BMO Capital has increased its price target for Netflix (NFLX, Financial), raising it from $1,175 to $1,200 while maintaining an Outperform rating. This decision follows Netflix's robust first-quarter results and promising future guidance.
The company's advertising-based video on demand (AVOD) tier is expected to achieve substantial growth. This will be driven by increased user engagement, strategic pricing adjustments, and the introduction of programmatic and AI capabilities beginning in 2026.
In light of diminishing viewership in traditional linear TV, BMO believes that Netflix's current investment strategy will enable it to expand its operating margins by 2025 and beyond.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 44 analysts, the average target price for Netflix Inc (NFLX, Financial) is $1,094.99 with a high estimate of $1,494.00 and a low estimate of $644.50. The average target implies an upside of 11.23% from the current price of $984.40. More detailed estimate data can be found on the Netflix Inc (NFLX) Forecast page.
Based on the consensus recommendation from 50 brokerage firms, Netflix Inc's (NFLX, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Netflix Inc (NFLX, Financial) in one year is $655.44, suggesting a downside of 33.42% from the current price of $984.4. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Netflix Inc (NFLX) Summary page.
