Analysts on Wall Street are raising their outlook on Netflix stock after the streaming giant’s second-quarter results . The streaming giant’s earnings and revenue beat analyst expectations, with the latter growing 16% year over year. On top of that, Netflix hiked its full-year revenue outlook. NFLX YTD mountain Netflix stock in 2025. But shares were about 2% lower in the premarket, after Netflix cautioned that its operating margin in the second half of the year will be lower than the first half due to “higher content amortization and sales and marketing costs associated with our larger second half slate.” Still, analysts on the Street liked what they heard from Netflix, with many raising their price targets on the stock. Here’s what they had to say: Piper Sandler, overweight rating, raises price target to $1,500 from $1,400 per share price target Analyst Thomas Champion new target equates to about 18% upside from Thursday’s close. “We continue to see NFLX as a defensive name with multiple upside levers. FY25 rev guide was raised ~$1BN, signaling confidence from management,” Champion said. Morgan Stanley hikes target to $1,500 Morgan Stanley also reiterated its overweight rating on Netflix, one if the firm’s top picks. “Importantly, newly deployed ad tech appears poised to deliver a roughly doubling of ad revs in ’25,” analyst Benjamin Swinburne said. “Netflix’s early but growing use of GenAI tools to power content and product innovation further reinforces our bullish view.” Wells Fargo keeps overweight rating, raises target to $1,560 from $1,500 Wells Fargo’s new target implies more than 22% upside for Netflix stock. “NFLX is evolving into a larger revenue platform as it recoups monies from paid sharers, and leans into advertising tiers as a share gainer,” analyst Steven Cahall said. “The flywheel should persist as revenue acceleration allows NFLX to invest in content and tech to drive additional subs and pricing, all while expanding margins.” Jefferies raises target to $1,500 from $1,400 Jefferies also kept its buy rating. raised its price target to $1,500 per share from $1,400. “We see near-term subscriber growth coming from the password sharing crackdown and new ad-supported tier, with longer-term growth coming from continued price hikes and the multibillion-dollar ad business,” analyst James Heaney said. “We also expect continued discipline on content spend, leading to robust FCF margins of 25%+ over the long term.” UBS increase target to $1,495 from $1,450, keeps buy rating “We believe secular trends and competitive dynamics (incl. a pull back in content spend and shift away from mass market approach at peers) remain supportive of Netflix’s ability to drive stronger monetization and operating leverage,” wrote analyst John C. Hodulik. JPMorgan raises target to $1,300 from $1,230, reiterates neutral rating “NFLX raised its 2025 outlook primarily driven by more favorable FX given the weaker USD. Subscriber growth also drove upside to 2025 guidance, though 2Q net adds were weighted toward the end of the quarter following strong content including Squid Game S3, Ginny & Georgia S3, STRAW, and more,” wrote analyst Doug Anmuth.
