World

Million

<div class="textg" style="text-align: justify; font-weight: lighter; line-height: 1.3em; font-size: 15px; border-radius: 3px; color: #80909a; padding: 10px; background-color: #F4F6F9; margin-bottom: 15px;">
 Neither the author, Tim Fries, nor this website, The Tokenist, provide financial advice. Please consult our&nbsp;<a href="https://tokenist.com/terms-of-service/" style="text-decoration:underline;color:#3c7b7b" target="_blank" rel="noreferrer noopener" class="deco-link">website policy</a>&nbsp;prior to making financial decisions.
</div> 
<p class="has-drop-cap">Shares of Netflix (NASDAQ: NFLX) advanced around 1.8% in premarket trading Tuesday after the company <a aria-label="announced (opens in a new tab)" href="https://about.netflix.com/en/news/netflix-to-become-new-home-of-wwe-raw-beginning-2025" target="_blank" rel="noreferrer noopener nofollow" class="deco-link">announced</a> it has agreed to a $5 billion deal to stream World Wrestling Entertainment’s (WWE) flagship Raw program over the next ten years. Netflix will also<a aria-label="set to report (opens in a new tab)" href="https://finance.yahoo.com/news/netflix-earnings-preview-subscribers-expected-to-surge-amid-ad-tier-momentum-205023208.html" target="_blank" rel="noreferrer noopener nofollow" class="deco-link"> report</a> its Q4 earnings later today, with Wall Street anticipating strong results.</p> 
<h3 id="netflix-inks-its-biggest-live-event-streaming-deal-to-date">Netflix Inks Its Biggest Live-Event Streaming Deal to Date</h3> 
<p>Netflix has sealed a $5 billion agreement to broadcast WWE’s flagship Raw program for the next decade, marking its most significant venture into live event streaming.</p> 
<p>Set to take effect in January 2025, the deal aims to tap into the show’s dedicated fan base, which played a pivotal role in launching the careers of wrestling icons like Dwayne “The Rock” Johnson and John Cena. This move also underscores Netflix’s strategic expansion utilizing the technology required for live sports broadcasting.</p> 
<p>WWE’s decision to shift from the USA Network, where it is currently the top-rated program, reflects the growing impact of economic challenges on traditional cable television operators as consumers increasingly favor streaming services. The deal includes three weekly live programs and major pay-per-view events like WrestleMania, SummerSlam, and Royal Rumble.</p> 
<p>Initially affecting markets in the USA, Canada, UK, and Latin America, the agreement is poised for global expansion in later stages. WWE Raw, known for its live broadcasts and 1,600 episodes since inception, garners a substantial viewership of 17.5 million weekly in the US, with a social media presence boasting 1 billion followers.</p> 
<blockquote class="wp-block-quote"> 
 <p>“We believe Netflix, as one of the world’s leading entertainment brands, is the ideal long-term home for Raw’s live, loyal, and ever-growing fan base.” </p> <cite>– said WWE President Nick Khan.</cite>
</blockquote> 
<p><a href="https://tokenist.com/could-netflix-stage-a-comeback/" rel="dofollow" class="deco-link">Netflix’s stock</a> was up 1.8% ahead of market open on Tuesday.</p> 
<div class="cta-referral"> 
 <img src="https://tokenist.com/wp-content/themes/thetokenist/assets/img/del/cta-referral-1.png" alt="" class="cta-referral__img" loading="lazy" decoding="async"> 
 <div class="cta-referral__text"> 
  <p>Join our&nbsp;<a href="https://t.me/thetokenist" target="_blank" rel="noreferrer noopener nofollow" class="deco-link">Telegram group&nbsp;and never miss a breaking digital asset story.</a></p> 
 </div> 
</div> 
<h3 id="netflix-expected-to-add-9-million-new-subscribers-in-q4">Netflix Expected to Add 9 Million New Subscribers in Q4</h3> 
<p>Netflix’s substantial deal with WWE comes on the same day as the streaming giant’s forthcoming earnings report for the fiscal fourth quarter. Consensus expectations are that Netflix ended 2023 on a high note.</p> 
<p>Notably, new subscribers in Q4 are anticipated to rise by roughly 9 million, according to the company’s guidance. This indicates that full-year 2023 net additions will stand at approximately 24 million.</p> 
<p>Investors will closely monitor Netflix’s revenue strategies, such as its <a href="https://tokenist.com/netflix-saw-as-much-as-100000-daily-sign-ups-post-password-sharing-ban/" rel="dofollow" class="deco-link">crackdown on password sharing</a>, the introduction of an ad-supported tier, and recent subscription plan price hikes. The impending departure of Netflix film chief Scott Stuber in March will also likely attract attention.</p> 
<p>These revenue initiatives will positively impact key profitability metrics, including free cash flow, operating margins, and average revenue per member (ARM). While the company anticipates achieving a 20% operating margin for the full year 2023, higher ARM may face a temporary dip in Q4 before recovering later in the year, influenced by the <a href="https://tokenist.com/netflix-down-2-7-premarket-as-ad-tier-gets-lukewarm-response/" rel="dofollow" class="deco-link">introduction of the ad tier</a> and the effects of price hikes.</p> 
<p>Wall Street consensus estimates project revenue at $8.71 billion and earnings per share (EPS) at $2.20.</p> <iframe src="https://tokenist.substack.com/embed" width="100%" height="320" style="border:1px solid #EEE; background:white;" frameborder="0" scrolling="no"></iframe> 
<p><em><strong>What are your expectations for Netflix’s stock market performance this year? Let us know in the comments below.</strong></em></p> 
<p><em>Disclaimer: The author does not hold or have a position in any securities discussed in the article.</em></p> 
<p>The post <a rel="nofollow" href="https://tokenist.com/netflix-stock-up-on-wwe-deal-ahead-of-q4-results/">Netflix Stock Up on WWE Deal Ahead of Q4 Results</a> appeared first on <a rel="nofollow" href="https://tokenist.com">Tokenist</a>.</p>

Netflix Stock Up on WWE Deal Ahead of Q4 Results

Table of Contents

Tokenist

Other articles published on Jan 23, 2024

BRICS: China Stockpiling 1.39 Million Barrels of Oil Every Day

Bitcoin’s Selling Pressure May Soon Decrease

DYDX Faces Potential Breakout From Descending Channel, Analyst Eyes $6 If This Happens

OKX To Compensate Users Affected by OKB Token Flash Collapse

Ripple’s Head Lawyer Exposes Flaws in Coinbase vs. SEC

Unlocking the Potential of Generative AI: A Roadmap for Organizations in 2024

Join our free newsletter for daily crypto updates!