Netflix Stock Crashes to 20-Month Low Near $71 on M&A Disappointment

Netflix shares plunged to a 20-month low of $71.09 on June 25 after the company walked away from major acquisition targets and co-founder Reed Hastings exited the board. The stock has now fallen 32% since early June despite 325 million subscribers, 16% Q1 revenue growth, and reaffirmed 2026 revenue guidance of $50.7-51.7 billion. Investors punished the company for losing bids on Warner Bros. Discovery and Roku while rejecting Lionsgate interest, raising concerns over conservative M&A strategy amid intensifying competition. Analysts point to ad-tier expansion and live NFL sports as potential offsets ahead of July 16 earnings.