Netflix assumed with a Buy at Jefferies

Jefferies analyst James Heaney assumed coverage of Netflix with a Buy rating and a price target of $655, down from $700. The analyst, who is “positive” on Netflix given the view that advertising, price hikes, and its password sharing crackdown can allow the company to sustain low- to mid-teens revenue growth over the next few years, says a long-term scenario analysis implies there could be 15%-plus upside to the stock based on a five-year compound annual growth rate for revenue of 10%-plus.