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Netflix engagement weakens as shares fall over 30% this year

Netflix users reportedly open the app less often and spend less time watching on average than a few years ago, a trend persisting after its password-sharing crackdown. Shares have fallen over 30% this year, while revenue growth has slowed for three consecutive quarters. Netflix has increased content budgets and expanded into podcasts and live sports, but lowered its advertising revenue forecast.

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Netflix engagement weakens as shares fall over 30% this year
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What to know

  • 01

    Netflix cut its 2026 advertising revenue forecast from $3 billion to about $2.7 billion.

  • 02

    Antenna puts Netflix’s US subscriber churn at 2%, a relatively low level for the industry.

Why it matters

These trends point to pressure on Netflix’s engagement and revenue growth, despite relatively low subscriber churn in the US.

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