Wall Street’s support for Netflix is wavering after the streaming platform’s latest results on Thursday failed to ease concerns over slowing growth, with a number of analysts slashing price targets for the stock. The entertainment firm reported $12.56 billion in revenue for the second quarter — a figure that was slightly below the $12.59 billion expected by analysts polled by LSEG. Its revenue was still up 13% on a year-over-year basis, largely due to the streaming platform’s membership and advertising growth as well as its subscription price hikes. Netflix’s earnings came in at 80 cents per share, a penny ahead of the Street’s consensus estimate of 79 cents per share. However, the company narrowed its revenue forecast to a range of $51 billion to $51.4 billion for the full fiscal year, and expects the pace of third-quarter revenue growth to slow to an increase 12%. Netflix shares were down nearly 11% on Friday. Year to date, shares are down 30%. Investors have been debating where the company will find new growth and how it will retain subscribers after it abandoned its bid for Warner Bros. Discovery and hiked subscription costs . NFLX YTD mountain Shares are down 21% in 2026 The latest quarter didn’t settle that debate, according to analysts. Results were mixed, but largely in line with estimates. Netflix said viewing hours grew 2% in the first half of this year, but it expects to increase its content spending by 10% in 2026. Overall, Netflix’s second quarter was a “murky mosaic,” which could prevent its shares from gaining ground as previously expected, analyst Peter Supino said Thursday in a note to clients. “The quarter was a win for the bears, while the price of NFLX discounts multi-year deceleration,” the Wolfe Research analyst said. He has an outperform rating on the stock, and lowered its price target to $84 from $107, which still suggests 13% upside from Thursday’s close. Here’s what other shops on the Street are saying about Netflix. Bank of America: Buy, $105 price target Analyst Jessica Reif Ehrlich lowered her target on shares from $125. Her new price target suggests 41% upside for Netflix from its Thursday closing price. “Heading into 2Q earnings, Netflix was a battleground stock, pressured by concerns related to slowing engagement, decelerating revenue growth, and the possibility of transformative M & A. While results were largely in line, they were not strong enough to fundamentally alter the debate.” JPMorgan: Overweight, $85 Doug Anmuth’s price target, lowered from $118, corresponds to upside of around 14% from Thursday’s close. “NFLX reiterated that not all viewing hours are created equal as it optimizes across quality, variety, & quantity, and that it is not a linear relationship between view hours and revenue/profit…While we understand the concerns, we believe revenue & profit growth are ultimately most important, & NFLX is not managing for engagement hours.” Citi: Buy, $100 Analyst Jason Bazinet’s price target on shares is 34% above Netflix’s Thursday closing price. “We expect investors to be pleased by the [low-single-digits] growth in engagement and by the quarterly buyback (the largest to date). However, we expect shares to trade lower tomorrow given: 1) lower UCAN revenue in 2Q26; 2) a lower-than- expected 3Q26 outlook; 3) the company did not raise full-year guidance as some bulls were expecting; 4) reduced frequency of engagement disclosures; and 5) the buyback is not large enough to preclude large-scale [mergers and acquisitions].” Wells Fargo: Equal Weight, $80 The investment bank lowered its price target on Netflix from $105. Its new target is nearly 8% above Thursday’s close, per analyst Steven Cahall. “NFLX feels like a maturing story. Margin expansion is stable, but likely can’t [accelerate without] risking further growth. This outlook fades the [price-to-earnings ratio with] a new normal range of 15-20x. To re-expand the multiple, content will need to drive better engagement.” Bernstein: Outperform, $95 Netflix could see upside of roughly 28%, per analyst Laurent Yoon’s new price target on the stock. He lowered his target from $100. “While the reaction reflects near-term investor disappointment, we do not believe the current valuation adequately captures Netflix’s mid/long-term potential. … That said, Netflix faces no shortage of near-term questions, with no obvious positive catalyst on the horizon.” Morgan Stanley: Overweight, $83 Sean Diffley, an analyst, lowered his price target on the stock from $90 per share. His updated target is nearly 12% above Netflix’s closing price on Thursday. “Engagement fears appear overblown ([viewing hours] grew +2% [year over year] in [the first half of this year]) and while [revenue] growth is decelerating slightly. … We still see sustainable double-digit topline growth and expanding margins, trading at ~18x [price-to-earnings]. … While this print is unlikely to settle the major debates around: 1) engagement/pricing power, 2) questions on return on investment/margins and 3) [mergers and acquisitions], the data points received were in aggregate less bad than feared.” Goldman Sachs: Buy, $94 Despite investors’ concerns, Netflix is likely to see its shares rise to $94 per share, which is 26% higher than the price at which shares closed Thursday, per analyst Eric Sheridan. “On the debates around engagement metrics and allocating toward inorganic growth, the company likely did not extinguish what have been very volatile investor debates in the past few months and perception/reality on both issues will likely be a driver of short-term stock volatility intra-quarter. Looking over the long-term (while acknowledging where the stock sits and the debates reside), we remain constructive on NFLX on the back of our work that is supportive of user/member growth, pricing power (to address value delivered to members), a rising ad supported revenue stream, a balance of content investments, capital returns and a high bar for [mergers and acquisitions].” Barclays: Equal Weight, $80 Analyst Kannan Venkateshwar’s new price target, which was lowered from $85, is about 8% above Thursday’s closing price. “Visibility into next year’s growth drivers remains limited, with weaker second derivatives likely to dominate the narrative over the coming quarters. Netflix results and guide were roughly in line with prior guide and expectations, but given recent engagement concerns, risk/reward in the name is asymmetric.”
Netflix gets price target cuts from analysts amid growth concerns
