NFLX's Q3 revenue grew 12% year-over-year, the slowest in three years and only in line with expectations, next-quarter guidance of $13.4 billion was a little weak and operating margin of 26% is below 30%. The stock made a 52-week low in a downtrend; leadership must be unified before any upward move.

Moving on to Netflix, during the week at $69 , the company announced its earnings this week, and that did not allow the stock to rise. In fact, they hit a 52-week low this week, near $64, and closed slightly higher to end the week near $66.

This comes as the company announced third-quarter earnings of $12.0 billion, with revenue growth of 12% year-over-year, which is in line with expectations. The guidance they gave for the next quarter was also, well, I don't know, a little weak .

As you know, the results came in at $51 billion, and the consensus was exactly at that point . You were hoping for some kind of superior performance and higher expectations , but you didn't actually get that with Netflix.

This was actually the lowest revenue growth rate in three years , as the company sees potential activity here in the US, where users appear to be a little fed up with the content and possibly with the price increases as well.

Now, there's something interesting on the Equity Empire side: I have a signal producer, and Netflix falls into what I call a "signal for sale". This is a combination, and this is not based on technical analysis, but is actually fundamental analysis where we look at the company's fundamentals, specifically conference calls and some other data that I pay for.

In fact, for Apple’s “For Sale” indicator, I pay $330 a year for just one dataset there. With Netflix, what will be interesting is that the stock is at its lowest level in 52 weeks, and Equity Empire subscribers and the signal producer will be able to check whether the signals are in line with Netflix being cheap or if you should wait for another quarter.

I mean, the next quarter was acceptable. Their forecast is $13.4 billion. The problem is that everything is coming in slightly less than expected on all levels. The growth rate is slightly weak.

But also your operating margins , which are clearly your profits, amounted to only 26% as operating margins. This is well below 30%, although the fourth quarter tends to be, at least in this case, a little weak, perhaps because of the NFL season .

But the shift in strategy at Netflix is evident; they have a new head of content that they have appointed. One of the things I talked about on the Equity Empire side when I made the Netflix video is that it seems like you have a lot of cooks in the kitchen right now with Netflix.

You have two CEOs. You have a new person coming in from Disney to take over content management. There's a lot of leadership here. You need one person to run the show. Those were the glory days of Netflix.

I think they will have to unify the leadership here before you get an upward move.

Now, technology companies like Netflix may be in this boat, but most likely you have Amazon, and Google in particular, and maybe Apple too, I do n't know, but maybe Disney too, along with traditional cable companies like Comcast and Fox, who are bidding for these rights.

Netflix clearly announced its earnings, and recorded a new low in a downward trend. This is as ugly a graph as you can see. You're looking for a transformation there, but it doesn't seem to exist technically yet.