Oppenheimer raised the firm’s price target on Netflix to $775 from $725 and keeps an Outperform rating on the shares. With shares up 13% since Q2 results on positive 3P subscriber data, Netflix will likely need to post strong results and guidance, plus announce a pricing increase, the firm says. Last October, Netflix announced an increase to the Premium tier in the U.S., U.K. and France. Oppenheimer now expects a Premium pricing increase for other regions, and more importantly an 8%-15% increase to the Standard plan. Netflix has not increased Standard price since January 2022, then a 53% premium to peers vs. today’s 4%. Meanwhile, strong Q3 viewing and Q4 content slate, including NFL, should further reduce churn risk, the firm adds.
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