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Netflix Sets 10-for-1 Stock Split for Nov. 17 as Wall Street Sees Ads Upside

Analysts flag early-stage advertising as the next growth driver after robust Q3 revenue gains.

Overview

  • Netflix confirmed a 10-for-1 forward stock split effective November 17, intended to make shares more accessible for employees participating in its stock option program.
  • Third-quarter revenue rose about 14.8% year over year, with earlier EPS pressure tied to a one-time Brazil tax assessment that weighed on margins.
  • BMO Capital reaffirmed an Outperform rating and projected that Netflix’s advertising revenue will more than double in 2025, citing strong U.S. commitments.
  • Lightshed’s Rich Greenfield said there is no collapse at Netflix, describing the company as an execution story with an ads business that remains in its early stages of growth.
  • Reports suggest Netflix has explored a potential bid for Warner Bros. Discovery, which has not been confirmed by the company.