Netflix’s Market Cap Plummets by $54 Billion USD in a Day

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Netflix has now lost more than $50 billion USD in market cap since it published its Q1 financials. On Wednesday during an earnings call, the streaming giant reported a net loss for the first time since October of 2011, causing investors and shareholders to sell off its shares at an alarming rate. By the end of the day, Netflix’s stock price dropped a staggering 35%, marking the biggest fall for the company since 2004 and one of the biggest single-day losses in the stock exchange’s history, equating to roughly $54 billion USD.

“I know it’s disappointing for investors, and it is for sure,” said Netflix CEO Reed Hastings during the earnings call. “But internally, we’re really geared up, and this is like our moment to shine. This is when it all matters. And we’re super focused on achieving those objectives and getting back into our investors’ good graces.”

To combat losses, Netflix is now looking to stop people from sharing passwords for the same account, keeping each registered account within one single household. It’s also considering implementing more tiers, some of which will be ad-supported.

Elsewhere in tech, Apple analyst Ming-Chi Kuo expects the company to launch its first full-screen iPhone by 2024.