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Netflix Stock Downgraded Amid YouTube Growth

Wall Street analysts lowered their ratings on Netflix shares as YouTube captures a record share of TV viewing time.

Updated on Sept. 28, 2026 in Television

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Netflix shares fell 21% this year following analyst downgrades, as the streaming platform faces increased competition from YouTube's expanding reach in U.S. households. AI Illustration. Upload story photo >

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Netflix stock has declined 21% this year following two analyst downgrades in late September. The platform is struggling to maintain engagement as YouTube hits a record 14.2% share of total U.S. TV time.

Why it matters

Analysts believe Netflix is losing momentum due to a lack of big original series, while YouTube continues to successfully expand its presence in the living room. Increased competition for viewer attention has prompted creators to prioritize YouTube over Netflix to protect their brand deals.

Netflix currently holds a 7.8% share of U.S. television time, significantly trailing YouTube's record 14.2% capture. The company stock has faced a 21% decline throughout 2026.

The players

Steve Cahall

He is a financial analyst at Wells Fargo who downgraded Netflix stock on September 18, 2026.

Mohammed Khallouf

He is an analyst at HSBC who downgraded Netflix stock on September 22, 2026.

ChuChu TV

This is a major content creator with 180 million subscribers that recently signed a global content deal with Netflix.

Goldenvoice

This is an event promotion company that renewed its live streaming contract with YouTube on September 23, 2026.

The details

Wells Fargo analyst Steve Cahall and HSBC analyst Mohammed Khallouf downgraded the stock on September 18 and September 22, respectively. Meanwhile, Netflix recently signed a global content deal with ChuChu TV, which maintains 180 million subscribers on YouTube.

Timeline

  1. July 2026: YouTube captured 14.2% of U.S. TV time.

  2. September 18, 2026: Steve Cahall downgraded Netflix stock.

  3. September 22, 2026: Mohammed Khallouf downgraded Netflix stock.

  4. September 23, 2026: Goldenvoice renewed its contract with YouTube.

Industry Dynamics

This shift highlights the ongoing battle between streaming giants and user-generated content platforms for the coveted living room audience. As YouTube deepens its integration into home entertainment, major studios must rethink their traditional reliance on exclusive premium content.

Subscribers may see a greater influx of content collaborations as Netflix attempts to leverage massive existing audiences from YouTube creators. Access to exclusive sports broadcasts like the NFL, which drew 18.5 million U.S. viewers, remains a key strategy for the platform to retain users.

The takeaway

The competition for screen time has intensified as YouTube successfully maneuvers into the traditional television space. Consumers should expect both platforms to aggressively pursue creators and high-profile content to secure their attention.

Further reading

For more on shifts in viewer behavior, visit the Television section.

Source note: This article includes information reported by The Daily Upside.

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Do you trust the long-term quality of paid streaming services more than free platforms like YouTube?

Netflix Stock Downgraded Amid YouTube Growth | Wisevoter