Netflix, Inc. : One could take advantage of the euphoria
Entry price | Target | Stop-loss | Potential |
---|
US$116.66 |
US$104.5 |
US$122 |
+10.42% |
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Shares in Netflix, Inc. have recently experienced substantial gains. This suggests that the timing is opportune to lock in gains prior to a likely technical correction.
Summary● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● The company has poor fundamentals for a short-term investment strategy.
Strengths● According to sales estimates from analysts polled by Thomson-Reuters, the company is among the best with regard to growth.
● The group usually releases upbeat results with huge surprise rates.
● For the last week, the earnings per share forecast has been revised upwards. According to recent estimates, analysts give a positive overview of the stock
Weaknesses● Sales estimates for the next fiscal years vary from one analyst to another. This clearly highlights a lack of visibility into the company's future activity.
● Based on current prices, the company has particularly high valuation levels.
● The company's valuation in terms of earnings multiples is rather high. Indeed, the firm is getting paid 341.31 times its estimated earnings per share for the ongoing year.
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