Netflix's Growth Stalled in 2022. Can It Get Its Mojo Back in 2023?
Netflix (NASDAQ: NFLX) had a terrible first half of 2022 as worries over high inflation, declines in paid new subscribers, and significant year-over-year revenue deceleration plagued the company and led to substantial stock declines. However, after the company beat its third-quarter forecasts for revenue, operating income, and earnings while reestablishing subscriber growth , the stock rose 22% to end the year.
Does the stock's recent rise indicate Netflix's 2022 troubles are over and it's about to regain its mojo in 2023, or are there still dark times ahead?
The company's poor fundamentals in 2022 are the result of four concerns. The first issue is that Netflix relies on connected TV (CTV) growth and TV viewers' adoption of streaming -- both of which slowed during the year.
Source Fool.com