Netflix price target lowered to $124 from $127.50 at JPMorgan

JPMorgan lowered the firm’s price target on Netflix (NFLX) to $124 from $127.50 and keeps a Neutral rating on the shares. The firm attributes the 11% selloff since the Q3 earnings report to a continued overhang from media acquisitions headlines, concerns around engagement and increasing competition, and market rotation from select high multiple names. JPMorgan believes Netflix could provide an initial 2026 revenue growth outlook of 11%-13%, with continued operating margin expansion, free cash flow ramp, and greater share buybacks, resulting in 20% GAAP earnings growth. The firm adjusted the company’s model to reflect the recent 10-1 share split.