Netflix stock pops on double upgrade from Bank of America
Yahoo Finance Live anchors discuss the surge in stock for Netflix following Bank of America’s double upgrade to Buy.
Video Transcript
[AUDIO LOGO]
BRAD SMITH: Shares of Netflix, we're also watching them. Are you still watching? Ticker symbol N-F-L-X in focus after a Bank of America analyst double upgraded the streaming giant to buy from underperform, citing the company's monetization efforts for making it an attractive stock despite slowing subscriber growth here. And they're potentially just looking through-- and they actually did cite the ad tier.
But that ad tier is going to have increasing competition. Disney is rolling out its ad tier. And you're gonna see more of the customers having to try and figure out how many subscriptions they want to have to have in the household that they're continuing to pay for, while prices have increased as well on a relative year-over-year basis.
BRIAN SOZZI: Yeah, I'm liking-- I think I have this right, but this is the second note this week from B of A where they did the double downgrade. The other one was Hasbro, I believe, yesterday.
JULIE HYMAN: No, this is double upgrade.
BRIAN SOZZI: Double upgrade. This is double grade. Hasbro was double downgrade. I like the doubles. Make a buy or sell decision. I've been a big proponent of that. Don't go neutral. Don't go hold.
But here with Netflix, I would say nothing new, per se. Just another analyst, I think, that is very bullish on the streaming-- obviously, the streaming opportunity longer term but also the ad business for this company.
JULIE HYMAN: And one more thing to mention, I don't think we've mentioned it yet. The analyst behind this is Jessica Reif Cohen, who is broadly followed and respected as a media analyst within the industry. So that's just something to know, too, is, you know, we talk about analyst notes all day long. They're not all equal weight, so to speak, to use their language, right? There are some who are more watched than others. And I-- she is likely in that category.
BRIAN SOZZI: Very good note.
BRAD SMITH: Yeah.
BRIAN SOZZI: Very good note.
