The risk is that Netflix shares may have already priced in much of the anticipated good news — potentially putting them in a perilous position if results disappoint.
There's a lot riding on Netflix Inc. to demonstrate that it’s back in growth mode after a pandemic hangover, when the streaming giant reports earnings after market on Tuesday.
The stock has gained more than 40% since Netflix’s last report in October, which showed subscriber additions that blew past expectations. Wall Street sees this trend continuing, with revenue rising 11% in the fourth quarter. That would be its fastest expansion in two years, when the company got a boost from the stay-at-home economy.
