Netflix Stock Upgraded To Buy, Retakes Key Level

Core Viewpoint - Netflix's stock has shown positive momentum following an upgrade from Loop Capital Markets, indicating strong user engagement and a promising content slate for the upcoming quarter [1][2]. Group 1: Stock Performance - Netflix stock rose 2.3% to close at 1,228.50, surpassing its 50-day moving average, which is a positive technical indicator [1]. - The stock is currently in a 12-week flat base with a buy point set at 1,341.15 according to IBD MarketSurge charts [4]. Group 2: Analyst Insights - Analyst Alan Gould upgraded Netflix from hold to buy and increased the price target from 1,150 to 1,350, citing strong user engagement and potential for higher long-term profit margins [1][2]. - Gould described the third-quarter subscriber engagement as "exceptional," highlighting popular content such as "Squid Game," "Wednesday," and "KPop Demon Hunters" [2]. Group 3: Competitive Landscape - Despite increased competition from Paramount Skydance (PSKY), Netflix is believed to have the necessary scale, technological advantages, and cash flow to maintain its growth and market dominance [3]. - Gould noted that the market may be overly concerned about competition from well-financed entities like Skydance [4].