{"id":40684,"date":"2025-06-15T11:37:58","date_gmt":"2025-06-15T11:37:58","guid":{"rendered":"https:\/\/quickassetsmarket.com\/index.php\/2025\/06\/15\/netflix-stock-price-analysis-short-term-retreat-to-1060-likely\/"},"modified":"2025-06-15T11:37:58","modified_gmt":"2025-06-15T11:37:58","slug":"netflix-stock-price-analysis-short-term-retreat-to-1060-likely","status":"publish","type":"post","link":"https:\/\/quickassetsmarket.com\/index.php\/2025\/06\/15\/netflix-stock-price-analysis-short-term-retreat-to-1060-likely\/","title":{"rendered":"Netflix stock price analysis: short-term retreat to $1,060 likely"},"content":{"rendered":"
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Netflix stock price surged to a record high of $1,259 this month, making it one of the best-performing technology companies. It has jumped by over 670% from its lowest point in 2022, bringing its market capitalization to over $515 billion. Let\u2019s explore why the NFLX stock has surged and what to expect. <\/p>\n

Why Netflix stock price has soared<\/h2>\n

Netflix share price has jumped by 36% this year, making it one of the best-performing companies in the Magnificent 7. <\/p>\n

This performance happened as the company\u2019s growth accelerated. Its annual revenue has jumped from $24.9 billion in 2020 to $40 billion in the trailing twelve months (TTM).<\/p>\n

Netflix has also continued to add users to its platform. It had over 301.6 million active subscribers in the last quarter, a big increase from 232.5 million in the same period in 2023.<\/p>\n

The company has also won the battle of the soaring competition from companies like Disney, Amazon Prime Video, Hulu, HBO, and Apple TV+. All these companies have struggled to add more customers to its platform. <\/p>\n

The most recent results<\/a> show that Netflix\u2019s business continued to do well in the last quarter. Its revenue rose to $10.5 billion in the last quarter, up by 12.5% from the same period in $9.3 billion. <\/p>\n

The company\u2019s operating income rose to $3.34 billion in the first quarter from $2.633 billion in the same period last year. Its net income continued soaring, reaching a high of $2.8 billion. <\/p>\n

This growth happened as the company dropped some popular series like Adolescence, Bank in Action, <\/em>and Counterattack. <\/p>\n

Analysts anticipate<\/a> that the company\u2019s growth will continue in the coming months. The average estimate is that Netflix\u2019s revenue will grow by 15.4% in the second quarter to $11 billion. This revenue estimate is higher than the company\u2019s guidance of $11 billion. <\/p>\n

Netflix\u2019s annual revenue is expected to come in at $44.4 billion, followed by $49.82 billion next year. The company has also emerged as a trade war survivor<\/a>.<\/p>\n

NFLX valuation concerns<\/h2>\n

A key concern that many people have is that the Netflix stock price has become highly overvalued. It has a forward price-to-earnings (P\/E) ratio of 47, higher than the median estimate of 18.6. This multiple is also higher than the five-year average of 43. <\/p>\n

The forward EV to EBITDA multiple of 39 is higher than the median estimate of 17. These valuation metrics mean that the company is highly overvalued since its P\/E ratios are much higher than those of other Magnificent 7 firms. This explains why the current Netflix stock price is higher than the average estimate by analysts.<\/p>\n

However, it is normal for growing companies with a large market share to spot higher valuation metrics. A good example of is companies like Visa and Mastercard that are perpetually overvalued. <\/p>\n

Read more: JPMorgan cuts Netflix rating, citing balanced risk-reward post-rally; stock falls<\/a><\/p>\n

Netflix stock price analysis<\/h2>\n
NFLX stock chart | Source: TradingView<\/a><\/figcaption><\/figure>\n

The weekly chart shows that the NFLX share price has been in a strong bull run in the past few months. It recently moved above the key resistance level at $1,061, its highest swing on February 18.<\/p>\n

The stock price remains above the 50-week and 100-week Exponential Moving Averages (EMA), a sign that bulls are in control. <\/p>\n

The MACD indicator has continued rising and is nearing the key point at 100. Also, the Relative Strength Index (RSI) has moved above the overbought level of 68. <\/p>\n

The most likely scenario is where the Netflix stock price retreats and retests the key support at $1,060. This price action is known as a break-and-retest and is one of the most popular continuation signs. <\/p>\n

The post Netflix stock price analysis: short-term retreat to $1,060 likely<\/a> appeared first on Invezz<\/a><\/p>\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

Netflix stock price surged to a record high of $1,259 this month, making it one of the best-performing technology companies. It has jumped by over 670% from its lowest point in 2022, bringing its market capitalization to over $515 billion. Let\u2019s explore why the NFLX stock has surged and what to expect.  Why Netflix stock <\/p>\n","protected":false},"author":1,"featured_media":40685,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":{"0":"post-40684","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-world"},"_links":{"self":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/40684","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/comments?post=40684"}],"version-history":[{"count":0,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/40684\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media\/40685"}],"wp:attachment":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media?parent=40684"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/categories?post=40684"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/tags?post=40684"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}