Wall Street analysts cut Netflix price targets on Monday ahead of the company’s second-quarter earnings report on July 16, citing valuation concerns as the streaming giant faces slowing revenue growth and limited near-term catalysts.
Oppenheimer lowered its Netflix stock price target to $100 from $120, while KeyBanc analyst Justin Patterson reduced his target to $92 from $115, according to research notes. The revisions follow similar cuts from Citi analyst Jason Bazinet and Bernstein last week, both of which lowered their targets to $100, according to Yahoo Finance.
Despite the lower targets, all four firms maintained Buy-equivalent ratings, focusing their concerns on valuation rather than the underlying business strength. Analysts said the reductions reflect Netflix trading at a premium to industry peers despite slowing revenue growth, per Yahoo Finance.
Citi’s Bazinet outlined four factors weighing on market sentiment: softer viewership trends, uncertainty surrounding potential mergers and acquisitions, a lack of fresh near-term catalysts, and investor capital rotating toward semiconductor stocks. The M&A uncertainty traces to Netflix’s abandoned pursuit of Warner Bros. Discovery, a deal that drew regulatory scrutiny given Netflix’s roughly 20% share of the global streaming market. Had the merger gone through, a combined entity would likely have crossed the 30% threshold that regulators treat as a presumption of illegality under merger guidelines, according to Yahoo Finance.
The deal’s collapse also left analysts questioning what inorganic growth options remain available. Compounding the uncertainty, founder and chairman Reed Hastings’ resignation earlier this year has also weighed on investor sentiment, Yahoo Finance reported.
Wall Street will focus on several metrics when Netflix reports Q2 results. Consensus estimates call for second-quarter revenue of roughly $12.58 billion, up about 13.5% year over year—Netflix’s slowest growth pace in over a year. Analysts expect earnings per share of $0.79, according to Yahoo Finance. Management has guided to an operating margin of 32.6% for the quarter, and Wall Street will watch closely to see whether advertising revenue is on track to meet Netflix’s roughly $3 billion full-year target.
Netflix stock has fallen over 20% in 2026 and over 40% in the last 12 months, according to Yahoo Finance.
Sources
- Yahoo Finance — analyst price target cuts from Oppenheimer, KeyBanc, Citi, and Bernstein; valuation concerns; M&A and leadership context; Q2 earnings guidance and consensus estimates
- Wall Street Horizon — confirmed Q2 earnings date of July 16, 2026
- Public.com — Q2 2026 earnings report date and EPS consensus forecast
