Netflix shares slide 4% as slowing sales growth raises fresh concerns
Summary
Netflix shares fell 4% after the company reported its slowest sales growth in three years and forecast another quarter of deceleration. Its fourth-quarter revenue outlook missed analyst expectations, while weaker advertising revenue added to investor concerns.
Netflix now faces a valuation problem as growth slows across both its core subscription business
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Netflix must prove its newer growth engines can offset a maturing subscription business before investor confidence deteriorates further.