Now that it no longer has to pay Warner Bros., Netflix is using its capital to buy back even more stock. Streaming giant Netflix said its board of directors has approved an additional $25 billion in repurchases of its stock.
On April 22, Netflix’s board of directors authorized the repurchase of an additional $25 billion of common stock with no expiration date, the company disclosed in an SEC filing Thursday. The move is aimed at returning cash to shareholders and lowering the price of Netflix stock, which took a big hit after the company struck a deal to buy Warner Bros. for $83 billion. ” streaming and studio business.
In February, Netflix pulled out of its deal with WB after Paramount Skydance withdrew its hostile takeover bid for all of Warner Bros. Discovery. In announcing the end of the pursuit of Warner Bros., Netflix co-CEOs Ted Sarandos and Greg Peters reiterated plans to invest $20 billion in “high-quality movies and series” in 2026 and the company’s plans to restart its stock buyback program.
The new $25 billion stock repurchase program is in addition to the stock repurchase program authorized in December 2024. As of March 31, Netflix had approximately $6.8 billion available for buybacks under its previous share buyback authorization. In the first quarter, the company bought back 13.5 million shares for about $1.3 billion.
“Our capital allocation approach remains unchanged,” Netflix said in its first quarter 2026 letter to shareholders. “We will first prioritize reinvesting in our business through organic and selective M&A while maintaining liquidity, and then return excess cash to shareholders through share buybacks.”
Netflix stock hit an all-time high of $134.12 per share in intraday trading in June 2025. In December, the stock plummeted more than 40% from its peak after Netflix announced an agreement to buy Warner Bros., as investors feared the company would take on massive new debt in what was seen as a risky M&A move.
Netflix stock rebounded after canceling the WB acquisition, reaching a closing price of $107.79 per share on April 16th. However, the stock has fallen more than 10% since then after the company released weaker-than-expected second-quarter guidance. Netflix closed Wednesday (April 22) at $93.24 per share.
Netflix ended the first quarter with total debt of $14.4 billion and cash and cash equivalents of $12.3 billion. The company noted that its cash position is higher than usual due to the suspension of its stock repurchase program during the Warner Bros. transaction and the subsequent transaction termination fees it received. Paramount paid Netflix a $2.8 billion termination fee after Warner Bros. Discovery terminated the M&A deal in favor of Paramount’s higher offer.
Netflix said the share buyback “may occur through open market repurchases.” Through privately negotiated deals. Accelerate share buyback plan. Block purchases. or other “similar purchasing techniques and amounts deemed appropriate by management.”
