Comment: Netflix Q4 earnings

“Netflix misses EPS estimates by a fair bit  (12 cents vs the forecasted 45 cents) but manages to surpass expectations for new subscribers, adding 7.6 million vs 4.5 million expected. Shares jumped after hours on this but we may see some caution today.

The new cheaper subscription has obviously paid off. The company has said it will stop giving guidance on new subscribers as it wants to shift the focus towards revenue as the company reaches a more mature stage.

This has set the tone for tech earnings, that despite expectations being set pretty low already, we may see a few misses along the wat.

That said, each company will have tkey metric markets they will be looking out for —new subscribers in the case of Netflix. This may still cause a bit of a boost to share prices as an immediate reaction.”

Daniela Hathorn, Senior Market Analyst at online retail trading platform, Capital.com.