Netflix Drags Nasdaq and Streamers Lower, IBM Offers Positive Outlook
- Barry Adams
- U.S.A. New York City
-
The S&P 500 closed higher but Nasdaq fell on the weakness in tech and internet stocks after Netflix reported a surprise decline in subscribers and guided more losses in the current quarter.
U.S. stock indexes gained after investors digested a flood of earnings from banks and tech companies.
Netflix plunged 35% on the rising loss of subscribers and dragged internet stocks including Match.com, Wayfair, Etsy, Shopify. Disney, Paramount, CBS, and Discovery stocks also closed lower. P&G and IBM offered a positive view for the rest of the year.
Banks including Truist and M&T gained on a positive earnings outlook but Fifth Third Bancorp earnings fell short of expectations.
Crude oil futures closed unchanged and 10-year U.S. Treasury bond yield inched lower to 2.85%.
Annual Returns
| Company | Ticker | 2025 | 2024 | 2023 |
|---|---|---|---|---|
| International Business Machines Corporation | IBM | -1% | 36% | 10% |
| Netflix Inc | NFLX | -3% | 87% | 54% |
| Wayfair Inc. | W | 2% | -28% | 67% |
| Fifth Third Bancorp | FITB | -1% | 24% | 4% |
| M&T Bank Corporation | MTB | 0% | 38% | -10% |