NEW YORK, Feb 19, 2026, 19:04 EST — After-hours
- Netflix shares fell about 1.3% and last held near $77 after the close
- Investors tracked signs Netflix could lift its Warner Bros bid if needed
- Traders are watching for Paramount’s next move ahead of a Monday cutoff
Netflix, Inc. shares fell 1.27% in regular trading and were last near $77 in after-hours dealings on Thursday, as investors weighed fresh headlines on its fight with Paramount Skydance over Warner Bros Discovery.
The takeover contest matters now because it is starting to look like the near-term driver for Netflix stock, not the usual churn over hit shows or subscriber adds. A higher price tag could change Netflix’s cash needs quickly, and any added delay raises the risk the story turns into a regulatory one.
Investors are also watching the calendar. Paramount has a Monday deadline to put forward a “best and final” offer, and Netflix has matching rights — the right to meet a rival bid — under the Warner agreement.
Netflix has offered $27.75 a share, or $82.7 billion, for Warner’s studio and streaming businesses, two people with knowledge of the matter told Reuters. Paramount has offered $30 a share, or $108.4 billion, for the whole company, including the Discovery Global cable assets. “Price will likely be the deciding factor,” said Matt Britzman, a senior equity analyst at Hargreaves Lansdown. (Reuters)
Warner has kept backing Netflix’s deal despite the higher headline bid, citing concerns about Paramount’s financing and regulatory hurdles. “Board-level concerns around financing structure, timing and regulatory approval meaningfully detract from the attractiveness of Paramount’s proposal,” said Paren Knadjian, a partner at Eisner Advisory Group. (MarketScreener)
Regulatory questions are not going away. The U.S. Justice Department has summoned major theater chains for private conversations about how a Warner sale could affect moviegoers and whether it could mean fewer films released in theaters, Bloomberg News reported; Reuters could not independently verify the report. (Reuters)
Netflix’s dip also came on a soft day for U.S. stocks, with the S&P 500 down 0.28% and the Nasdaq off 0.31%. Investors were bracing for the next inflation read, including the personal consumption expenditures price index, a key gauge for the Federal Reserve. (Reuters)
Netflix’s per-share price is also shaped by its 10-for-1 stock split completed in November, which boosted the share count and lowered the nominal trading price. (SEC)
But the setup cuts both ways. If Paramount raises its offer meaningfully, Netflix could be forced into a bidding war that tests investor tolerance for bigger leverage and a longer antitrust slog — or it could walk, leaving the stock to trade back on fundamentals without a deal premium.
For the week ahead, the market’s next hard marker is Paramount’s deadline at the end of Monday, followed by Warner’s March 20 shareholder vote on the Netflix agreement. Any shift in tone from regulators on timing would likely show up in NFLX quickly.
