Mixed analyst sentiment ahead of Q2 earnings, with price targets ranging from $1,230 to $1,600.

by MarketNewsData

Key Takeaways:

  • Analyst ratings split between “Neutral” and “Strong Buy”
  • Price targets range from $1,230 to $1,600
  • Q2 earnings set for July 17 could be a turning point

🔻 Seaport Downgrades Netflix
On July 7, Seaport Research analyst David Joyce downgraded Netflix (NFLX) from Buy to Neutral, stating that the stock’s ~45% YTD rally has already priced in much of the near-term upside. He removed his $1,230 target and suggested that further growth will require meaningful monetization from live sports or deeper advertising expansion.

🔺 Street-High Price Targets Signal Long-Term Optimism

  • Pivotal Research: Raised target to $1,600, citing strong subscriber growth and ad-supported revenue streams.
  • CFRA (Kenneth Leon): Boosted to $1,485, highlighting pricing power and content strength.
  • Canaccord Genuity (Maria Ripps): Upped target to $1,525 driven by platform enhancements and live-event strategy.
  • Jefferies: Maintained Buy, target $1,400, pointing to >20% EPS growth.
  • Wells Fargo: Reiterated Overweight, target $1,500, seeing continued margin expansion.

📊 Themes Driving Analyst Views

  • Ad-tier adoption and password-sharing crackdown improving ARPU
  • Valuation concern for bears: near-term upside appears limited
  • Long-term bulls look to Netflix’s potential in live content, theme parks, and international growth

🧠 Final Word
Netflix heads into its July 17 earnings report with mixed sentiment. Bulls are confident in its pricing power and global scale, while skeptics warn of stretched valuation. Expect analyst sentiment to shift depending on ad revenue trends, subscriber numbers, and management’s Q3 guidance.

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