Jefferies analyst James Heaney CFA maintained a Buy rating on Netflix (NFLX – Research Report) yesterday and set a price target of $1,200.00.
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James Heaney CFA has given his Buy rating due to a combination of factors that highlight Netflix’s strong growth potential and strategic positioning in the streaming market. One of the key reasons is Netflix’s impressive second-half content slate, which is expected to drive subscriber growth across all regions. This content lineup, coupled with the company’s industry-leading engagement metrics, positions Netflix to potentially double its advertising revenue to approximately $2 billion, with a long-term opportunity estimated at $10 billion.
Additionally, Netflix’s disclosure of 94 million monthly active users, a significant increase from previous figures, underscores its growing scale and appeal to advertisers, particularly in the coveted 18-34 age demographic. Despite the high valuation multiple since 2022, Heaney believes that Netflix’s execution capabilities and strategic initiatives will enable the company to meet expectations and maintain a premium valuation. These factors collectively contribute to a positive outlook for Netflix’s stock, justifying the Buy rating.
In another report released today, Robert W. Baird also maintained a Buy rating on the stock with a $1,300.00 price target.
NFLX’s price has also changed dramatically for the past six months – from $823.960 to $1177.980, which is a 42.97% increase.