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Netflix Gains Momentum: Strong Estimates, Buy Ratings Shine

Netflix shows promising momentum with a Zacks Rank of #2 and a Momentum Style Score of B. The stock's recent price surge and upward earnings estimate revisions signal potential for profitability and positive investor sentiment.

Date: 
AI Rating:   8

Recent Momentum Performance
Netflix (NFLX) has demonstrated impressive momentum, evidenced by a 4.99% price increase over the last week and a robust 24.24% rise over the past month. In contrast, its industry, Zacks Broadcast Radio and Television, has only increased by 0.3% and 3.11% over the same periods, highlighting NFLX's superior performance. Additionally, NFLX's quarterly gain of 9.65% and remarkable 86.97% increase over the last year far outpace the S&P 500's -5.75% and 10.63% movements respectively.

Trading Volume Insight
Volume trends positively contribute to the stock’s momentum narrative. NFLX's average trading volume stands at 5,145,545 shares over the last 20 days, suggesting robust investor interest that typically indicates bullish sentiment, potentially driving further price appreciation.

Earnings Forecasts
Significant earnings estimates revisions support NFLX’s upward trajectory. Over the past two months, 11 analysts have raised their earnings estimates, resulting in a consensus increase from $24.58 to $25.33. For the upcoming fiscal year, positive sentiment persists with 11 upward revisions and no declines, reinforcing the bullish outlook among analysts.

Conclusion
Based on the combination of strong momentum performance, heightened trading volume, and favorable earnings estimate revisions, NFLX emerges as a prime candidate for momentum investors. The Zacks Rank of #2 (Buy) coupled with a Momentum Style Score of B underlines its potential for significant near-term gains. Investors looking for promising stocks should prioritize NFLX on their watch list.