Thanks to a new deal with Disney, Janney Montgomery Scott analyst Tony Wible upgraded Netflix stock from ‘neutral’ to ‘buy’.
There has been doubt in Netflix’s success in the near future. The Slant reported in early December it felt Netflix would inevitably lose its positive numbers. Some considerations include the growing competition from websites such as Hulu and Amazon.com. Still, Wible insists that these threats are too far in the future to present a considerable risk.
It seems analysts are focusing on the long-term when forming opinions. According to The Hollywood Reporter, Wible’s report said he sees “improving fundamentals” in Netflix.
Most promising is Netflix’s recent deal with Disney, which will give Netflix users access to titles like Pocahontas, Dumbo and Alice in Wonderland. Wible said, “Recent developments, including the Disney deal, the potential for a Sony deal … are changing how studios, and investors approach the company.”
Today, Netflix stocks are up 2 percent at $99.42. Janney Capital Market has raised the fair value price target to $129, according to 24/7 Wall Street.