Here’s Why Analysts Expressed Caution Ahead of Netflix’s Q1

Here’s Why Analysts Expressed Caution Ahead of Netflix’s Q1
The Netflix logo at the Anime Japan 2022 fair in Tokyo, on March 26, 2022. Charly Triballeau/AFP via Getty Images
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Analysts expressed caution ahead of Netflix Inc. Q1 earnings, highlighting EMEA’s churn risk, the company’s second-largest region, due to potential consumer spending pressure tied to higher energy costs and broader inflationary pressures and loss of subscribers in Russia.

Baird analyst William Power noted that each 10 bps increase in churn could negatively impact EMEA net additions by 200,000.