Netflix Lost $50 Billion in Value Overnight
thewrap.comnearly doesn’t cut it for investors, who panicked so hard that Netflix’s stock price lost more than $100 in value overnight.
Market cap refers to the total value of all outstanding shares. For Netflix, this was the worst 24-hour period on the stock market since July 2012, as its stock price plummeted 21.8% from the close of business on Thursday to Friday’s close.
Most of that drop came in after-hours trading following Netflix’s fourth-quarter earnings, which came in slightly below expectations.
In pure numerical terms, Netflix’s stock price lost more than $100 overnight, going from $508 a share at the close of business on Thursday, to $400 per share when trading opened on Friday, where it fell below $400 to $397.50 by the end of the day (it’s continued to fall in after-hours trading).Investors were not just spooked by the lower-than-expected results.
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