Street View: Netflix confident in revenue growth despite economic shifts

Netflix NFLX.O backed its revenue outlook for the year and is confident it will weather any turbulence from U.S. tariffs due to lack of significant shifts in customer behavior

Average recommendation of 50 brokerages on NFLX is "buy", as per LSEG data, and their median PT is $1,147.50 vs the stock's closing price of $973.03 on Thursday, ahead of the results

DOMINATING THE DIGITAL SPACE

Pivotal Research ("buy," PT: $1,350) says stock offers good value for its price, and advertising business is likely to grow significantly as it's still in the early stages

Morgan Stanley ("overweight," PO: $1,200) says co is investing in people and technology to become a market leader in advertising and 2025 is crucial as co shifts from using third-party ads to its own first-party advertising products

"We forecast advertising revenues growing to over $5 billion in 2028E with high incremental margins" - MS

BofA Global Research ("buy," PO: $1,175) says co's advertising segment is small now but has strong long-term prospects due to unique engagement and content, while investments in ad-tech will drive growth for years to come

TD Cowen ("buy," PT: $1,150) says "long-term opportunity remains significant, in our view, particularly given NFLX's multiyear lead in building out a truly global streaming platform supported by owned originals and local language content at scale"