JPMorgan upgraded Netflix to Overweight from Neutral (NFLX) with a price target of $120, down from $124, after reinstating coverage following a period of restriction. The firm believes Netflix is a “healthy organic growth story,” driven by strong content, global subscriber growth, continued pricing power, and an “under-monetized” advertising tier. JPMorgan expects elevated share repurchases in 2026 driven by the $2.8B Warner Bros. (WBD) termination fee and “a currently opportunistic” share price. The company’s “well-insulated subscription-based model” supports a premium valuation, contends the firm.
Claim 55% Off TipRanks
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Discover top-performing stock ideas and upgrade to a portfolio of market leaders with Smart Investor Picks
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on NFLX:
- Netflix reinstated with an Equal Weight at Barclays
- “We Knew Right Away”: Netflix Co-CEO on the Warner Bros. Decision
- Netflix knew Paramount had ‘superior offer’ for Warner Bros., Bloomberg says
- After Abandoning the WBD Bid, These Catalysts May Drive Netflix Stock Higher
- “There Is a Right Price and Wrong Price”: Paramount Skydance (PSKY) Seals $110 Billion Warner Bros Discovery (WBD) Deal