Netflix Q2 Faces Tough Growth Comparisons: Canaccord

Netflix is in for another quarter of “modest subscriber growth” when it reports Q2 results July 20, Canaccord Genuity wrote investors Wednesday. Net subscriber additions slowed due to the “strong pull-forward” of subscription VOD adoption during 2020's first half, when the company added 26 million new accounts, it said. “Investors likely will be focused on how much this metric can rebound during 2H21 as consumer behavior normalizes and the release schedule strengthens,” after months in which COVID-19 halted content production, the analyst firm said: “We expect the return of numerous popular original series and a slew of new titles across genres and formats to drive a notable uptick in subscriber acquisition.” Netflix's April 20 projection expected 1 million paid net adds for Q2, compared with 15.77 million in the 2020 quarter, when most of the world went into lockdown.