Netflix stock analyst predicts 20% returns – MavenFlix

Netflix (NFLX) – Get the Netflix, Inc. the stock fell from its late October high of around $ 690 per share to less than $ 610.

Some investors fear the streaming giant’s stock will continue to fall. But others are wondering if Netflix stocks will hit new highs in the coming months, making it a good buying opportunity right now.

Wall Street analysts are starting to be bullish about Netflix. They set higher and higher price targets for its stocks.

So let’s take a closer look at NFLX and assess its long-term investment potential.

Figure 1: Netflix headquarters in Los Gatos, California.

(Learn more about MavenFlix: Netflix Stocks: Should You Buy NFLX Stocks in 2022?)

Evercore predicts 20% return for NFLX

Evercore ISI analyst Mark Mahaney set his NFLX goal at $ 710, keeping his buy recommendation. This price target opens up the possibility of earning an almost 20% return on Netflix shares, compared to today’s trading price ($ 605).

If Netflix stock reaches $ 710, that will be the company’s all-time high.

Mahaney is one of TipRanks.com’s Top 100 Analysts. It covers the tech industry and has a success rate of over 60% on its recommendations. Additionally, Mahaney has an average yield of 43% within TipRanks.

TipRanks price targets for NFLX

According to TipRanks, based on 31 analysts who cover NFLX, the average target stock price is $ 678. This already suggests a great upside potential of around 12% from the current price. On average, the stock is considered a moderate buy.

The highest reported price target is $ 800, which portends potential gains of over 30% ahead. Such a high valuation probably takes into account that Netflix will remain the market leader in streaming for years to come. For this, it will have to stay one step ahead of its biggest competitors, Disney. (SAY) – Get the Walt Disney Company report and Amazon (AMZN) – Get the Amazon.com, Inc. report.

The lowest NFLX price target on TipRanks is $ 342, which would be a loss of over 40%.

Of the 31 ratings on NFLX, 24 analysts say the stock is buy, four say you should hold, and three recommend sell.

Our opinion

Even after Netflix’s big stock rally last fall, we still see some room for appreciation. Since the start of the year, NFLX has appreciated by more than 15%. But it is already far from its peak. And that leaves room for a possible buying opportunity.

Figure 2: AMZN, DIS, NFLX and SPY performance.

Figure 2: AMZN, DIS, NFLX and SPY performance.

Even so, it is up to the investor to decide if the business is not overpriced and if Netflix’s metrics are moving as expected by the market. After all, currently NFLX is trading at multiples much higher than the rest of the streaming industry.

(Learn more about MavenFlix: Disney Stock: 3 Reasons to Buy DIS Before New Years)

(Disclaimer: This is not investment advice. The author may go along with one or more actions mentioned in this report. Additionally, the article may contain affiliate links. These partnerships do not influence editorial content. Please support MavenFlix)

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