Evercore ISI Raises Netflix's Price Target to $110 Amid Strong Subscriber Engagement
On September 14, Evercore ISI raised its price target for Netflix (NASDAQ:NFLX) from $100 to $110 while maintaining an Outperform rating. The firm projected a valuation of 25 times the company’s estimated earnings per share in 2028 and cited strong survey results showing high penetration rates—63% in the U.S. and 22% in Japan—as key drivers behind its optimistic outlook. The new price target implies over 40% upside from Netflix's September 16 closing price of $76.41, though the stock has declined about 16% year-to-date. The survey also highlighted strong subscriber retention and engagement, particularly in Japan where satisfaction reached 67%. Additionally, Netflix’s new ads plan is helping reduce cancellations by offering a lower-cost option to retain users. Despite these positives, there are concerns including reduced hedge fund ownership and the departure of co-founder Reed Hastings from the board. Parnassus Investments noted that management did not raise full-year revenue guidance after strong Q1 results, which disappointed some investors.
Tickers: $NFLX
Topics: Netflix price target stock analysis subscriber growth