Here’s a refined 300‑word update on Netflix’s upcoming Q2 2025 earnings:
—
Netflix is set to report its second-quarter 2025 results after the market closes on Thursday, July 17 . Wall Street anticipates a strong quarter, with analysts forecasting $7.08 in EPS—an impressive ~45% year-over-year increase—on approximately $11.06 billion in revenue, which would mark a **mid-teens growth rate (~15–16% YoY)** .
The focus ahead of the release centers on three key growth drivers:
1. Advertising-supported Tier
Analysts expect meaningful advancement from Netflix’s ad-supported plan. This model now features enhanced ad-tech, personalised ads, and increased pricing—$7.99 for the ad tier (up from $6.99), and corresponding increases for standard and premium plans—to support future revenue growth .
2. International and Live Content Expansion
Live sports streaming—including NFL and WWE deals—and the recently secured French TF1 channel deal are under close watch. Analysts see these initiatives as strategic to boosting engagement and diversifying beyond core SVOD offerings .
3. Valuation Pressure & Cautious Optimism
Netflix trades at nearly 50× forward earnings, prompting mixed analyst opinions. While firms like Guggenheim, Bank of America, Wedbush, and Needham maintain buy ratings (with price targets ranging from ~$1,330 to $1,500), others like Loop Capital and Citi remain cautious or neutral, pointing to high valuation risks .
Market sentiment is broadly upbeat yet tempered. The average price target stands around $1,330, offering $1,260–1,270), and analysts are tracking ad-revenue impact and live content traction closely .
In summary, the Q2 release will be examined for any acceleration in ad-tier adoption, clearer insight into live/global content traction, and whether actual results align with premium
valuation.
—
