Several notable names in the streaming and entertainment sector, including Walt Disney Co (NYSE:DIS) and Roku Inc (NASDAQ:ROKU), are trading lower in sympathy with Netflix Inc (NASDAQ:NFLX) after the company reported fourth-quarter earnings results, issuing first-quarter sales and EPS guidance below estimates.
Netflix reported quarterly earnings of $1.33 per share which beat the analyst consensus estimate of 82 cents. Netflix also reported quarterly sales of $7.71 billion.
Netflix Falls On Q4 Earnings Results: Here's Why And What Investors Need To Know
Netflix says the company slightly over-forecasted paid net adds in Q4 (8.3 million actual compared to the 8.5 million paid net adds in both the year-ago quarter and our beginning of quarter projection). For the full year 2021, paid net adds totaled 18 million vs 37 million in 2020.
Netflix says consumers have always had many choices when it comes to their entertainment time - competition that has only intensified over the last 24 months as entertainment companies all around the world develop their own streaming offering.
Disney is trading lower by 4.3% at $141.28 in Thursday's after-hours session. Roku is trading lower by 5% at $159.00.
