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-0.000345957405801273 -0.000433651344319047 -0.00221644020429787 -0.00958851305772372 -0.0132986412257878 -0.0306446949985544 -0.0327647682374481 -0.0392695384022356
Stock impact report

Netflix: Sell After The Warner Bros. Discovery Acquisition [Seeking Alpha]

Netflix, Inc. (NFLX) 
Last netflix, inc. earnings: 4/21 04:00 pm Check Earnings Report
US:NASDAQ Investor Relations: ir.netflix.com/investor-relations
Company Research Source: Seeking Alpha
Studios/Streaming $72B equity value deal, along with a likely $5B breakup fee, adding risks on funding, regulation, and growth upside. Despite a one-time $619M Brazilian tax expense, NFLX maintained strong double-digit growth in Q3 and only cut 1ppt of FY2025 operating margin guidance (now at 29%). Market reaction to WBD deal rumors had been negative, as noted by the recent price action. Now that the deal was officially announced, shares are down mid-single digits. The liquidity looks thin: $9.33B cash/investments plus $3B revolver, and $3B commercial paper still leaves about a $45B funding gap. Ex-WBD-deal, fundamentals look solid. I rate NFLX stock as a Sell until we get more clarity on how the company will fund the cash part of the WBD deal. Jacek_Sopotnicki/iStock Editorial via Getty Images I initiate coverage on Netflix, Inc. NFLX ) after Q3 results proved that the growth trajectory remains intact, despite the one-time $619M Brazilian tax expense that dragged operatin Show less Read more
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