The stock was seen trading 11 percent higher in the premarket to a price of $385.53.
The U.S. streaming giant on Tuesday revealed that it had picked up 6.96 million subscribers in the third quarter of the year, against analyst expectations of a more than 5 million increase in users. The company is seeing massive growth beyond its home market, according to the numbers. Out of the 6.96 million additional users it reported, 5.87 million of those came from overseas.
Netflix's third-quarter revenues came in line with expectations, at $4 billion, while earnings per share (EPS) beat estimates, at 89 cents versus the 68 cents forecast by analysts.
Morgan Stanley raised its target price to $475 from $450.
J.P. Morgan raised its target price to $450 from $415.
Raymond James raised its target price to $435 from $400.
Canaccord Genuity raised its target price to $470 from $450.
Geographically, we believe continental Europe is accelerating in growth including markets like France and Germany. New local original fare in India is also helping Asia begin to inflect, although it remains early days.
Traditional media firms — plus companies from other industries — are racing to rival the likes of Netflix and other streaming services with their own digital platforms. Last week alone, AT&T's WarnerMedia, Viacom, Walmart, Costco and Apple were reported to be launching online video services.
Read more:
25 Canada Square, Level 33, office 50, Canary Wharf London, E14 5LQ +44 20 3608 6256
World Financial Markets - 0700 17 600 Varchev Exchange - 0700 115 44
Varchev Finance Ltd is registered in the FCA (FINANCIAL CONDUCT AUTHORITY) with a passport in the United Kingdom: FCA, United Kingdom - registration number: 494 045, which allows provision of financial services in the United Kingdom.
Varchev Finance Ltd strictly comply with the statutes of the European directive MiFID (Markets in Financial Instruments). targeting increased efficiency, transparency and uniformity of financial instruments.
Varchev Finance Ltd is authorized and regulated by the Financial Supervision Commission - Sofia, Bulgaria: License number RG-03-02-05 / 15.03.2006
The information on this site is not intended for distribution or use by any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
Disclaimer:
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63,41% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.