Investing.com – The number of new Netflix (NASDAQ:) users and the time people spend on the streaming platform are improving, according to KeyBanc analysis.
In a note to clients, KeyBanc analysts said Netflix’s consumer base is approaching levels seen before the company cracked down on password sharing in 2023. The company called this initiative “paid exchange.” They say this is likely due in part to an improved content offering, including “opportunistic” moves to introduce new live events such as National Football League (NFL) games later this year.
“Given the stronger content and likely rise in popularity of the NFL [the fourth quarter] […]we think Netflix could reach 29 [million] net [subscriber] adds [2024]” KeyBanc analysts wrote. The figure is about 10% higher than Wall Street estimates, they noted.
Analysts at KeyBanc raised their full-year revenue estimates for Netflix and raised their share price target to $707 from $705.
“Netflix is poised for more balanced subscriber and monetization growth over the next year. [medium-term]” the analysts said, citing the impact of paid exchange and ad-supported subscription levels.