Netflix Inc (NASDAQ: NFLX) will report its second-quarter earnings on Thursday. Wall Street expects $4.42 in earnings per share (EPS) and $8.9 billion in revenues as the company reports after market hours.
The stock is up 42.88% over the past year, +32.09% year-to-date.
Let's look at what the charts indicate for the company's stock, and how it currently maps against Wall Street estimates.
Netflix Stock Chart Is Bearish, Faces Slight Selling Pressure
With the share price at $641.05, the 8-day SMA of $662.91, the 20-day SMA of $672.94 and the 50-day SMA at $650.48, all indicate bearish signals, reflecting short-to-medium term bearish sentiment.
However, the 200-day SMA at $548.24 signals bullishness, suggesting stronger long-term support.
The MACD indicator is positive at 0.53, reinforcing bullishness. However, the RSI is at 39.81 and treading lower, suggesting the stock may soon be in the oversold territory, potentially pointing to a rebound.
Additionally, the Bollinger Bands (25) with a range of $641.27 - $699.27 have the stock trading in the lower band, reflecting bearish sentiment.
Overall, technical indicators for Netflix stock are more bearish than bullish. There is a longer-term positive sentiment, as reflected in the 200-day SMA. However, near-term indicators support a further bearish downtrend for the stock.
Stock Ratings & Consensus Estimates: The consensus analyst rating on Netflix stock stands at a Buy currently with a price target of $672.33. Guggenheim, Macquarie, and Benchmark released analyst ratings for Netflix on July 16 and July 17, 2024. They set an average price target of $655, implying a 2.15% upside.
NFLX Price Action: Netflix stock was trading at $641.20 at the time of publication.