Netflix loses £10bn in value after a weak profit and advertising outlook spooks investors and sends shares to a two-year low

Netflix shares are down 26% this year and set to erase about $17 billion in market value, with at least 14 brokerages cutting their price targets after the streaming giant slashed its advertising forecast.

Co-CEO Ted Sarandos admitted Netflix needs "better execution in the US" as the company also moves to cut around 1,000 jobs — roughly 6% of its workforce.

Netflix shares have dropped over 26% so far this year and 44% across the past twelve months, with at least 14 brokerages lowering their price targets. The company cut roughly 6% of its staff this month and parted ways with content chief Bela Bajaria and film boss Dan Lin. Netflix also lost out to a rival in the bidding for Warner Bros Discovery. Co-CEO Ted Sarandos maintains there is 'no need for a fundamental shift in the strategy'.

Viewers are drifting to free short-form rivals such as YouTube and TikTok.

Co-CEO Greg Peters called the mass layoffs 'hard trade-offs' made for 'long-term growth'.

Sarandos told analysts more than once: 'I know we can do better.'

ReutersNetflix slides as weak profit, ad outlook intensify investor anxiety NY PostNetflix’s Wall Street slump continues following exec shuffle as jittery investors push stock to lowest price in 2 years The Hollywood ReporterNetflix Stock and Price Targets Drop as Wall Street Debates if the Streamer Can Flip the Script - The Hollywood Reporter Daily MailNetflix sees £10bn wiped off its value as sales growth slows The IndependentNetflix shares plunge as streaming giant suffers growth slowdown

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