A $25 Billion Buyback, Even Bigger Expectations: Netflix Faces Investor Doubts
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By Jack Delaney – Apr 25, 2026 at 10:00PM ESTKey PointsNetflix plans to purchase $25 billion worth of stock.The buyback wasn't enough to move the stock price.The streaming giant has some revenue opportunities ahead, as well as challenges. When Netflix (NFLX 0.50%) decided not to pursue a deal to acquire assets from Warner Bros. Discovery, many shareholders wondered about updates on the company's stock buyback plans. It was only fair to wonder, given that the streaming giant said it would continue its buyback program in February after it was no longer pursuing a deal with Warner Bros. The Netflix board recently authorized $25 billion in stock buybacks, in addition to the $6.8 billion remaining under a plan from December 2024. That offered clarity, but it wasn't enough to move the stock price. Image source: Getty Images. The earnings report overshadows the buyback announcement Netflix recently reported its earnings results for the first quarter of 2026 earnings, which ranged from underwhelming to concerning for some investors. Its guidance didn't quite meet analysts' expectations for Q2 2026, and it was revealed that Netflix co-founder Reed Hastings will step down from the board in June. The $25 billion buyback may have seemed like welcome news, but with everything else going on, in terms of the stock price's response, the update was largely shrugged off. ExpandNASDAQ: NFLXNetflixToday's Change(-0.50%) $-0.46Current Price$92.36Key Data PointsMarket Cap$389BDay's Range$91.81 - $93.2752wk Range$75.01 - $134.12Volume970KAvg Vol47MGross Margin49.44% What to consider before making an investment decision Netflix is in the midst of a shift from a young disruptor with explosive revenue growth potential to a veteran operator. Sales growth opportunities still exist, but it becomes increasingly harder to move the needle when you're a $390 billion company. It may take time for investors to reset some of their expectations. For the rest of 2026, the streaming giant may rely more on ad revenue and subscription growth for sales than the market may want to see. Without any significant earnings beats or forecast boosts, the stock price will likely be stuck in a choppy trading pattern. For the long-term investor, Netflix's pursuit of everything from video podcasting to live events offers potential revenue growth opportunities. It'll just require conviction, patience, and time to see if the management team executes on turning opportunities into meaningful revenue that eventually turns into profit.Read NextApr 25, 2026 •By Anders Bylund1 Reason I'm Never Selling Netflix StockApr 25, 2026 •By Neil PatelHow Netflix Could Perform in a Mild vs. a Severe RecessionApr 22, 2026 •By Trevor JennewineBuy This Stock-Split Growth Stock With 44% Upside, According to a Wall Street AnalystApr 21, 2026 •By Neil Patel1 Reason Why Warren Buffett Would Like Netflix Stock, and 1 Reason He'd Avoid It Like the PlagueApr 21, 2026 •By Prosper Junior BakinyIs Netflix Stock a Buy on the Dip? Here's What History SaysApr 21, 2026 •By Geoffrey SeilerIs the Slide in Netflix Stock a Buying Opportunity?About the AuthorJack is a seasoned content strategist with over a decade of experience in financial publishing. He's directed technology, emerging opportunities, and alternative asset publications to deliver actionable insights to investors. He has a B.A. in Communication Studies.TMFJackDelaneyStocks MentionedNetflixNASDAQ: NFLX$92.36(-0.50%)-$0.46Warner Bros. DiscoveryNASDAQ: WBD$27.07(+0.63%)+$0.17*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.