With shares sliding, Netflix might need to tackle its biggest problem—and it could come cheap only if engagement improves
Stock pressure and layoffs
Netflix’s stock has endured a difficult stretch, falling almost 42% over the past year and nearly 25% in 2026. BI’s Jame Faris outlined five reasons for the company’s struggles.
The company’s layoffs did not quickly calm investors. Its stock finished the day up 0.16%, and BI’s Peter Kafka argued that job cuts would not resolve Netflix’s problems.
Engagement remains a concern
Netflix has roughly 325 million paid subscribers, giving it a vast audience. Still, investors are questioning how long subscribers spend watching its shows. Netflix does not typically share all the information investors might want. One view is that measuring new shows alone misses the role older series can play, as their popularity may continue over time.
Podcasts and sports plans
Podcast audiences often return regularly, and Netflix could benefit if it attracts listeners from rivals such as YouTube. However, it is too early to know whether that shift is happening.
Live sports rights are expensive. Netflix has five NFL games this season under an expanded agreement with the league, whose partnership with the streamer began in 2024 and runs through the 2029 season. That end date aligns with an opt-out clause in the NFL’s much larger agreement with CBS and Fox.
Key points
- Netflix shares are down almost 42% over the past year and nearly 25% in 2026.
- The streamer has roughly 325 million paid subscribers, but investors are focused on engagement.
- Layoffs barely moved the stock, which ended the day up 0.16%.
- Netflix’s NFL deal runs through 2029, when CBS and Fox’s agreement has an opt-out clause.