Netflix (NFLX) reversed their trend of decelerating subscriber growth, adding +2.4M subscribers in Q3. The stock rallied +14% in after-hours trading on the news. Revenue grew 5.9% to $7.93B, whilst net profit fell 3.5% to $1.4B. Notably Netflix's operating margin fell to 19.3% from 23.5% YoY. Management attributed this largely to the strong US dollar relative to other currency. Management expects operating margin in Q4 to be ~4.2% vs. 8.2% a year earlier, as the strong US dollar continues to weigh. We think this is cautiously optimistic news for the embattled streamer, but we note that the valuation is still relatively high compared to peers such as WarnerBrothersDiscovery, Paramount and Disney. We remain NEUTRAL on the stock.