Netflix Loses $17 Billion in Value in a Single Day
Published Jul 19, 2019Proving that streaming is becoming an increasingly volatile industry, Netflix lost $17 billion USD in value on Thursday (July 18) due to sluggish new-subscriber numbers.
Earlier this week, the streaming hub announced it had added only 2.7 million subscribers internationally in the most recent quarter — a huge dip from the 5 million forecasted.
This led Netflix's stock to plunge 10.3 percent on Thursday as analysts came to grips with the news, which included the fact that Netflix saw its first-ever loss in U.S. subscribers since initially launching in 2011.
Despite the bad news, Netflix appears optimistic about its upcoming quarter. After all, the company forecast 7 million paid net adds and a revenue of $5.25 billion.
This positive outlook comes as a result of several hit series returning to Netflix, including the new seasons of Stranger Things, Orange Is the New Black and The Crown.