Netflix Tumbles After Forecasting Slower Online Growth - Bloomberg (click for full article) "Netflix Inc. the world's largest video-subscription service, said customer growth will slow after posting first-quarter gains that met analysts' estimates. The stock fell as much as 16 percent in extended trading. Netflix, based in Los Gatos, California, added 1.74 million new U.S. online subscribers to reach 23.4 million, the company said today on its website. That matched the average of nine analysts' estimates compiled by Bloomberg. Second-quarter growth will slow by at least half and probably more. Chief Executive Officer Reed Hastings, presiding over the first loss since early 2005, cited higher seasonal customer turnover for the slowdown. The company is racing to add viewers to confront competition from Comcast Corp.'s StreamPix and Verizon Communication Inc. (VZ)'s online venture with Coinstar Inc. (CSTR)'s Redbox. While Netflix may post a second-quarter profit, investors are focused on subscriber additions. "They guided to subscriber growth dropping a ton quarter- over-quarter, and some people think as soon as growth stops, this thing's over," said Michael Pachter, a Wedbush Securities Inc. analyst in Los Angeles who has an underperform or sell rating on the stock. "They are saying, 'We're not going to grow very much and instead we're going to focus on making money. "