Netflix shares climbed more than +3% in early trading Tuesday, following a rating upgrade by Loop Capital Markets.
Loop analysts raised their rating on Netflix stock to buy from hold, as they believe the company to be a clear leader in the online video streaming industry. Analyst Alan Gould also mentioned that Netflix’s margins could potentially expand as the company seems to be increasingly engaged in all three aspects - content production, distribution and retail.
Loop’s price target for Netflix shares is $425 – which represents a +26% upside from the stock's Monday closing price of $336.63.