Netflix stock pares losses after dropping on subscriber growth

Akio Kon | Bloomberg | Getty Images

Reed Hastings, chief executive officer of Netflix.

Netflix is paring some losses Tuesday, down just 5 percent by 12:15 EDT, after initially falling as much as 14 percent on a big miss on subscriber growth.

The stock was earlier on pace for its worst day in two years, tracking for the name’s biggest single-day drop since July 19, 2016, when it fell 13 percent after a similar earnings report of weaker-than-expected subscriber growth.

The shares recovered above $379 in midday trading. The stock closed Monday at $400.48.

Netflix has a history of big rebounds, and much of Wall Street is expecting a recovery. But the initial drop is a notable stumble for one of the best-performing stocks of the year.

As of midday Tuesday, Netflix is up nearly 100 percent in 2018 and more than 130 percent in a 12-month period.