Netflix Stock Is Down Big-Time. Is This Finally a Buying Opportunity?

Netflix Stock Is Down Big-Time. Is This Finally a Buying Opportunity? Lawrence Nga, The Motley Fool Tue, August 25, 2026 at 11:35 AM EDT 5 min read NFLX NVDA Netflix (NASDAQ: NFLX) has a strange problem. Its stock was recently down roughly 40% from its 2025 peak, yet the underlying business continues to grow. In the second quarter of 2026, Netflix generated $12.6 billion in revenue, up 13% year over year. Operating income reached $4.2 billion, while operating margin remained above 33%. Those aren't the numbers of a broken business. Missed Nvidia in 2009? This Rare Signal Is Flashing Again.  In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia.  Continue » That creates an important question for investors: Has the sell-off finally made Netflix stock attractive? Let's explore further. Image source: Getty Images. Has Netflix's business actually deteriorated? The business has not suffered nearly as much as the stock price suggests. Netflix remains one of the world's largest entertainment platforms, and its audience continues to spend enormous amounts of time using the service. During the first half of 2026, viewers watched more than 97 billion hours of Netflix content. The financial picture also remains healthy. Revenue is growing at a double-digit rate, profitability remains strong, and management expects operating inc…