Netflix Stock: Fully Valued Or Room To Rise?

0
44

[ad_1]

Wall Street analysts on Monday debated whether Netflix (NFLX) stock is fully valued or has room to rise.

Loop Capital analyst Alan Gould reiterated his hold rating on Netflix stock with a price target of 1,000. Meanwhile, JPMorgan analyst Doug Anmuth kept his overweight, or buy, rating on Netflix with a price target of 1,150.





X



NOW PLAYING
IBD’s Best Mutual Funds Of 2025



In morning trades on the stock market today, Netflix stock fell a fraction to 957.23.

In recent trading sessions, Netflix stock has wavered around its 50-day moving average line, a key support level.

“While Netflix is superbly positioned, we think it is appropriately valued assuming low-teens revenue growth, margin expansion to 38%, and 20% compounded EPS growth,” Loop’s Gould said in a client note Monday.

The subscription streaming video service “should be more economically resilient than most companies” given the uncertain climate, he said. However, some subscribers may shift to Netflix’s lower-priced, advertising-supported service level.

Some Analysts Keep Buy Ratings On Netflix Stock

JPMorgan’s Anmuth believes Netflix stock will climb higher from current levels. In a client note Monday, he said he is bullish on Netflix’s 2025 revenue growth and advertising progress.

“We believe Netflix should prove relatively defensive against macro headwinds given strong engagement (~2 hours/member household/day), affordability of the service with high entertainment value, and the low-priced ad tier ($7.99/month in the U.S.) which makes Netflix widely accessible,” Anmuth said.

Anmuth said his bull thesis on Netflix stock is supported by healthy double-digit revenue growth and continued operating margin expansion. The internet television network also has a strong leadership position, he said.

Elsewhere on Wall Street Monday, Rosenblatt Securities analyst Barton Crockett kept his buy rating on Netflix stock with a price target of 1,494.

Follow Patrick Seitz on X, formerly Twitter, at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks.

YOU MAY ALSO LIKE:

Is Apple Stock A Buy Amid Sluggish iPhone Sales?

How This Chip Gear Player Is Cleaning Up In China

How To Know It’s Time To Sell Your Favorite Stock

When To Sell Growth Stocks: This Could Be Your No. 1 Rule

Join IBD Live For Stock Ideas Each Morning Before The Open

[ad_2]

Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here