Netflix Expected a ‘KPop’ Rally. Tariffs, Musk Got In the Way

Netflix Inc. shares romped through the first half of the year on strong earnings and ambitious growth plans. But that rally is now stalled as a pair of unusual risks has investors questioning the company’s elevated valuation.

The streaming pioneer’s stock was the fourth-best performer in the Nasdaq 100 Index in the first six months of 2025, soaring 50%, and the second half of the year seemed to get off to a good start with the June 20 release of the animated musical KPop Demon Hunters. The movie has been a huge hit, becoming Netflix’s most-watched original film. However, ...