- Netflix reports Q3 results and business outlook on October 20, with management video interview following; Q2 revenue was $12.56 billion, up 13.4% year over year, operating profit $4.19 billion and operating margin 33.0%.
- Netflix shares trade at $66.96, near the 52-week low of $65.08, after a 32% decline over the past six months; the 52-week range is $65.08 to $124.86.
- TD Cowen rolled its DCF forward to 2027 and trimmed operating income and EBITDA estimates by roughly 3% annually from 2027 to 2031, while keeping Buy and a $100 target that implies about 25x P/E on 2027 estimates.
- Deutsche Bank upgraded Netflix to Buy from Hold on September 29 but lowered its target to $95 from $100, citing undervaluation of the international business; Guggenheim holds Buy with an $80 target and BMO Capital has Outperform with $135.
- Sarandos said live programming is a targeted part of the content strategy as Netflix balances growth against a $20.0 billion annual content budget, and engagement and advertising performance are the swing factors for the Q3 update.
Quotes
“The streaming giant currently trades at $66.96, near its 52-week low of $65.08, following a 32% decline over the past six months.”
“Deutsche Bank upgraded Netflix from Hold to Buy and lowered its price target from USD 100.00 to USD 95.00 on September 29, 2026, according to MarketBeat.”
“co-CEO Ted Sarandos said Netflix was not growing as fast as he wanted before describing the business as healthy, according to Yahoo Finance.”
“The $100 price target implies approximately 25 times price-to-earnings ratio on the firm's 2027 estimates.”