Netflix Stock Climbs as Analysts See ‘Little Pushback’ to Price Hikes | Global News Avenue

Netflix (NFLX) goes into 2025 after adding “All In” 19 million subscribers JPMorgan analysts said on Wednesday that the fourth-quarter results and raised the subscription price.

Netflix yesterday said it would raise prices, including on its popular ad-supported plan in the US from $6.99 to $7.99, following its “strongest content quarter ever”, analysts said.

JPMorgan Chase said that “entering 2025, we do not expect little headwinds in the United States.”

The price increase comes as Netflix’s ad-supported plans drove 55% of signups in Netflix’s fourth quarter in markets where the plans are available. That growth helped the company end the year with more than 300 million members, laying the foundation for further revenue growth in 2025, Wedbush analysts said.

Yesterday’s results boosted Netflix’s stock price, which recently rose about 11%, leading all gainers in the S&P 500, with some on Wall Street raising already bullish price targets.

JPMorgan and Wedbush both maintained buy or equivalent ratings and raised their price targets to $1,150. Analysts at Oppenheimer and UBS set identical targets based on the results. Bank of America raised its price target to $1,175. The stock recently traded below $970.

“While massive user growth is the primary driver in 2024, we expect price increases to drive revenue growth in 2025 and the ad layer to drive higher revenue in 2026,” Wedbush said.