Netflix stock hits rock bottom

LOS ANGELES – Netflix’s stock has now given up all its pandemic gains.

On Monday, the streaming service’s shares fell more than 2% to around $332 each, a 52-week low. That’s more than 50% down from the company’s 52-week high of $700.99, which it hit in mid-November.

The last time shares sold for around $332 a pop was March 20, 2020, just as pandemic lockdowns were being put in place.

Netflix saw significant gains during in 2020 and 2021 as consumers were stuck at home under various restrictions. However, as the mandates dissipate, consumers are gravitating toward out-of-home entertainment like movie theaters, restaurants and theme parks. In its most recent earnings report, Netflix reported underwhelming subscriber numbers.

The return of the box office, led by “Spider-Man: No Way Home” and “The Batman,” demonstrates that consumers are no longer staying on their couches to watch movies.

Last year, a report from JPMorgan out of CinemaCon said Netflix was eyeing a more traditional theatrical release for some of its future films.

Netflix has long been less interested in making money at the box office and more interested in providing content to its subscribers as soon as possible. The streaming service has rebuffed the traditional Hollywood release window, in which a film runs in theaters for about three months before being available in video-on-demand or on a streaming service’s site or app.

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