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Netflix shares soar on earnings report, subscriber growth

The Netflix Inc. application is displayed on an Apple Inc. iPhone.
Andrew Harrer | Bloomberg | Getty Images
The Netflix Inc. application is displayed on an Apple Inc. iPhone.

Shares of Netflix soared more than 19 percent Tuesday after the company posted quarterly earnings that earnings that easily beat analysts estimates.

The stock saw its best daily performance since April 23, 2013 when it gained 24.44 percent.

The entertainment company reported third-quarter earnings on Monday after the bell and said it gained more memberships than it foretasted.

The company said in the fourth quarter it expects to add 5.2 million net memberships —1.45 million in the U.S. and 3.75 million internationally. That's above FactSet estimates of 1.27 million in U.S. and 3.32 million internationally.

Netflix's stock has fallen this year, as the company's outlook for adding new users has struggled to keep up with the Street's expectations. It's stock is down more than 12 percent year to date.

NFLX 2016 Chart


— CNBC's Anita Balakrishnan contributed to this report.