Comparing Investment Value of Alphabet and Netflix

Written by Emily J. Thompson, Senior Investment Analyst

NFLX-0.14%

GOOGL+0.39%

GOOG+0.42%

Source: Fool

Updated: 1h ago

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Source: Fool

Netflix Revenue Growth: Netflix's fourth-quarter revenue rose 17.6% year-over-year, exceeding the full-year growth rate of 16% for 2024, indicating strong growth potential with its 325 million subscribers across over 190 countries.
Advertising Business Expansion: In 2025, Netflix's advertising revenue surpassed $1.5 billion, accounting for 3.3% of total revenue, with expectations for this segment to

NFLX

$85.58+Infinity%1D

Analyst Views on NFLX

Wall Street analysts forecast NFLX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for NFLX is 129.47 USD with a low forecast of 92.00 USD and a high forecast of 152.50 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

38 Analyst Rating

27 Buy

9 Hold

2 Sell

Moderate Buy

Current: 85.700

Low

92.00

Averages

129.47

High

152.50

Current: 85.700

Low

92.00

Averages

129.47

High

152.50

Phillip Securities

Helena Wang

Sell -> Accumulate

upgrade

$95 -> $100

2026-01-26

New

Reason

Phillip Securities

Helena Wang

Price Target

$95 -> $100

AI Analysis

2026-01-26

New

upgrade

Sell -> Accumulate

Reason

Phillip Securities analyst Helena Wang upgraded Netflix to Accumulate from Sell with a price target of $100, up from $95. The firm upgraded the shares after rolling its valuation to fiscal 2026 estimates. assumptions. Netflix continues to "demonstrate clear leadership" in the video on demand space with strong pricing power, the analyst tells investors in a research note. Phillip believes the company is well positioned "structurally and financially" for long-term growth.

Argus

Buy

downgrade

$141 -> $110

2026-01-22

Reason

Argus

Price Target

$141 -> $110

2026-01-22

downgrade

Buy

Reason

Argus lowered the firm's price target on Netflix (NFLX) to $110 from $141 but keeps a Buy rating on the shares. The company's agreement to acquire Warner Bros. Discovery (WBD) is undoubtedly a bold move although shares have been punished in the aftermath as the market sees risk in Netflix getting involved in a bidding war with Paramount Skydance (PSKY) as well as around regulatory antitrust concerns, not to mention the potential for political interference, the analyst tells investors in a research note. Argus adds however that it sees the deal for the opportunity for Netflix to solidify its position in long form streaming amidst rapidly evolving steaming video environment as YouTube (GOOGL) and TikTok in particular have risen to become major competitors.

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Rosenblatt

Neutral

downgrade

$105 -> $94

2026-01-21

Reason

Rosenblatt

Price Target

$105 -> $94

2026-01-21

downgrade

Neutral

Reason

Rosenblatt lowered the firm's price target on Netflix (NFLX) to $94 from $105 and keeps a Neutral rating on the shares. Netflix's Q4 results were slightly better than the firm had estimated, but guidance was "a tad light" and disclosure of a subscriber benchmark that shows adding about 25M subs in 2025 to pass 325M in Q4 appears to be a little below the 329M the firm had assumed, the analyst tells investors. The firm notes that its price target does not presume completion of the Warner Bros. Discovery (WBD) merger as it still expects "the Ellisons to dig into their pockets and ultimately outbid Netflix."

BMO Capital

Brian Pitz

Outperform

downgrade

$143 -> $135

2026-01-21

Reason

BMO Capital

Brian Pitz

Price Target

$143 -> $135

2026-01-21

downgrade

Outperform

Reason

BMO Capital analyst Brian Pitz lowered the firm's price target on Netflix to $135 from $143 and keeps an Outperform rating on the shares. The company delivered solid Q4 results, with revenue and operating income above consensus, but the initial 2026 guide was mixed, with revenue of $50.7B-$51.7B only slightly above consensus at the midpoint, the analyst tells investors in a research note. The 31.5% operating margin guidance was also below consensus at 32.7%, as Netflix plans to accelerate content amortization to 10% growth in 2026, the firm added.

About NFLX

Netflix, Inc. is a provider of entertainment services. The Company acquires, licenses and produces content, including original programming. It provides paid memberships in over 190 countries offering television (TV) series, films and games across a variety of genres and languages. It allows members to play, pause and resume watching as much as they want, anytime, anywhere, and can change their plans at any time. The Company offers members the ability to receive streaming content through a host of Internet-connected devices, including TVs, digital video players, TV set-top boxes and mobile devices. It is engaged in scaling its streaming service, such as introducing games and advertising on its service, as well as offering live programming. It is developing technology and utilizing third-party cloud computing, technology and other services. The Company is also engaged in scaling its own studio operations to produce original content.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.