Netflix (NFLX) Stock Gains Momentum as Wedbush Lifts Target to $118 Ahead of Q1 Results

KEY TAKEAWAYS

• Q1 2026 financial results scheduled for release on April 16
• Wedbush analyst increases price target to $118 (previously $115) while maintaining Buy recommendation
• Evercore ISI maintains Outperform stance with $115 target price
• Consensus forecasts point to Q1 EPS of $0.79 with revenue reaching $12.18 billion (reflecting 15.5% annual growth)
• Analyst community shows strong support: 30 Buy ratings among 39 total analysts, average target at $115.84

As Netflix prepares to unveil its first-quarter 2026 financial performance on April 16, the streaming giant is receiving renewed confidence from Wall Street analysts through upgraded price targets and positive ratings.

Netflix, Inc., NFLX

Wedbush’s Alicia Reese has increased her valuation estimate for NFLX shares to $118, up from a previous $115 target, while reaffirming a Buy recommendation. Reese highlighted the company’s expanding global advertising opportunities and momentum from recent subscription pricing adjustments as primary catalysts supporting her bullish outlook. This updated target suggests approximately 15% appreciation potential from present trading levels.

Meanwhile, Evercore ISI has maintained its Outperform classification alongside a $115 price objective heading into the earnings announcement. The investment firm characterized consensus revenue expectations of $12.2 billion for the quarter — marking 15.5% year-over-year expansion — as achievable, citing Netflix’s robust content slate and benefits from 2025 pricing strategy changes.

Netflix’s stock is currently valued at $103.42 per share, translating to a market capitalization of $436.87 billion.

Wall Street’s Earnings Expectations

Analyst consensus projects first-quarter earnings per share of $0.79, representing year-over-year growth exceeding 15%. Revenue estimates center around $12.18 billion for the period.

Operating profit is anticipated to reach $3.94 billion, producing an operating margin of 32.4%.

Looking toward the second quarter, analysts forecast revenue of $12.6 billion — translating to 13.6% annual growth. Evercore ISI anticipates Netflix will either confirm or modestly increase its full-year 2026 projections, which presently target revenue between $50.7 billion and $51.7 billion, an operating margin of 31.5%, and free cash flow totaling $11 billion.

The streaming platform concluded 2025 with fourth-quarter revenue of $12.05 billion, representing 18% year-over-year growth and surpassing analyst expectations. The company also achieved a significant milestone by exceeding 325 million paid subscribers by year-end — a target the company had been methodically pursuing across multiple quarters.

Market participants will be closely monitoring whether membership expansion continued during Q1 despite recent subscription price increases, and evaluating the revenue contribution from the advertising-supported membership tier.

Broader Analyst Sentiment

Beyond the assessments from Wedbush and Evercore ISI, several additional firms have refreshed their perspectives in advance of the earnings release.

TD Cowen maintained a Buy rating with a $112 price objective, anticipating net subscriber additions of 4.56 million. Deutsche Bank elevated its target to $100 while preserving a Hold rating. Morgan Stanley increased its target to $115 with an Overweight classification, emphasizing sustainable double-digit revenue expansion. Barclays retained an Equalweight rating at $115.

Among the 39 analysts tracking NFLX, 30 have assigned Buy ratings while nine maintain Hold recommendations. The consensus price target stands at $115.84, suggesting approximately 13% upside from current valuation levels.

Wedbush also identified potential challenges — including pricing resistance in European markets and continuing legal matters that could impact near-term investor sentiment, despite the compelling advertising growth narrative.

Netflix produced $45.18 billion in revenue over the trailing twelve-month period, with earnings per share of $2.53. The stock currently trades at a price-to-earnings multiple of 40.84.

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