Earnings season this quarter comes with a special kick. It’s the first one lapping full COVID comps, which means we can start to see what the wonky pull forward or shut down year ago will do to company’s reports, and how the market will respond.

We focus today on Netflix and Twitter, two of our old standbys. On the one hand, they had opposite quarters – Netflix suffered from a post-COVID hangover in their subscriber numbers, which will likely lead revenue numbers; while Twitter posted a huge revenue beat compared to a pandemic crimped Q2 2020. Look a little closer, and there are similarities between the two companies positions and how they look going forward. We break it all down.

Topics Covered Netflix

• 4:00 minute mark - Was COVID bad for Netflix?
• 10:45 – Measuring Netflix’s numbers given the last two years
• 17:30 – The slowdown reaching streaming peers
• 25:00 – The industry implications of Netflix’s position and the market reaction
• 34:30 – Is the winnowing coming?
• 41:00 – What hope is there for other streaming stocks if Netflix is not attractive here?

Twitter

• 45:15 – The strong quarter, and the one gray note in the report
• 50:00 – Where is Twitter fitting in amongst a hot space…
• 55:00 – And how Twitter is better set up for when ads cool off
• 58:00 – The spending side of the line
• 1:03:00 – Twitter’s set up for the back half of the year