Netflix is up 26% YTD. Will today's earnings release propel the price further?

Netflix’ stock posted 26% gain so far this year, overperforming both NAS100 (NASDAQ 100) and US500 (S&P 500) on 22.1% and 20.7% respectively.
 

Next – Earnings release for Q1 2024!
 

The company will be publishing its financial results for Q1 2024 today after the markets close.

According to the forecast, in Q1 2024 the company’s:
 

• Quarterly revenue is expected to reach a record value of $9.265 billion ($8.162 billion reported in Q1 2023)
   

• Quarterly earnings per share are expected to achieve $4.518/share ($2.880/share reported in Q1 2023)
   

Netflix is expected to bring in 5 million new subscribers for the Q1 2024 (+1.8 million in Q1 2023).

However, the company may face difficulties as the positive effect from the crack down on password sharing may start to ease this year.

As the result of that crackdown the streaming giant has managed to gain 22 million new subs in 2H 2023.

Potential price action
 

Netflix’ stock has been consolidating in-between the ~2 year high (~637.71) and 603.70 support level.

According to Bloomberg, the implied 1 day move upon the earnings release is 8.75%.
 

If the Q1 2024 financial results will be posted higher than expected, Netflix may break above an immediate resistance level sitting at 21-period simple moving average (SMA).

However, in case of unsatisfactory results, Netflix bears may drag it’s stock price lower, potentially moving below the lower consolidation boundary (~603.70) / key support level at 50-period SMA.