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Key Takeaways
- Netflix will report its first-quarter results on Thursday, after the markets close.
- Analysts expect that the streaming giant will report a rise in revenue and profits.
- The majority of firms tracked by Visible Alpha have a "buy" or equivalent rating on Netflix stock.
Analysts believe that Netflix (NFLX), the streaming giant, could be well positioned to weather a macroeconomic environment in flux.
In a note to clients recently, JPMorgan described Netflix as “the most resilient” company that it tracks. The streamer has a strong subscriber-base, and its members watch an average of 2 hours of content every day. The bank has a “overweight” rating on the stock and a $1,025 target price.
Morgan Stanley also named Netflix as one of its “top picks,” expecting it to “demonstrate relatively resilient in a weaker macroeconomic environment.” Analysts called the pullback of Netflix shares after President Donald Trump announced tariffs on 2 April a “buying oportunity” for investors.
Most Netflix Analysts Rate Stock a 'Buy'
All told, 14 of the 18 analysts covering Netflix tracked by Visible Alpha have "buy" or equivalent ratings for the stock, with the remainder issuing a "hold" rating. Their consensus price of $1,097 would indicate nearly 20% growth from Friday’s close.
Netflix is expected to announce revenue of $10.5 billion (up 12% from last year) and net income $2.48 Billion, or $5.69 Per Share, up from $2.33 Billion, or $5.28 Per Share, a full year earlier.
Netflix shares have risen nearly 50% over the past 12 months, at $918.29 as of Friday's close.
