Netflix Upgraded to Buy as Buyback Authorization Hits $25 Billion

On July 10, Netflix received a Buy rating upgrade after exiting the Warner Bros. Discovery deal and securing $2.8 billion in cash. The move follows Bernstein SocGen’s July 9 reiteration of an Outperform rating and $100 price target post-streaming webinar. Analysts cite the expanded $25 billion buyback capacity, peaking content amortization, and ad revenue nearing a $3 billion run-rate as key positives ahead of Q2 earnings. Stronger profitability and free-cash-flow yield now support a premium multiple despite softer engagement concerns.