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Good morning! Right here is the newest in trending:
Belongings outlook: Ray Dalio stated gold is now “the second largest reserve forex,” whereas bitcoin (BTC-USD) is just cash “for some.”
Affordability push: President Trump indicators order to limit massive institutional buyers from shopping for single-family properties.
Disagreement: OpenAI’s Sam Altman fires again at Elon Musk linking ChatGPT to 9 deaths, pointing to fatalities involving Tesla’s Autopilot.
Netflix (NFLX) is down greater than 6% this morning after its fourth-quarter outcomes narrowly beat expectations, whereas its tepid outlook underwhelmed buyers. Including to uncertainty is the continuing bidding warfare for Warner Bros. Discovery (WBD).
Outcomes recap: The streaming big’s This fall income grew 18% Y/Y, pushed by membership development, greater pricing and elevated advert income. However provided that This fall is often amongst its strongest quarters, income was solely barely above estimates. As for its steering, it projected income rising 12%-14% in 2026, in comparison with 16% development in 2025. Netflix additionally plans to extend spending on content material by 10% this yr. “In 2026, we’re centered on bettering our core enterprise with an rising selection and high quality of collection and movies, enhancing our product expertise, and additional rising our adverts enterprise,” it stated.
Newest on WBD: Netflix launched its outcomes after updating its bid for Warner Bros. Discovery’s streaming and studio belongings to an all-cash provide of $27.75/share. Netflix additionally secured extra debt from banks to fund the revised provide. “We’re working actually arduous to shut the acquisition of Warner Bros. Studios and HBO, which we see as a strategic accelerant,” Theodore Sarandos, Netflix’s co-CEO, stated in an earnings name. The revised provide is aimed toward warding off Paramount Skydance (PSKY), which is pursuing a hostile takeover of WBD with a proposal of $30/share in money for your entire firm.
SA commentary: In accordance with Investing Group Chief Lengthy Participant, Netflix’s development charge is much slower than the price-earnings ratio would appear to point and so “it’s fairly potential that the declining inventory value signifies a transition to actuality.” However SA analyst Gary Alexander struck a extra constructive tone. “I imagine the market is overly attuned to the dangers of a development slowdown and assuming a contemporary debt load and never giving Netflix sufficient credit score for its growth of market share, its margin growth, and its nascent alternative to meaningfully develop its adverts enterprise,” he stated.
This is the newest In search of Alpha evaluation
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What else is going on…
Trump says, ‘You may discover out’ how far he’ll go to get Greenland.
Anthropic (ANTHRO) CEO talks potential IPO, AI race at Davos.
United (UAL) rallies after saying it is on monitor for file earnings.
Amazon (AMZN) will get nod to open megastore in Chicago suburb.
Ryan Cohen boosts his GameStop (GME) stake to about 9.2%.
The authorized battle in opposition to sports activities prediction markets is heating up.
PayPal (PYPL) provides free DIY tax submitting for debit card clients.
Pure gasoline futures skyrocket as chilly snap sweeps throughout U.S.
RFK Jr. reportedly dismisses 4 members of vaccine harm panel.
Japan bond volatility might set off as much as $130B U.S. Treasury promoting.
In the present day’s Markets
In Asia, Japan -0.4%. Hong Kong +0.4%. China +0.1%. India -0.3%.
In Europe, at noon, London -0.2%. Paris -0.4%. Frankfurt -1%.
Futures at 7:00, Dow -0.1%. S&P flat. Nasdaq -0.2%. Crude flat at $60.35. Gold +2.1% to $4,864.20. Bitcoin -2.7% to $88,665.
Ten-year Treasury Yield -1 bp to 4.29%.
On The Calendar
Corporations reporting right now embrace Johnson & Johnson (JNJ) and Kinder Morgan (KMI).
See the complete earnings calendar on In search of Alpha, in addition to right now’s financial calendar.
