Netflix shares are down 37.9% since the 10-for-1 stock split was completed on November 17, 2025, as of the October 20 close. After its third-quarter 2026 report, the stock fell 5.9% to $64.62 in after-hours trading, which would mark a new two-year low. Revenue rose 11.8% year over year, and operating margin widened from 28.2% to 34.6%, but the company now expects $2.7 billion in full-year ad revenue, down from $3 billion, due to a slower rollout of ad product capabilities. Its 2026 revenue forecast of $51.1 billion sits 0.2% below the prior midpoint, and the article also points to competition from YouTube, a third price increase in under three years, and a valuation of 17 times 2027 earnings. Netflix ended the quarter with $8.19 billion in cash against $12.66 billion in long-term debt.
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