Netflix (NASDAQ: NFLX) investors were able to exhale after the streaming service announced its second-quarter results on Tuesday afternoon. The stock initially moved higher, after the market was encouraged to see Netflix lose less than half of the subscribers that the platform thought it would shed sequentially during the period.

There is certainly some long overdue relief to Netflix losing only 970,000 net subscribers between the end of March and the conclusion of June. Back in April, Netflix was bracing investors for 2 million net defections. However, there is more to this relative success story -- and subscriber guidance -- than meets the eye. Let's take a closer look.

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Source Fool.com