At yesterday’s close, shares of the well-known streaming service fell by over 2.3% compared to the previous day. So far today, the share has moved significantly upwards by 6.2%. The price recently confirmed the sustained upward trend with an interim high of $344.00 and has since risen by 9.4% at times.
The quarterly figures published yesterday by the streaming provider were positive overall. The company added 7.66 million subscribers in Q4 2022, compared to analysts’ estimates of just 4.5 million additional customers. Revenue was in the expected range at $7.85 billion, while earnings of 12 cents per share fell well short of expectations and last year’s numbers. However, the company also predicted that its profit margin as well as free cash flow would improve in the coming years.
The current upward trend since mid-July had been reinforced by the share price in October. In the process, the price has secured support in the $311.00 area, while the next resistance can be seen in the $360.00 area. The price has successfully overcome the last resistance level at $333.00 with today’s breakaway gap and is moving towards the $350 level.
If the price continues to stay above and respect the previously mentioned support, this can be interpreted as a bullish signal and further rises to above $350.00 could occur. Otherwise, the price could fall back to support. If this is breached, we could see a further descent to below $300.00.