Netflix (NFLX)

Netflix's price has dropped roughly a tenth over the past month, sitting below every major trend line.

What is going on right now?

The stock has been drifting lower and recently traded around $68.69, well below where it averaged over the past few weeks and months. Reports that expectations for higher interest rates are growing may be adding pressure across the market, and Netflix tends to move more sharply than most stocks when that happens.

How is the business itself doing?

Revenue grew about 13% and earnings rose about 11% compared to a year ago. The company brought in $25.4 billion in cash after expenses, and it earns roughly 33 cents of profit on every dollar of revenue.

What stands out?

Trading activity nearly doubled its usual pace recently. The company owes relatively little compared to what it owns, and it returns about 49 cents of profit for every dollar its shareholders have put in.

What comes next?

Growth in new subscribers is slowing, so the ad-supported plan and the ongoing effort to convert password sharers into paying members are the two specific engines Netflix is counting on next.