Streaming stocks were rocked late Tuesday after Netflix Inc. reported its first customer decline in more than a decade, stoking investors’ fears that a reopening economy will cripple these companies.
Roku Inc. dropped as much as 8.3% in extended trading, Walt Disney Co. fell 5.3% and fuboTV declined 5.4%, while Netflix plunged 26%. The company’s forecast of a loss of two million subscribers in the current quarter is likely to prompt analysts to rethink their forecasts for the entire industry. Other media companies like Warner Bros. Discovery Inc., Paramount Global and Spotify Technology SA also tumbled.
