Netflix hit a record high in August, and analysts believe the stock has even more upside going forward. Shares broke above the $700 mark in late August, hitting an intraday high of $711.33. On a closing basis, the stock rallied as high as $698.54 on August 20. After retreating slightly in recent days, shares closed at $701.35 on Friday. Shares are now about 44% higher year-to-date. The stock only managed to rally in 2024 despite intensifying competition in the streaming sector and slowing consumer spending. However, many believe that Netflix has an advantage over its peers that helps insulate it from many of these concerns. NFLX YTD mountain Netflix shares 2024 “It’s difficult for competitors to offer consumers the same type of value proposition that they have at Netflix,” said Jason Helfstein, an analyst at Oppenheimer. “Finally, Netflix is winning the global content game.” The analyst has an outperform rating and a $725 price target on the stock. Macro Resilience Analysts are upbeat about Netflix’s ability to weather macroeconomic pressures, even with fears of consumer weakening. Subscription services are generally more immune to such headwinds, JPMorgan analyst Doug Anmuth wrote in an Aug. 13 note. price increases,” Anmuth said. Anmuth has a $750 price target and an Overweight rating on Netflix. Certainly, the company will have to be tactful about the timing and size of further price increases, said Wedbush analyst Alicia Reese. However, he highlighted the relative value proposition Netflix provides to consumers even in tighter economic conditions. “Obviously, if the wallet is tight, how you want to spend that share of the wallet matters a lot. If you’re going to eat more, if you’re going to shop less — you’re home [and] I’m going to watch more Netflix,” Reese said. Reese is similarly bullish on the stock, with an outperform rating and a $725 price target. Live Sports Helfstein and other analysts are bullish on the opportunity live sports will hold for Netflix. Two of the National Football League’s games will be broadcast on the platform this year. Specialty sports such as cricket or Gaelic football, he added, also provide a “promising long-term revenue opportunity.” Analyst Mark Mahaney wrote in a research note on Monday.He has an outperform and price target of $750 per share.While the stock may be relatively expensive over the next 12 to 18 months, the stock holds promise for long-term investors. , Helfstein noted. “When you think about the long-term opportunity for Netflix, there’s really no one who can challenge them right now,” Helfstein said.
