New York, Feb 4, 2026, 18:03 EST — After-hours
- Netflix shares ended the day up 0.3% at $80.16 and saw little movement in after-hours trading
- A U.S. Senate hearing sharpened scrutiny on antitrust concerns linked to Netflix’s bid for Warner Bros. Discovery
- A filing revealed that co-founder Reed Hastings offloaded 390,970 Netflix shares through a pre-arranged plan
Netflix shares inched higher on Wednesday, closing regular trading at $80.16, up 0.3%. After-hours, the stock hovered near $80 as investors digested fresh political and regulatory challenges tied to its planned Warner Bros. Discovery deal.
The focus swung back after U.S. senators questioned Netflix co-CEO Ted Sarandos about the company’s planned $82.7 billion takeover of Warner Bros. Discovery’s assets. “Netflix seeks to become the one platform to rule them all,” Senator Mike Lee said. Sarandos fired back, pointing to a crowded field for U.S. TV viewers: “If you’re watching YouTube, HBO Max, you’re not watching Netflix, you’re not watching CBS.” (Reuters)
Why it matters now: The deal is heading for a shareholder vote as U.S. and European regulators assess its impact on consumer choice. Warner Bros. Discovery is expected to present the transaction to shareholders in March, after finalizing its preliminary proxy filing, CNBC reported. Netflix has yet to respond to a Reuters request for comment. (Reuters)
The stock has bounced unevenly near $80 since the week began. Netflix dropped 3.4% on Tuesday but managed to recover some ground on Wednesday, with trading ranging from about $79.22 to $81.43, per Yahoo Finance data. (Yahoo Finance)
A new filing caught traders’ attention with a familiar name: Netflix director and co-founder Reed Hastings offloaded 390,970 shares on Feb. 2. The shares sold at weighted-average prices ranging between roughly $83 and $85, following the exercise of options. According to the filing, these sales were executed under a Rule 10b5-1 plan — a pre-established trading program designed to minimize suspicions of insider trading — which Hastings set up back in August 2023. (SEC)
Netflix is also dealing with a new labour dispute overseas tied to artificial intelligence. German voice actors have started a grassroots boycott against a contract clause permitting their recordings to be used for AI training, the VDS voice actors’ association reported. Netflix responded by warning that titles under boycott might be shown “with German subtitles in Germany” instead of the usual dubbing. (Reuters)
The Warner bid targets a business still working to expand its ad revenue. Netflix’s latest forecast projects full-year 2026 revenue between $50.7 billion and $51.7 billion. Finance chief Spencer Neumann told investors advertising income should hit roughly $3 billion. (Reuters)
On Wednesday, growth stocks faced broad pressure. The Nasdaq dropped roughly 1.5%, while the S&P 500 lost around 0.5%. Netflix stood out slightly, bucking the cautious tone in tech. (Reuters)
That said, the risk scenario is clear enough. Critics and lawmakers argue the deal might stifle competition and push prices higher. Netflix, on the other hand, claims viewers stand to gain. The Justice Department’s review could extend the timeline or impose stricter conditions, even if shareholders give the green light. (Barron’s)
Traders are now focused on Warner’s proxy process gaining traction and a definite date for the anticipated March shareholder vote. This comes as the Feb. 20 deadline looms for Paramount Skydance’s competing tender offer. (Investing)
