Netflix (NFLX) stock has surged 86% in 2024, prompting KeyBanc managing director Justin Patterson to set a new price target of $1,000 for the streaming giant. He joins Morning Brief hosts Seana Smith and Madison Mills to discuss his outlook on the name for the upcoming year. Patterson notes that Netflix’s valuation at 9x forward sales represents “a top for the stock” from an EBITDA perspective. He highlights the company’s improving free cash flow and its evolution into “a monetization story,” supported by upcoming content releases and a move into live sports, which should drive both engagement and price increases. “What I’m more interested about is the NFL setting up more live events in the future,” Patterson tells Yahoo Finance. He points to upcoming events like the Women’s World Cup, which he believes will attract both new subscribers and advertisers to the platform. “The interesting thing about Netflix so far is a lot of this growth in 2024 and into the start of 2025 is more sub based; we still haven’t had that monetization inflection yet,” he explains, forecasting this shift for 2025. He adds, “It makes for a pretty compelling growth profile.” To watch more expert insights and analysis on the latest market action, check out more Morning Brief here.
#youtube #Netflix #stocks
About Yahoo Finance:
Yahoo Finance provides free stock ticker data, up-to-date news, portfolio management resources, comprehensive market data, advanced tools, and more information to help you manage your financial life.
– Get the latest news and data at finance.yahoo.com
– Download the Yahoo Finance app on Apple (https://apple.co/3Rten0R) or Android (https://bit.ly/3t8UnXO)
– Follow Yahoo Finance on social:
X: http://twitter.com/YahooFinance
Instagram: https://www.instagram.com/yahoofinance/?hl=en
TikTok: https://www.tiktok.com/@yahoofinance?lang=en
Facebook: https://www.facebook.com/yahoofinance/
LinkedIn: https://www.linkedin.com/company/yahoo-finance
source
