Netflix Up 10% After Q3 Earnings Beat
Netflix (NASDAQ: NFLX) is up more than 10 percent in after hours trading after reporting its third-quarter earnings results.
The company's Q3 EPS came in at $0.52, beating the Street estimate of $0.48 by $0.04.
Earnings per share were up 300 percent from the year-ago period.
Revenue arrived at $1.11 billion versus the Street's estimate of $1.10 billion. Sales were up 23 percent year-over-year.
Netflix said that it expects to report a fourth-quarter EPS of $0.47 to $0.73, potentially above Wall Street's estimate of just $0.46.
Shares of Netflix are up more than 262 percent this year. This growth has pushed the company above $350 a share, obliterating the once-impressive high of nearly $300 that was achieved in July 2011.
When Netflix began to sink more than two years ago, many analysts were concerned that the company would never recover. By November 2011, Netflix had fallen below $70 a share.
The streaming video giant spiked slightly over the next few months, rising above $120 in January 2012. By the end of May, Netflix had fallen below $70 again. And by the end of July, Netflix traded below $55.
Since then, Netflix has been growing fairly steadily. There have been a few hiccups in between, but after signing exclusive deals with DreamWorks Animation (NASDAQ: DWA), Disney (NYSE: DIS) and a handful of smaller content producers, Netflix has surpassed expectations.
Disclosure: At the time of this writing, Louis Bedigian had no position in the equities mentioned in this report.
Louis Bedigian is the Senior Tech Analyst and Features Writer of Benzinga. You can reach him at louis(at)benzingapro(dot)com. Follow him @LouisBedigianBZ
© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.