Netflix authorizes $25 billion share buyback after stock drop

4 weeks ago 14

Cris Tolomia

Thu, April 23, 2026 astatine 8:03 AM CDT 2 min read

Netflix's committee of directors authorized the repurchase of an further $25 cardinal of the company's communal banal connected April 22, according to an SEC filing. Carrying nary expiration date, the caller authorization runs alongside the December 2024 repurchase program, which had astir $6.8 cardinal near to deploy arsenic of the extremity of the archetypal quarter.

Since reporting first-quarter results connected April 16, Netflix shares person shed much than 13% of their value, ending the April 22 league astatine $93.24. At their peak, shares reached $134.12 during intraday trading successful June 2025.

The buyback follows a turbulent play for the company. Netflix had announced an $83 cardinal statement to get Warner Bros. Discovery's streaming and workplace assets, lone to locomotion distant from the woody successful February aft Paramount Skydance raised its competing bid for the aforesaid assets. Paramount paid Netflix a $2.8 cardinal termination fee, according to Variety.

During the archetypal quarter, the institution spent astir $1.3 cardinal to discontinue 13.5 cardinal shares, according to Bloomberg. At quarter's end, the equilibrium expanse showed $14.4 cardinal successful gross indebtedness against $12.3 cardinal successful currency and currency equivalents.

The unusually precocious currency balance, Netflix explained, stems from having held disconnected connected buybacks portion the Warner Bros. woody was pending and past collecting the termination outgo afterward. In its first-quarter shareholder letter, the institution said it prioritizes reinvestment successful the concern earlier returning excess currency done buybacks.

According to the SEC filing, shares whitethorn beryllium retired via a scope of mechanisms, among them unfastened marketplace activity, privately negotiated agreements, accelerated repurchase arrangements, and artifact transactions. The institution is not obligated to repurchase immoderate circumstantial fig of shares, and said it whitethorn discontinue the programme without notice.

The buyback quality came astir a week aft Netflix revealed that Reed Hastings, who co-founded the institution and serves arsenic its chairman, plans to depart successful June, according to Reuters. Netflix has besides indicated it intends to enactment astir $20 cardinal toward movie and tv contented implicit the people of 2026.

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