billion, a 16% year‑over‑year increase, and earnings per share of $1.23, beating analysts’ expectations. Membership has topped 325 million paid users, while its ad‑supported tier is driving a rapid rise in advertising revenue, which the company expects to roughly double to $3 billion this year.

Analysts offer mixed views: some see the current valuation as attractive and note bullish price targets in the $110‑$135 range, while others flag concerns over content engagement and competitive pressure. The stock’s recent dip follows a period of uncertainty after a failed acquisition bid for Warner Bros. Discovery. Despite the slide, Netflix continues to generate strong cash flow and is using share buybacks to support its price.