New York, Jan 15, 2026, 17:27 EST — After-hours
- Netflix shares slipped in after-hours trading following news of a global film licensing deal with Sony Pictures
- A Delaware judge refused to accelerate Paramount Skydance’s lawsuit challenging Warner’s decision to favor Netflix’s offer
- Investors are eyeing Netflix’s January 20 results closely, hoping for clues and any news on the Warner deal
Netflix (NFLX) shares dipped 0.6% to $88.05 in after-hours trading Thursday following news that the streamer secured a multi-year global deal to stream Sony Pictures films after their theatrical release. (Reuters)
The timing is crucial. Netflix is set to report earnings next week, with investors focused on whether adding more licensed movies will boost viewership and back its ad strategy without hurting margins. Attention is also on whether a contentious bid for Warner Bros Discovery assets will drag on, pushing costs higher. (Morningstar)
Netflix will be the exclusive streaming platform for Sony’s films during the first 18 months after their theatrical and video-on-demand release, the companies said. Following that period, the movies will shift to Disney, Reuters reports. (Reuters)
The rollout begins later this year, with rights becoming available territory by territory, aiming for full global access by early 2029. Financial details remain under wraps. (Reuters)
The licensing agreement comes as Netflix moves forward with its $72 billion acquisition of Warner Bros Discovery’s studio and streaming businesses—a deal that, if completed, would significantly alter the U.S. media industry. (Reuters)
On Thursday, a Delaware judge turned down Paramount Skydance’s request to fast-track its lawsuit demanding more transparency on why Warner is favoring Netflix’s $82.7 billion takeover bid instead of Paramount’s higher hostile offer. Paramount urged Warner shareholders to question why their board is “working so hard to hide this information.” Warner dismissed the lawsuit as “yet another unserious attempt to distract,” Reuters reported. (Reuters)
Warner’s lawyer, Ryan McLeod, told the court, “This movie is still being shot,” insisting it was premature to demand disclosures before Warner submits materials for shareholder approval. Reuters reported no vote has been set. (Reuters)
Earlier this week, Netflix considered switching its Warner bid to an all-cash offer to accelerate the deal, a source familiar with the talks told Reuters. However, the move has met resistance from politicians and Paramount Skydance, the report added. (Reuters)
Analysts are focusing on next week’s outlook rather than the Sony news. Matthew Dolgin from Morningstar flagged 2026 guidance as the “top thing” to watch. He also pointed to commentary on Warner plans as crucial, after the acquisition announcement hit the stock. (“Guidance” means a company’s forecast for upcoming results.) (Morningstar)
TD Cowen analyst John Blackledge cut his price target but maintained a buy rating, Investing.com reports. He projected 14.2 million paid net subscriber additions for the quarter, factoring in sign-ups minus cancellations. His note referenced survey data indicating growing advertiser uptake of Netflix’s ad-supported tier. (Investing)
The road ahead is anything but smooth. Sony’s deal was announced without any financial details, and Warner’s sale process faces clear hurdles: a potential bidding war, regulatory hold-ups, or deal terms that could shift the numbers. On top of that, ad demand and content expenses remain volatile, changing fast from one quarter to the next. (Reuters)
Netflix will release its fourth-quarter results and outlook on Jan. 20, followed by a live video interview with executives that afternoon. Traders are also eyeing Paramount’s tender-offer deadline for Warner on Jan. 21, along with any new court or regulatory developments tied to the proposed deals. (Netflix)
