October 10, 2022 (Investorideas.com Newswire) Over the years, Netflix has grossed over $143bn due to its ever-growing subscriber base. However, after years of continuous growth, the streaming giant continues losing subscribers, which has already wiped billions of dollars off its market cap.
According to data presented by TradingPlatforms.com, the market cap of the streaming giant plunged by more than $167bn year-over-year.
Streaming Giant Lost 1.2 million Subscribers in 2022
Netflix has constantly been increasing its prices over the years to the point where its “premium” subscription is $20 a month, allowing its rivals to gain ground. In December last year, the streaming giant had 221.8 million paid subscribers worldwide. At that time, its market cap amounted to around $260bn, down from $267bn two months before.
However, after the company reported the first shocking subscriber loss in April, its share price dipped to the lowest point in years, wiping more than $50bn off the market cap.
By mid-2022, the number of people paying for Netflix services dropped to 220.6 million, showing a massive 1.2 million loss. At that time, the combined value of shares of the streamer plunged to $77.9bn, a 70% drop in eight months.
Although Netflix`s market cap has increased since then, reaching $99.9bn last week, this still represents a massive 62% drop year-over-year.
9% YoY Revenue Growth Despite Big Earnings Miss
Besides losing subscribers and raising doubts about its ability to grow, the streaming giant also reported a big earnings miss this year.
Netflix’s revenue for the first quarter of 2022 was $7.86bn, missing analysts’ expectations of $8.04bn. In Q2 2022, the company reported revenue of $7.97bn, up from $7.34bn in the same quarter of 2021.
But, despite the earnings miss, Netflix grossed $15.8bn in the first half of 2022 or 9% more than in the same period a year ago.
The full story and statistics can be found here: https://tradingplatforms.com/blog/2022/10/10/netflixs-market-cap-dipped-by-167b-year-over-year/
This news is published on the Investorideas.com Newswire – a global digital news source for investors and business leaders
Disclaimer/Disclosure: Investorideas.com is a digital publisher of third party sourced news, articles and equity research as well as creates original content, including video, interviews and articles. Original content created by investorideas is protected by copyright laws other than syndication rights. Our site does not make recommendations for purchases or sale of stocks, services or products. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. All investing involves risk and possible losses. This site is currently compensated for news publication and distribution, social media and marketing, content creation and more. Disclosure is posted for each compensated news release, content published /created if required but otherwise the news was not compensated for and was published for the sole interest of our readers and followers. Contact management and IR of each company directly regarding specific questions.
More disclaimer info: https://www.investorideas.com/About/Disclaimer.asp Learn more about publishing your news release and our other news services on the Investorideas.com newswire https://www.investorideas.com/News-Upload/ and tickertagstocknews.com