NFLX Stock On Track For Fifth Week Of Declines: Analyst Raises Concerns Over Growth After Co-CEO’s Remarks

• “We are, though, also doing things that create a lot of headwind to that number,” Sarandos added.
• Wells Fargo said the comments indicate that “not is well” for Netflix’s content and engagement.
• The analyst said Sarandos’ comments may raise more questions about the company's third-quarter earnings and 2027. 

Shares of Netflix Inc. (NFLX) are headed for a fifth week of declines amid growth concerns and a slowdown in user engagement. 

Meanwhile, the company’s co-CEO, Ted Sarandos, said the streaming giant is not growing as quickly as he would like.

Wells Fargo said the comments indicate that “not is well” for Netflix’s content and engagement, according to The Fly. 

What Is Wells Fargo’s Concerns About Netflix?

The analyst said Sarandos’ comments may raise more questions about the company's third-quarter earnings and 2027. 

On Thursday, Sarandos said at Bloomberg's Screentime conference, “Overall, we’re not growing as fast as I want us to, and we’re working on making that move faster.”

“We are, though, also doing things that create a lot of headwind to that number,” he added. 

Wells has a $57 price target on NFLX shares and an ‘Underweight’ rating on the company. The target implies a downside of nearly 16% from the company’s last closing price. 

Growth Concerns At Netflix

Netflix reported second-quarter results in July, highlighting moderating growth and engagement concerns as revenue rose 13% year-over-year to $12.56 billion, while first-half viewing hours increased just 2% and viewing of its Top 10 originals declined 4%. 

Net income rose 9% to $3.4 billion, but free cash flow fell to $1.52 billion from $2.3 billion a year earlier.

To boost growth, the streaming giant is working to expand beyond its core business, with about 5% of its $20 billion content budget directed toward live programming.

Additionally, the company is also slating broader theatrical releases for some of its biggest films.

NFLX stock is down more than 25% in 2026. 

NFLX Stock: Retail Stance

On Stocktwits, retail sentiment around NFLX stock was ‘bullish’ at the time of writing amid ‘normal’ message volumes. 

One user said, “$NFLX it’s funny how Wall Street has a way of trying to make people panic sell. Just hold this.”

Another user said, “$NFLX It's gonna be fun to watch this rip to $75 sooner than later.” The company's shares last closed at $67.85 on Thursday. 

A third user, however, noted, “$NFLX Paramount-Warner will destroy Netflix moat.”

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