Netflix, Inc (NASDAQ: NFLX) will kick off big tech earnings after the bell today when it prints its second-quarter financial results.
The stock is trading slightly lower heading into the event, in tandem with the S&P 500, which was dropping about 0.45%.
For the second quarter, analysts expect Netflix to report earnings per share of $4.74 on revenues of $9.527 billion, according to TradingView
Last quarter, Netflix reported earnings per share of $5.28 on revenues of $9.402 billion. The company beat on both the top and bottom line but the stock reacted negatively, dropping over 9% the following day.
Traders and investors will be watching to see how many paid new subscribers the company has added over the second quarter.
From a technical analysis perspective, Netflix appears neutral heading into the event, forming a possible double bottom pattern above strong support but within a confirmed downtrend.
The Netflix Chart: On Thursday, Netflix retraced toward Wednesday’s low of $639.17 and was trying to bounce up from that level. That area of support coincides with an ascending trendline, which Netflix has been mostly holding above since Dec. 6.
- Bulls want to see Netflix receive a positive reaction to its earnings print and then for the stock to rise up above Monday’s high-of-day at $667.54, which would negate the downtrend and set the stock into a possible route back to its all-time high.
- Bears want to see big bearish volume come in and knock Netflix down under Wednesday’s low-of-day and the ascending trend line, which could put the stock in jeopardy of retracing to the 200-day SMA, which is currently trending near the $550 level.
