By Dhirendra Tripathi
Investing.com – Netflix stock (NASDAQ:NFLX) rose 4% on Wednesday after Stifel raised its price target for the streaming giant while maintaining its buy rating.
The brokerage sees the stock at $680 now, 14.5% higher from the current price of $594 and 12% higher than its previous target of $650.
As per StreetInsider, Stifel’s Scott Devitt sees Netflix's total addressable international market, excluding China, U.S. and Canada, at more than 544 million broadband households. This will grow to over 640 million broadband households, going by 2026 estimates, according to the analyst.
According to the analyst, Netflix will show accelerating subscriber growth against a slate of new high-quality content during seasonally favorable quarters for subscriber growth.
Devitt sees the company nearing a period of sustained free cash flows, which should enable a long runway of self-funded content creation, reduce the need for external money, and help the company return capital to its shareholders, according to StreetInsider.