Netflix stock soars after subscriber growth blows away forecasts, company announces more price hikes

Published On Jan 21, 2025, 4:07 PM

Netflix reported a significant increase in subscriber growth, with 18.9 million new users added in the fourth quarter, exceeding analysts' expectations of 9.18 million. This surge in subscribers, along with better-than-expected revenue and earnings, led to a stock price increase of over 10% in after-hours trading. The company's Q4 revenue reached $10.25 billion, beating estimates, and diluted earnings per share were $4.27, also exceeding expectations. Netflix announced a $15 billion stock buyback and revised its full-year revenue outlook upwards. Despite future price hikes across its subscription plans, Netflix remains competitive and has seen record user engagement, particularly with successful programming and events in the last quarter.