Wall Street Debates Netflix: Is the Worst Over Or Has Its Growth Stalled?

Olivia Colman, Luke Evans, Jessie Buckley, Johnny Flynn Join Voice Cast of Netflix's 'Scrooge: A Christmas Carol' Animation

Credit Suisse analyst Douglas Mitchelson broke that mold. While he maintained his “neutral” rating on Netflix, he cut his price target from $360 to $263 “due to a more conservative long-term forecast.” “Uncertainty remains elevated for Netflix with subscriber growth stalled post-pandemic and focusing on improving monetization via charging for password sharing and broadening the service’s value proposition through lower-priced ad tiers,” he explained.

“Content is always the heart of the stock,” he highlighted in digging deeper into the streamer’s user trends, as well as content spending and strategy. “We think Netflix scaling its content spend so quickly and widely, with impressive velocity in deliveries globally, may have meant that the quality suffered. From here, the company is notably looking to improve efficiency and efficacy.

Others joined him in addressing the theme of investor sentiment. “The market compressed Netflix’s multiple last quarter in part because its strategy evolution seemed rushed,” wrote BMO Capital Markets analyst Daniel Salmon. “This quarter, management delivered a much better explanation of its new points of focus, including advertising and password sharing/’add a home.’ But first and foremost, both second-quarter actual and third-quarter guidance for subs/members were good enough.

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Netflix has a different pitch for Wall Street, as subscriber growth hits a wallNetflix Inc. is no longer a hypergrowth company, so executives are trying to showcase an improvement that was once one of Wall Street's prime worries about... tpoletti Hulu is way better tpoletti Make better shows tpoletti You will need the cash with the upcoming recession
Source: MarketWatch - 🏆 3. / 97 Read more »

Stocks sweep higher on Wall Street as profit reports roll inInvestors were cheered by strong earnings reports and an ongoing decline in the price of gasoline, easing inflation fears. TIME'S UP: International Legal Forum calls on the ICC to investigate & prosecute Palestinian Authority leaders like President Abbas and PM Shtayyeh who engage in torturing Palestinians, including journalists, human rights activists, & members of LGBTQ What’s a “sweep higher?” Why are you lying? The price of gas always goes down after high demand July 4 th and frankly, people are trying to figure out how to drive less because of gas prices. Other indicators are still showing high inflation and and more cautious consumers.
Source: CBSNews - 🏆 87. / 68 Read more »