NETFLIX MISSES Q2 FORECAST, STOCK DROPS 7%

The streaming giant's second-quarter results came in slightly below Wall Street estimates, triggering a sharp market reaction. Revenue growth of 13% YoY indicates continued expansion, but investors appear focused on the miss relative to forecasts. In a separate announcement, Netflix said it will reduce the frequency of engagement metric updates beginning in 2027. The company did not specify which metrics would be affected or provide details on the reporting cadence change. The guidance on reduced transparency may signal Netflix's shift in how it communicates with investors about user engagement and platform performance. The decision comes as streaming companies face ongoing pressure to prove business viability and subscriber retention amid rising competition and content costs. Netflix remains dominant in the streaming market, but the Q2 results underscore investor sensitivity to growth expectations and forward guidance.