Business
Netflix Stock Surges 13.8% as Company Walks Away from Warner Bros
Netflix Inc. (NASDAQ: NFLX) shares jumped 13.8% on February 27, 2026, closing at $96.24 after the streaming giant announced it would not raise its bid for Warner Bros. Discovery assets, allowing Paramount Skydance to prevail in a months-long bidding war. The decision, coupled with a breakup fee and preserved capital flexibility, fueled investor relief and optimism about disciplined growth.

Netflix had been pursuing Warner Bros.’ studio and streaming assets in a proposed deal valued at around $83 billion earlier in negotiations. On February 26, the company formally declined to match Paramount Skydance’s superior offer, stating in a release that the higher price made the transaction “no longer financially attractive.” Co-CEOs Ted Sarandos and Greg Peters said, “We believe we would have been strong stewards of Warner Bros.’ iconic brands,” but emphasized capital discipline over overpaying.
The withdrawal triggered a significant stock rally, with shares opening sharply higher and trading up to $96.75 intraday before settling at $96.24 on volume exceeding 200 million shares — far above average. The move came amid a broader pullback earlier in 2026, with Netflix down 38% from its June 2025 peak of $134.12 and trading near $75 lows in recent weeks.
The decision frees Netflix from a potentially dilutive acquisition while securing a breakup fee — details of which were not disclosed but expected to provide a meaningful cash influx. Analysts viewed the exit positively, noting it avoids integration risks in a competitive streaming landscape and allows focus on core strengths: content investment, advertising growth and subscriber momentum.
Netflix’s most recent earnings, reported January 20, 2026, for the fourth quarter ended December 31, 2025, showed revenue of $12.05 billion, up 17.6% year over year and beating estimates of $11.97 billion. Earnings per share came in at $0.56, topping consensus of $0.55. The company crossed 325 million paid memberships, with global viewership approaching one billion people. Members watched 96 billion hours in the second half of 2025, up 2% year over year. Advertising revenue more than doubled from 2024, surpassing $1.5 billion for the full year.
Operating income rose 30% to $2.96 billion in the quarter, expanding full-year 2025 margins to 29.5% from 26.7%. Netflix guided 2026 revenue between $50.7 billion and $51.7 billion (12% to 14% growth) and operating margins around 31.5%, including some acquisition-related costs — though the Warner deal’s collapse removes that pressure.
The company paused share buybacks to preserve cash during the bidding process, a move that drew mixed reactions but now positions Netflix for renewed capital returns or aggressive content spending. Advertising remains a bright spot, with projections for roughly doubling in 2026 to around $3 billion, diversifying beyond pure subscriptions.
Analysts upgraded or reiterated positive views post-announcement. Huber Research moved to “Strong Buy,” citing improved valuation and execution. Consensus targets hover around $115 to $130, implying significant upside from current levels. The stock’s forward P/E has compressed to the low 30s from mid-60s peaks, making it attractive for growth investors.
Challenges persist: competition from Disney+, Amazon Prime Video and others intensifies, content costs remain high, and password-sharing crackdowns — while boosting paid subs — risk churn in price-sensitive markets. Yet Netflix’s lead in originals, global reach and ad-tier momentum underpin long-term confidence.
The Warner exit shifts focus back to organic growth. Upcoming catalysts include Q1 2026 earnings (expected mid-April), major releases like anticipated originals, and ad-tier expansion. Management has teased stronger programming slates and international pushes.
As of February 28, 2026, Netflix trades with a market cap exceeding $406 billion, a 52-week range of $75.01 to $134.12, and strong institutional ownership. The surge reflects market approval of strategic restraint, positioning the company to capitalize on streaming’s maturation without the burdens of a massive merger.
Investors will watch for confirmation of the breakup fee and any renewed buyback activity. With the deal drama resolved, Netflix appears poised for a rebound, betting on content, ads and execution to drive returns in 2026.
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Chris Pratt Return for Cosmic Adventure
Illumination and Nintendo unleashed the latest promotional piece for *The Super Mario Galaxy Movie* on February 27, 2026, with the official “Heroes” teaser trailer spotlighting Mario and his allies in high-stakes galactic action. The 30-second clip, shared across YouTube channels including IGN and the official movie page, emphasizes teamwork, new worlds and returning voices as the sequel builds hype ahead of its April 1, 2026, theatrical debut.

Directed by Aaron Horvath and Michael Jelenic — the duo behind 2023’s blockbuster *The Super Mario Bros. Movie* — the film follows Mario (Chris Pratt), Luigi (Charlie Day), Princess Peach (Anya Taylor-Joy) and their friends venturing into space to confront cosmic threats. Produced by Chris Meledandri of Illumination and Shigeru Miyamoto of Nintendo, the project adapts elements from the beloved 2007 Wii game *Super Mario Galaxy*, blending gravity-defying platforming, star-powered exploration and whimsical storytelling.
The “Heroes” teaser opens with sweeping shots of orbiting planets and comet-streaked skies, then cuts to Mario leaping across floating islands while collecting Power Stars. Brief glimpses show Luigi piloting a starship, Peach wielding a spin attack and Yoshi (voiced in prior trailers) devouring enemies before spitting out eggs. A quick montage highlights the core group — Mario, Luigi, Peach, Toad and Yoshi — uniting against shadowy foes, with orchestral swells and the iconic Mario theme underscoring their resolve. The tagline “See the good guys in action!” flashes as the heroes strike heroic poses amid exploding galaxies.
Voice cast returns include Pratt as Mario, Taylor-Joy as Peach, Day as Luigi, Jack Black as Bowser, Keegan-Michael Key as Toad, Kevin Michael Richardson as Kamek and newcomer Brie Larson as Rosalina, the ethereal guardian of the cosmos introduced in the source game. Benny Safdie also joins in an undisclosed role. Recent trailers have teased Yoshi’s debut, Birdo’s appearance and potential cameos from other Nintendo characters, including fan speculation about a mysterious figure possibly tied to Star Fox.
The teaser arrives less than six weeks before the film’s wide release on April 1, 2026 — a date that coincides with April Fool’s Day but has been confirmed as intentional by Universal Pictures. Marketing has ramped up steadily: an initial teaser dropped during a January 2026 Nintendo Direct, followed by a Yoshi-focused first-look clip and a “Level Up” spot showcasing boss Megaleg from the original game. A separate trailer hinted at an “evil alliance” involving Bowser Jr. and possibly Wario, though the latter remains unconfirmed in official footage to preserve surprises.
*The Super Mario Bros. Movie* grossed over $1.36 billion worldwide in 2023, proving the viability of Nintendo’s cinematic universe and setting high expectations for the sequel. Analysts project similar or stronger performance for *The Super Mario Galaxy Movie*, given the source material’s popularity and the expanded scope of space-faring adventures. The film targets families with its colorful animation, humor and heart, while packing Easter eggs for longtime fans — from Luma collectibles to gravity switches and orchestral remixes of classic tracks.
Social media erupted following the “Heroes” drop, with #SuperMarioGalaxyMovie trending on platforms like X and Reddit. Fans praised the visuals, Yoshi’s charm and the promise of deeper lore involving Rosalina. Some speculated on unannounced characters based on leaked descriptions from cinema chains, including a potential Wario role alongside Bowser Jr. Nintendo and Illumination have kept plot details guarded, focusing promotions on spectacle and character reunions.
Tickets are now on sale through major chains like Fandango and AMC, with premium formats including IMAX and Dolby Cinema expected to showcase the cosmic scale. The official website, thesupermariogalaxymovie.com, hosts the trailer alongside posters and behind-the-scenes glimpses.
As the countdown to April 1 continues, the “Heroes” teaser reinforces the film’s core message: even in the vastness of space, Mario’s courage, friendship and ingenuity shine brightest. With Nintendo’s creative oversight ensuring fidelity to the games, the sequel aims to capture the wonder that made *Super Mario Galaxy* a landmark title while delivering fresh cinematic thrills.
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(VIDEO) Gwen Stefani Sparks Debate with Lent Prayer Challenge Promotion
Singer Gwen Stefani is once again at the center of online controversy after teaming up with the Catholic prayer app Hallow to promote its 2026 Lent prayer challenge, prompting a mix of praise for her open faith and sharp criticism accusing her of undergoing a politically charged “MAGA makeover.”
The 56-year-old artist shared an Instagram post on February 18, 2026, announcing her participation in Hallow’s 40-day Lent program alongside Bible scholar Jeff Cavins. “Joining @jeffcavins this Lent on the @hallowapp as part of their prayer challenge leading up to Easter,” Stefani wrote in the caption, describing the experience as a meaningful way to prepare spiritually for the season. The post, a paid collaboration, quickly drew thousands of reactions — both supportive and critical — from her 17.7 million followers.
Critics seized on the partnership to question whether Stefani has shifted from her No Doubt-era punk-rock image to a more conservative, religiously focused persona. Several social media users labeled the change a “MAGA makeover,” pointing to Hallow’s associations with conservative figures and causes. The app has previously featured endorsements from personalities such as Tucker Carlson, JD Vance and Mark Wahlberg, and it has received funding from investors with right-leaning ties, including Peter Thiel. Commenters accused Stefani of aligning with “MAGA values” through her choice of platform and her increasingly visible Catholic devotion.

On platforms like Instagram, X and Reddit, detractors expressed disappointment. “How she went from being the coolest woman ever to this MAGA Barbie is beyond me,” one user wrote. Another commented, “I loved Gwen when she was rebellious and authentic — now it’s all white blonde hair, subdued clothes and endless prayer app ads.” Some fans declared they were “done” with her, citing what they perceived as a departure from the edgy, independent spirit that defined her early career.
The backlash echoes similar reactions from December 2025, when Stefani first promoted Hallow’s “Pray25: Be Still” initiative. At that time, users flagged the app’s pro-life content and conservative leanings, with one writing, “Love you Gwen but unfortunately I ain’t no Hallow app girl.” The repeated promotion has fueled perceptions that her faith journey is being packaged for a specific ideological audience.
Despite the criticism, a significant portion of her fanbase has rallied in support. Defenders argue that Stefani has always been open about her Catholic upbringing and that her current expressions of faith are genuine rather than politically motivated. “She’s been Catholic her whole life — this isn’t new,” one supporter posted. Others praised her courage in sharing spirituality publicly at a time when religious figures in entertainment often face scrutiny. “God bless her for being bold in her faith,” read one popular comment.
Hallow, launched in 2018, has become one of the most downloaded Catholic apps, offering guided prayers, meditations, Bible studies and celebrity collaborations. Its Lent challenge includes daily reflections designed to deepen users’ spiritual lives leading to Easter on April 5, 2026. The company has partnered with high-profile Catholics including Chris Pratt, Jonathan Roumie and Mark Wahlberg, positioning itself as a modern tool for prayer in a digital age.
Stefani has not directly responded to the “MAGA makeover” accusations. Her recent social media activity continues to blend family moments, music updates and faith-based content without engaging the political framing. Married to country singer Blake Shelton since 2021, she has spoken in past interviews about how faith has helped her navigate personal challenges, including divorce and motherhood.
The polarized response highlights broader cultural dynamics: celebrity expressions of Christianity frequently spark debate when perceived as intersecting with conservative politics. For some fans, Stefani’s Hallow partnership feels like a natural extension of her beliefs; for others, it represents an unwelcome pivot that clashes with the rebellious identity she cultivated in the 1990s and early 2000s.
As Lent continues, the conversation shows no signs of slowing. The challenge has reportedly attracted thousands of new users to Hallow, according to promotional metrics shared by the app. Meanwhile, online discourse remains split between admiration for her authenticity and frustration over what some see as performative or ideologically loaded spirituality.
With No Doubt’s planned reunion tour set for May 2026, fans will soon see whether Stefani’s current phase influences her stage presence or setlist choices. For now, the Lent promotion has turned a personal spiritual commitment into a public flashpoint, illustrating how faith, fame and politics continue to collide in the digital era.
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