(Part 2 of 5) - Earnings Calendar for week starting 13Jul26 > looking at Netflix
Earnings Calendar (13Jul2026)
The earnings season starts with the financial institutions with some of the biggest bank giants: Citi, Goldman Sachs, Wells Fargo, JP Morgan. Other key earnings will include BlackRock, Intuitive Surgical, Netflix, United, TSMC and Wise.
The importance of the banking earnings (compiled with help from Grok and Gemini)
The big banks (JPMorgan, Citi, Wells Fargo, Goldman Sachs) kick off earnings season as the ultimate macroeconomic health check. Because they sit at the center of capital flow, their financial results serve two critical functions:
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Main Street Health Check: Metrics like credit card spending, loan delinquencies, and credit loss provisions reveal the true financial stamina and default risks of the American consumer.
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Wall Street Sentiment: Investment banking fees from M&A and IPO pipelines gauge corporate confidence and willingness to take strategic risks, while trading revenue reflects market volatility.
For the banking industry itself, these reports unveil Net Interest Margins (NIM)—showing how effectively banks are profiling profits against changing interest rates and deposit competition. Ultimately, their loosening or tightening of credit availability dictates systemic liquidity, directly steering broader economic expansion or contraction.
For this week, let us look at the earnings of Netflix.
Market View and Valuation
Netflix presents a mixed market picture. Technical analysis currently points to a “strong sell,” while analyst sentiment remains more constructive, with a “buy” recommendation and a price target of $113.15, implying potential upside of 54.21%.
The company trades at a P/E ratio of 23.8, with earnings per share of 3.16.
Peer Comparison (compiled by Gemini and Grok)
Netflix’s main competitors include Disney, which trades at a P/E ratio of around 15.3 to 16.5, and Warner Bros. Discovery, whose earnings profile remains negative or highly volatile. Other peers include Paramount, with a P/E ratio of roughly 8 to 9 for some share classes, and Roku, which trades at around 106.
The broader entertainment and media industry average P/E ratio is typically around 22 to 36, and often closer to 20 to 25 for wider media benchmarks.
Netflix trades at a premium to several peers, supported by strong profitability and continued streaming growth. Disney appears more like a diversified value play, while Warner Bros. Discovery continues to face earnings volatility from legacy television challenges.
Five-Year Financial Performance
Looking at Netflix’s financial performance over the five years from 2021 to 2025, with the financial year ending on 31 December, the company has delivered strong growth across revenue, profitability, and cash generation.
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Total revenue increased from $29.6 billion to $45.1 billion.
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Gross profit rose from $12.3 billion to $21.9 billion.
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Operating income grew from $6.1 billion to $13.3 billion.
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Net income increased from $5.1 billion to $10.98 billion.
The results are encouraging: while annual revenue increased by roughly 50% over five years, net income more than doubled. This suggests that Netflix has maintained effective cost control while continuing to expand at a healthy pace.
Balance Sheet and Debt Position
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Total assets increased from $44.5 billion to $55.5 billion over five years.
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Total liabilities were broadly stable at around $28.8 billion.
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Total equity rose from $15.8 billion to $26.6 billion.
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Total debt declined from $18.1 billion to $16.9 billion.
This demonstrates improved balance sheet strength and disciplined debt management. Further debt reduction would be positive, but the overall trend is constructive.
Cash Flow
Netflix has also shown strong improvement in cash flow, particularly from operations. Operating cash flow rose from $0.392 billion in 2021 to $10.1 billion in 2025.
The company has been paying down debt over the past five years, and its net change in cash has remained positive for the last three years. In 2025, Netflix ended the year with a positive net cash change of $1.2 billion.
Recent Netflix news from Investing
Earnings Forecast
The forecast for the coming earnings is $0.788 and $12.58B for EPS and revenue, respectively.
For now, I prefer to monitor the stock from the side.
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