Netflix, Inc. (NASDAQ:NFLX) will post its first-quarter 2014 financial results and business outlook on its investor relations website at http://ir.netflix.com on Monday, April 21, 2014, at approximately 1:05 p.m. Pacific Time.
Netflix Chief Executive Officer Reed Hastings, Chief Financial Officer David Wells and Chief Content Officer Ted Sarandos will host a live video discussion about the Company's financial results and business outlook at 2:00 p.m. Pacific Time.
Wall Street anticipates that the streaming entertainment company will earn $0.82 per share for the quarter, which is $0.77 more than last year's profit of $0.05 per share. iStock expects NFLX to top Wall Street's consensus number. The iEstimate is $0.85, three cents more than expected.
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Sales, like earnings, are expected to grow handsomely, rising 23.6% year-over-year (YoY). Netflix's consensus revenue estimate for Q1 is $1.27 billion, more than last year's $1.02 billion.
Netflix provides Internet television network service that enables subscribers to stream TV shows and movies directly on TVs, computers, and mobile devices in the United States and internationally.
Since Netflix has transitioned from your mailbox to the computer screen, checking online resources should give investors some clue as to how NFLX performed in Q1.
According to Alexa.com, traffic to Netflix is higher in Q1 2014 than Q1 2013; however, the number of visitors has fallen steadily since peaking early in the year. That being said, the number of people visiting Netflix.com is up 11% in the first quarter versus the fourth quarter of last year, so showeth Qauntcast.com data.
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In Q4 2013, the NASDAQ 100 member earned $0.79 on sales of $1.175 billion. A top to bottom increase of 11% would put revenue at $1.305 billion and EPS of $0.88; both of which would be better than forecasted.
Google Trends search volume intensity (SVI) for the keyword "Netflix" halfway confirms Alexa and Quantcast data. SVI increased 6.45% quarter-over-quarter (QoQ). Compared to last year's first quarter, web queries moved higher by 10.7%; not enough to get to the street's sales and EPS outlooks.
When we switch the keyword to "Netflix login," which iStock feels is a reliable proxy for new signups, SVI is higher by 13.51% QoQ. If that number holds true, then total members at end of period would come in close to 50 million, and paid members at end of period close to 46.8 million; both of which would please Wall Street in our view.
Overall: Search Volume Intensity, web visitor data, and the iEstimate strongly suggest a stout, bullish revenue and EPS surprise could be on the way Monday afternoon for Netflix, Inc. (NASDAQ:NFLX). Shares ripped higher by an average of 31.61% five of the last seven double surprise i.e. sales and earnings better than expected. Meanwhile, NFLX backed up twice in the last seven quarters of double beats by -3.29% and -17.37%.
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