Netflix beat easily on earnings last night, and barely edged out sales expectations as well. Operating margins improved mightily in Q2 versus a year ago, but management warned of smaller margins for the full year.

Netflix stock has nearly doubled over the last 12 months to levels of about $1,270 currently. The rally has been driven by a crackdown on password sharing and the expansion of its advertising-supported tier.

Wall Street analysts are expecting earnings per share of $7.08, up from $4.88 last year, and revenue of $11.1 billion, up 16%.