Netflix Stock Plummets After Goldman Downgrades Stock

Share post:

Goldman Sachs downgraded Netflix’s stock from “Neutral” to “Sell,” lowering its price target to $186 from $265. Netflix shares fell 4.6 percent to $184.06 after the brokerage update, contributing to the company’s 68 percent slump in 2022.

Netflix’s troubles began after it lost subscribers for the first time in more than a decade, with several reasons attributed to its decline, some of which include the rising cost of food and gas, which has left people with little to spend on entertainment, and the ongoing war in Ukraine, which has led the company to shut down operations in Russia.

Netflix is now considering a cheaper subscription, which includes advertising, following the success of such deals from rivals HBO Max and Disney+.

“Those who have followed Netflix know that I’ve been against the complexity of advertising, and a big fan of the simplicity of subscription. But, as much as I’m a fan of that, I’m a bigger fan of consumer choice,” said Netflix CEO Reed Hastings.

The sources for this piece include an article in Reuters.

Featured Tech Jobs


Related articles

Apple reduces forecasts for Vision Pro as demand cools in key US market

In an unexpected shift, Apple has drastically reduced its shipment forecasts for the upcoming Vision Pro, indicating a...

FTC says Microsoft’s layoffs at Activision Blizzard may threaten merger approval

The FTC has expressed dissatisfaction with Microsoft's layoffs at Activision Blizzard, challenging the integrity of the Microsoft-Activision deal....

Delaware court voids Musks $56 billion dollar compensation

Tesla's stock experienced a notable downturn following a Delaware court's decision to void CEO Elon Musk's massive $56...

IT World Canada strikes partnership with Canadian Cybersecurity Network

Goal is to make it easier for infosec pros to access each organization

Become a member

New, Relevant Tech Stories. Our article selection is done by industry professionals. Our writers summarize them to give you the key takeaways