Netflix Is Down 32% Since Reed Hastings Said He Was Leaving. Should You Buy the Dip or Is It a Red Flag?
Netflix just hit an 18-month low shortly after its founder stepped aside. Are they linked?
Netflix Is Down 32% Since Reed Hastings Said He Was Leaving. Should You Buy the Dip or Is It a Red Flag?
Overview
Netflix (NASDAQ: NFLX) has been one of the top-performing stocks of the last generation, but the streaming giant has hit a rough patch in recent weeks.
The stock is down 32% since April 16, when it reported first-quarter earnings. Shares fell due to weak guidance for the second quarter as the company called for revenue growth to slow to 13.5%.
Details
However, there was another item that also spooked investors. Reed Hastings, the co-founder of the company and longtime CEO, said he would step down from the board on June 4. Hastings had ceded the CEO chair in 2023, but this move leaves him without a formal position in the company for the first time ever.
Source
Originally published at www.fool.com.
