Key Stats for NFLX Stock
- Past-Week Performance: -2.14%
- 52-Week Range: $82 to $134
- Valuation Model Target Price: $132
- Implied Upside: 56% over 2.9 years
What Happened to Netflix Stock?
Netflix Inc. (NFLX) traded lower during the third week of January, consolidating near the lower end of its recent range after prior volatility across its 52-week trading band.
Just this week, Reuters reported regulatory scrutiny surrounding a potential Netflix–Warner Bros. Discovery merger, alongside media coverage of competing bids involving Paramount and Warner.
Management reiterated its position opposing Paramount’s offer for Warner Bros. Discovery, while separately reporting FY2025 operating income of $13.3 billion, up 28%, with margins expanding to 29.5%.
Market participants appeared to focus on regulatory and antitrust uncertainty tied to consolidation headlines, tempering the stock’s response despite strong reported earnings and margin performance.
Beyond earnings disclosures and merger-related commentary, no additional regulatory filings, governance actions, or insider-related announcements involving Netflix were reported during the period.
Overall, Netflix declared no revisions to its operating framework or financial priorities, leaving trading aligned with existing expectations shaped by earnings strength and regulatory overhang.
Is Netflix Stock Fairly Valued Right Now?
Under the valuation model shown, the stock is modeled using:
- Revenue Growth: 11.7%
- Operating Margins: 34.9%
- Exit P/E Multiple: 27.1x
Under the valuation model realized through 2028, Netflix stock is assessed conditionally, with outcomes dependent on growth, margin, and multiple assumptions holding.
Specifically, the model assumes 11.7% revenue growth, 34.9% operating margins, and a 27.1x exit earnings multiple.
Based on these inputs, the model estimates a $131.80 target price, implying 55.7% total upside and 16.3% annualized returns.
Execution depends on sustained global streaming demand, pricing discipline, content efficiency, and margin expansion across Netflix’s scaled subscription platform.
As a result, Netflix stock’s valuation reflects execution and regulatory risk, leaving returns sensitive to operating consistency rather than guaranteed re-rating.
Value Any Stock in Under 60 Seconds (It’s Free)
With TIKR’s new Valuation Model tool, you can estimate a stock’s potential share price in under a minute.
All it takes is three simple inputs:
- Revenue Growth
- Operating Margins
- Exit P/E Multiple
From there, TIKR calculates the potential share price and total returns under Bull, Base, and Bear scenarios so you can quickly see whether a stock looks undervalued or overvalued.
If you’re not sure what to enter, TIKR automatically fills in each input using analysts’ consensus estimates, giving you a quick, reliable starting point.
See a stock’s true value in under 60 seconds (Free with TIKR) >>>
