Netflix stock drops again as merger rumors swirl

Business Jan 10, 2026

Netflix shares have taken a hit, falling nearly 33% since late June 2025.
The latest dip—about 2% in October—comes as investors worry about Netflix possibly buying Warner Bros. for a massive $82.7 billion.

What's making investors nervous?

Netflix is trading at about 28 times next year's expected earnings, pricier than Disney or Amazon but still below its own five-year average.
Many investors aren't sure Netflix can pull off such a big merger, especially with all the regulatory hurdles and its limited experience in deals like this.
With earnings coming up on January 20, everyone's watching to see if strong results—or news on the Warner Bros. deal—can help turn things around for the streaming giant.