Core Insights - Netflix reported disappointing third-quarter 2025 results, missing earnings and revenue expectations, leading to a more than 10% drop in share prices [1][4] - Despite the quarterly miss, Netflix experienced year-over-year growth in revenue across all regions, driven by successful content releases [5][6] Q3 Performance Analysis - Earnings missed the Zacks Consensus Estimate by 14.8%, while revenues lagged slightly by 0.1% [4] - A one-time expense of $619 million related to a dispute with Brazilian tax authorities was the primary reason for the earnings miss [4] - Year-over-year, Netflix's Q3 results showed improvement in both earnings and revenues [4] Regional Revenue Growth - Netflix achieved double-digit revenue growth year-over-year in all regions: UCAN, EMEA, Latin America, and Asia-Pacific [5] - The animated film "KPop Demon Hunters" became Netflix's most popular film with over 325 million views [5] - Other successful content included the British political thriller "Hostage" and the South Korean drama "Bon Appétit, Your Majesty" [6] Future Outlook - Netflix is optimistic about Q4 2025, with a strong lineup of content including the final season of "Stranger Things" and new series [7] - The company expects Q4 revenues of $11.96 billion, reflecting a 16.7% year-over-year growth [8] Full-Year Guidance - For full-year 2025, Netflix anticipates revenues of $45.1 billion, slightly above previous guidance [9] - The free cash flow forecast for 2025 is approximately $9 billion, an increase from prior estimates [9] ETF Investment Opportunities - Several ETFs provide exposure to Netflix, including: - First Trust Dow Jones Internet Index Fund (FDN) with $7.68 billion in assets and a 9.84% share of Netflix [12] - FT Vest Dow Jones Internet & Target Income ETF (FDND) with $9.4 million in assets, also holding 9.84% of Netflix [13] - MicroSectors FANG+ ETN (FNGS) with $531 million in assets, holding 10.1% of Netflix [14] - Communication Services Select Sector SPDR Fund (XLC) with $26.68 billion in assets, holding 7.14% of Netflix [15] - Invesco Next Gen Media and Gaming ETF (GGME) with $63.98 million in assets, holding 8.05% of Netflix [16]