Why Netflix Stock Flopped Again Today
One day after experiencing one of the worst trading sessions in its history, Netflix (NASDAQ: NFLX) stock took another fall on Thursday.
At least this one wasn't as bad; the streaming video bellwether's shares closed "only" 3.5% lower. Some of this can be attributed to lingering pessimism following the company's ugly first-quarter results, but it was also due to a top investor bailing on the stock, and a raft of analyst price-target cuts and downgrades.
Like the ending of a mediocre film, we could have guessed the reaction of many analysts to Netflix's first-quarter earnings report (in which it shockingly revealed a 200,000-count loss in streaming clients, with far more departures anticipated to come). The price target cuts and recommendation downgrades came thick and fast, even from longtime bulls.
Source Fool.com
