Netflix Has Fallen More Than 40% 7 Times in Its History. Here's What Happened Next Each Time.
The leading streaming platform has always bounced back off the lows to reach new highs.
Overview
Over the past five weeks, the market has pumped some life into Netflix (NASDAQ: NFLX). Shares of the entertainment powerhouse have soared 16% (as of Aug. 27). But this doesn't take away from the negative perception surrounding the business.
This streaming stock currently trades 40% off its record from June 2025. This isn't uncharted territory. Long-time investors understand how wild the roller-coaster ride has been. In fact, Netflix has seen its share price fall more than 40% on seven total occasions, including the current drawdown, since its initial public offering (IPO) in May 2002.
Details
With the shares putting up a mind-boggling trailing-20-year return of 29,700% and the company sporting a significant market capitalization of $332 billion, Netflix obviously bounced back. But it's important for investors to look at history to guide their thinking about what might come next for the stock.
Source
Originally published at www.fool.com.