Netflix Reports Q3 Earnings, Cuts 2026 Ad Revenue Target, and Forecasts Weak Q4 Profit

Netflix announced its third-quarter results, reporting revenue in line with forecasts but forecasting a weaker fourth-quarter profit than anticipated. The streaming giant also cut its 2026 advertising revenue target by $300 million to $2.7 billion, leading to a significant drop in its stock value. Despite this, research indicates that Netflix's ad-supported plan has become its most purchased subscription tier, accounting for nearly half of subscribers in ad-tier markets.