Netflix Stock: Next Stop, $740?
We're living in a Netflix (NASDAQ: NFLX) world, and Wall Street is just trying to keep up. Shares of the company behind the world's leading premium streaming service hit fresh all-time highs last week, and with its next quarterly earnings release just around the corner, a few analysts think that Netflix stock is going even higher.
Douglas Mitchelson at Credit Suisse boosted his price target from $643 to $740, a move that suggests 17% of upside from current levels. He accepts that the stock running up into next week's financial update gives Netflix little room for error, but a third-quarter miss seems unlikely in his view. Netflix is typically conservative with its guidance, but exceeding the 3.5 million in sequential net additions that management put out in July for the third quarter is a slam dunk at this point.
Mitchelson believes that the global success of Squid Game in recent weeks -- the South Korean survivalist series that Netflix will likely announce has overtaken Bridgerton as the platform's most watched show -- should bode well for guidance for the quarter that began earlier this month. In short, Netflix stock should more than live up to the hype when it reports next Tuesday afternoon, Oct. 19.
Source Fool.com
