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Netflix down 37% but one analyst sees 70% upside with ad growth and buybacks driving recovery

Analyst Insights
07 Sep 2026
24/7 Wall Street
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Bullish
Netflix down 37% but one analyst sees 70% upside with ad growth and buybacks driving recovery

Netflix's stock has fallen over 37% in the past year, largely due to a failed Warner Bros. acquisition and related financial hits. Despite this, Wall Street remains optimistic, with an average price target of $93.66 and BMO Capital Markets projecting a high of $135, implying up to 70% upside. The recovery thesis hinges on strong ad-supported revenue growth, content strength, and aggressive share buybacks. Netflix aims for $51 billion in 2026 revenue and $12.5 billion in free cash flow, with ad revenue expected to double, suggesting a potential rebound if management executes well and resolves Warner Bros. issues.

More News (NFLX)

Netflix posts record profits but stock hits 2026 low on cautious 2027 outlook

Netflix posts record profits but stock hits 2026 low on cautious 2027 outlook

Netflix reported a highly profitable quarter with EPS up 49% and a 34.6% operating margin, alongside a record $4.8 billion stock buyback. Despite strong results, the stock dropped to a 2026 low due to a softer outlook for 2027, which includes a flat ...

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Netflix posts slowest revenue growth in 3 years, shares slide amid mixed analyst views

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Market News
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Netflix posts solid Q3 results with strong cash flow despite ad revenue cut, shares seen as a buy opportunity.

Netflix posts solid Q3 results with strong cash flow despite ad revenue cut, shares seen as a buy opportunity.

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Company Fundamentals
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Company Fundamentals
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Netflix shares fall despite earnings beat amid ongoing engagement concerns

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Company Fundamentals
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