Netflix forecast disappoints as streaming competition looms

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Netflix forecast disappoints as streaming competition looms
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Netflix Inc reported quarterly results on Tuesday that beat Wall Street targets,...

- Netflix Inc reported quarterly results on Tuesday that beat Wall Street targets, but the world’s largest online streaming service predicted it would hook fewer new customers than expected through June, just as Walt Disney Co and others prepare to escalate the streaming video wars.

Netflix predicted it would pick up 5 million new streaming subscribers from April through June. That was below the 5.48 million consensus of industry analysts surveyed by FactSet. The company said it signed up 1.74 million paid subscribers in the United States in the quarter, above the average analyst estimate of about 1.57 million, according to IBES data from Refinitiv.

Disney is viewed as one of the strongest rivals thanks to a broad portfolio of franchises popular with children - from Mickey Mouse to Marvel and Star Wars - and a brand trusted by parents. Last week, Disney priced its service at $7 per month, just over half the $13 price for Netflix’s most U.S. popular plan. The Disney+ service will launch in November.

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