NFLX: Netflix Stock Pops 15% on Best Quarter Ever—Thank Squid Game and Mike Tyson

Streaming king remains undefeated as it adds a record 19 million subscribers in the December quarter. Oh, and it’s raising prices.

🎬 Users Loved Netflix in Q4

• Netflix stock NFLX surged more than 15% after the company posted a whopping beat of fourth-quarter estimates. The streaming king remains on top of the world — Netflix pulled in a record 19 million paid users in the final three months of 2024, blowing past projections of 9.8 million.
• The holiday season is usually strong but this one was exceptionally strong thanks to the release of the second season of Squid Game, which had a record 68 million views in its first week. The live boxing match between Mike Tyson and Paul Logan was another big growth driver, attracting 65 million streams.

🤸 Breakdown: Numbers Time

• For the final quarter of last year, Netflix earned $4.27 a share, surpassing Wall Street estimates of $4.21. Revenue landed at $10.25 billion, also beating consensus calls of $10.1 billion. The outlook: Netflix expects revenue for 2025 to come in between $43.5 billion and $44.5 billion, mostly above analysts’ views of $43.65 billion.
• Today, Netflix has 301 million paying subscribers, up a comfortable 15% year on year. Now the not-so-good news. The streaming platform is raising prices in the US, Canada, Portugal and Argentina (why Argentina?) The most popular plan in the US will rise by $2.50 to $17.99 a month. The ad-supported tier will rise by $1 to $7.99 a month.

🚀 Shares Poised to Hit Record High

• “We enter 2025 with strong momentum, coming off a year with record net (subscriber) additions and having re-accelerated growth,” the tech titan wrote in a letter to shareholders. Starting next year, Netflix will no longer be reporting subscriber figures as it focuses on other metrics like revenue growth and profit.
• Netflix stock is up roughly 80% in the past twelve months and is about to pop all the way to nearly $1,000 a share — a record session high. The company is poised to break the $400 billion market cap threshold at the opening bell today.