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Market Data Table

Breakfast News: Hastings' Exit Shakes NFLX Stock

April 17, 2026

Thursday's Markets
S&P 500 7,041 (+0.26%)
Nasdaq 24,103 (+0.36%)
Dow 48,579 (+0.24%)
Bitcoin $75,348 (+0.38%)

Chart showing Netflix's revenue over the past three years steadily climbing from about $8.19 billion in the second quarter of 2023 to $12.25 billion in the first quarter of 2026.

1) Netflix Sinks 10% as Co-Founder Exits

Netflix (NASDAQ:NFLX) fell 10% in pre-market trading after results contained underwhelming guidance for the coming quarter, along with news that chairman and co-founder Reed Hastings would be stepping down.

"Warner Bros. would have been a nice accelerant for our strategy, but only at the right price": CEO Ted Sarandos said the departure of Hastings was unrelated to the failed pursuit of Warner Bros. Discovery (NASDAQ:WBD), instead saying "he was a big champion of that deal." Netflix banked a one-time $2.8 billion windfall from the breakup fee.
Softer Q2 revenue and earnings projected: There was some disappointment that the focus on increasing ad revenue and monetizing its user base isn't going to deliver results as strong as previously anticipated, although the full-year revenue goal was maintained, indicating a 12% to 14% growth rate.

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2) iPhone China Shipments Surge 20%

Apple (NASDAQ:AAPL) managed to grow iPhone shipments in China by 20% in Q1, the strongest growth in the key market among major peers, despite having to contend with supply chain disruptions and high memory costs.

Apple's 19% China market share is only marginally behind the top spot: Apple is currently only 1% behind Huawei in terms of market share in the country. Overall smartphone shipments fell by 4% in China for the quarter, indicating a difficult backdrop for Q2.
Longtime Apple marketing chief set to retire: Elsewhere, Stan Ng -- the marketing executive in charge of the Apple Watch, AirPods, and home initiatives -- is departing after 31 years at the business, marking another major figure stepping away.

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3) Selected Pre-Market Banking Earnings

Truist Financial (NYSE:TFC) fell around 1% before the opening bell due to earnings showing a 1.9% drop in total revenue, stunting progress from the robust previous quarter, as net interest income softened. The stock is beating the S&P 500 by 7% since the February 2024 Hidden Gems rec. Fool contributing analyst Matt Frankel said last month, "As far as regional banks go, it's probably my Number 1 or 2."
Regions Financial (NYSE:RF) rose around 1% ahead of the market open after results showed total revenue up 5% versus the same period last year, driven by growth in loans and deposits. The Dividend Investor rec has 12 years of consecutive dividend increases.

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4) Your Take

What role do picks-and-shovels companies -- those that supply essential components rather than create the end products -- play in your portfolio? Do you prefer this approach for certain themes?

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