Netflix's Major Acquisition: Netflix is pursuing an $82.7 billion deal to acquire Warner Bros. Discovery's film and television studios, which could significantly enhance its content portfolio, including popular franchises like Game of Thrones and Harry Potter.
Financial Implications: The acquisition will increase Netflix's debt to approximately $77 billion, impacting its financial flexibility and requiring a focus on debt repayment, although analysts predict strong long-term earnings growth.
Content Expansion: Netflix continues to diversify its offerings by introducing mobile games, live sports, and exclusive video podcasts, aiming to strengthen its position in the competitive streaming market.
Investment Outlook: Despite recent stock declines, Netflix is viewed as a strong long-term investment, with potential for substantial growth as it expands its subscriber base and monetizes new media formats.
NFLX
$94.39+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 139.13 USD with a low forecast of 95.00 USD and a high forecast of 160.00 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.
36 Analyst Rating
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 139.13 USD with a low forecast of 95.00 USD and a high forecast of 160.00 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.
28 Buy
7 Hold
1 Sell
Strong Buy
Current: 94.000
Low
95.00
Averages
139.13
High
160.00
Current: 94.000
Low
95.00
Averages
139.13
High
160.00
Morgan Stanley
Overweight -> NULL
downgrade
$150 -> $120
2025-12-18
New
Reason
Morgan Stanley
Price Target
$150 -> $120
2025-12-18
New
downgrade
Overweight -> NULL
Reason
Morgan Stanley lowered the firm's price target on Netflix to $120 from $150 and keeps an Overweight rating on the shares. The Media and Entertainment industry heads into 2026 with "solid fundamental momentum," says the analyst, who recommends stocks in the group that it believes are insulated from AI disruption, will benefit from demand for premium experiences, or have a differentiated earnings outlook.
Jefferies
James Heaney
Buy
maintain
$134
2025-12-17
New
Reason
Jefferies
James Heaney
Price Target
$134
2025-12-17
New
maintain
Buy
Reason
Jefferies analyst James Heaney says WSJ's headline suggesting Warner Bros. Discovery's (WBD) board will recommend shareholders reject Paramount's (PSKY) tender offer and Reuters' reports that indicated Jared Kushner's Affinity Partners withdrew its backing from Paramount's bid suggest increased probability of a Netflix-Warner deal, potentially removing a worst-case scenario bidding war. While continued headline noise could impact the stock in the near-term, the firm remains positive over the next 12 months as it doesn't expect a prolonged bidding war, adds the analyst, who has a Buy rating and $134 price target on Netflix (NFLX) shares.
Wolfe Research
Outperform
to
Market Weight
downgrade
$139 -> $121
2025-12-15
Reason
Wolfe Research
Price Target
$139 -> $121
2025-12-15
downgrade
Outperform
to
Market Weight
Reason
Wolfe Research lowered the firm's price target on Netflix to $121 from $139 and keeps an Outperform rating on the shares. The firm adjusted ratings and targets in the media and entertainment and telecom and cable sectors as part of its 2026 outlook. Wolfe recommends being overweight live entertainment and music. It downgraded the telecom and cable group to Market Weight, saying it sees "no relief" from the key performance indicator deterioration seen in the second half of 2025.
Freedom Capital
Hold
initiated
$14
2025-12-12
Reason
Freedom Capital
Price Target
$14
2025-12-12
initiated
Hold
Reason
Freedom Capital initiated coverage of Paramount Skydance (PSKY) with a Hold rating and $14 price target. Paramount Skydance's Q3 revenue came in below expectations, pressured by weakness in the linear TV segment and soft box-office performance, although strength in streaming helped support overall results, the analyst tells investors in a research note. The merged company is better positioned to compete with other streaming platforms, particularly Netflix (NFLX), the firm adds.
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.
