NFLX Netflix, Inc.

Stock NASDAQ Communication Services

US$76.41 -1.96% Latest close

Netflix, Inc. (NFLX) trend channel, buy level and 3-month target on Trade The Path. Sector: Communication Services. Listed on NASDAQ. Levels below are fitted to this ticker's own swing highs and lows (Theil–Sen, log-price), then projected 3 months. On this symbol, 7 comparable calls have settled; 57.1% reached the published sell target. Information only, not financial advice.

In the sell zone, falling on both timeframes

Price has run up to the upper trend line — the level it has repeatedly stalled at.

Read from the last 12 months of history we hold: falling, drifting −38% a year. The target of US$135.64 sits above the nearest ceiling (US$78.12), so reaching it means breaking a line this stock has repeatedly turned at. What would overturn this: a close below US$61.28 — the floor of the channel being read — after which the trend, not the entry, is what was wrong.

12 months read from
US$61.24 – US$78.12 Falling channel, −38% a year
Position in that channel
90% 0% at the floor, 100% at the ceiling

What broke this trend

The fall
-50% from US$133.9230 June 2025 → 20 July 2026
Whose problem it was
This company0 of 3 Entertainment peers fell with it
Does it resolve?
Temporary falls like it have resolved on the record
Regained so far
16%of what it lost
What the record says
66% of 687 comparable falls came back, typically in 113 days measured across every stock we hold history for, its peer group being too small

The trend broke in June 2025: price fell 50% from 133.92 to 67.58 by July 2026, and has regained 16% of that fall since. Its peers did not fall with it, so this was about the company rather than its sector. The wire that week: “Netflix (NFLX) Stock Hits A New All-Time High: What's Going On?”. Falls like it have resolved: falls of about 50% here have come back to the old high 66% of the time (687 comparable falls), typically in 113 days. On that record the fall is treated as temporary, and the trend lines are fitted to the regime it created rather than through it. Priced from that: 135.64 within 325 days, reached 66% of the time in 687 comparable falls — about 0.23% a day held.

The buy and sell prices below are priced off this recovery rather than off the channel: it is the better expected return per day held once each is charged for the odds of working.

Reported at the time: Netflix (NFLX) Stock Hits A New All-Time High: What's Going On? — 25 June 2025

Price history, with the path projected 3 months forward

US$50.0US$100.0Oct 23Mar 24Aug 24Jan 25June 25Nov 25Apr 26Sept 26 today Buy nowTarget Buy now US$77.3 · est. 16 Sept 26Our target US$135.6 · est. 7 Aug 27Revised US$93.7 · was US$135.3 · 4 Sept 26
  • Daily close
  • Upper trend line (12 months)
  • Lower trend line (12 months)
  • Dashed after today: projected 3 months
  • Our buy
  • Our target

Suggested path

Buy now

US$76.41

last close · 16 Sept 2026

Channel buy is US$77.94; last close is the better price available now.

Our target

US$135.64

by 7 Aug 2027

Projected move

77.5%

gross, before costs

Last close is our buy — the best price available now.

The trend broke in June 2025: price fell 50% from 133.92 to 67.58 by July 2026, and has regained 16% of that fall since. Its peers did not fall with it, so this was about the company rather than its sector. The wire that week: “Netflix (NFLX) Stock Hits A New All-Time High: What's Going On?”. Falls like it have resolved: falls of about 50% here have come back to the old high 66% of the time (687 comparable falls), typically in 113 days. On that record the fall is treated as temporary, and the trend lines are fitted to the regime it created rather than through it. Priced from that: 135.64 within 325 days, reached 66% of the time in 687 comparable falls — about 0.23% a day held. The entry is today's price, not a dip level: the fall is behind it and the evidence measured is what these recoveries paid from here, so waiting for a lower entry would be waiting for something the record does not say is coming. Of 687 comparable falls across every stock we hold history for, 66% were back at the old high within 113 days of the low, and the ones that got there gave up about 16% along the way — so expect to be underwater before it works. The target is the median level they regained, which is short of the old high of 133.92 because not all of them saw it again. It is a prediction and it is revised the same way any other is: if price loses its 50-day trend and stays below it, the recovery is treated as failed rather than delayed.

On this stock's own history these rules produced 7 settled calls, of which 4 reached target (57.1%), with an average best move of 12.9%. See the full record.

Upper line touches
3
Lower line touches
2
Fit confidence
36%
Fitted
16 Sept 2026

About Netflix, Inc.

Netflix, Inc. serves as a worldwide entertainment provider. Its comprehensive library features television series, motion pictures, documentaries, and mobile games, spanning numerous genres and languages. Members can effortlessly stream this content through a variety of internet-connected devices, including smart TVs, digital media players, cable boxes, and mobile phones. Furthermore, the company continues to offer a DVD-by-mail subscription service to its customers in the United States. With roughly 222 million paying subscribers distributed across 190 countries, Netflix was founded in 1997 and is headquartered in Los Gatos, California.

Sector
Communication Services
Industry
Entertainment
CEO
Theodore A. Sarandos
Employees
16,000
Country
US

https://www.netflix.com

Scorecard

Our own pillar scores, computed from the fundamentals below. They are not Morningstar ratings — that data is licensed and we do not redistribute it.

Valuation
46/100
Profitability
98/100
Financial health
66/100
Cash generation
53/100

Key statistics

Market cap
US$316.50B
Enterprise value
US$321.71B
Beta
1.53
Avg volume
39.19M
Revenue per share
11.55
Dividend yield
0.00%
52-week range
65.08-125.345
Exchange
NASDAQ

Key ratios

P/E (TTM)
23.53
PEG
0.69
Price / sales
6.54
Price / book
10.56
EV / EBITDA
10.51
Gross margin
49.12%
Operating margin
29.68%
Net margin
28.22%
Current ratio
1.14
Quick ratio
1.14
Debt / equity
0.47
Interest cover
16.94

Income statement

YearRevenueGross profitOperating incomeNet incomeEPS
2025US$45.18BUS$21.91BUS$13.33BUS$10.98BUS$2.53
2024US$39.00BUS$17.96BUS$10.42BUS$8.71BUS$1.98
2023US$33.72BUS$14.01BUS$6.95BUS$5.41BUS$1.20
2022US$31.62BUS$12.45BUS$5.63BUS$4.49BUS$1.00
2021US$29.70BUS$12.37BUS$6.19BUS$5.12BUS$1.12

Balance sheet

YearTotal assetsTotal liabilitiesTotal equity
2025US$55.60BUS$28.98BUS$26.62B
2024US$53.63BUS$28.89BUS$24.74B
2023US$48.73BUS$28.14BUS$20.59B
2022US$48.59BUS$27.82BUS$20.78B
2021US$44.58BUS$28.74BUS$15.85B

Cash flow

YearOperating cash flowFree cash flowNet income
2025US$10.15BUS$9.46BUS$10.98B
2024US$7.36BUS$6.92BUS$8.71B
2023US$7.27BUS$6.93BUS$5.41B
2022US$2.03BUS$1.62BUS$4.49B
2021US$392.61M-US$131.97MUS$5.12B

EPS forecasts

PeriodEst. EPSEst. revenueAnalysts
2025US$2.56US$45.10B22
2026US$3.60US$51.21B32
2027US$3.81US$57.01B34
2028US$4.58US$62.86B32
2029US$5.46US$68.33B29
2030US$6.46US$73.73B15

Analyst view

Target (mean)
US$91.82
Target (high)
US$119.00
Target (low)
US$75.00
Strong buy
0
Buy
63
Hold
30
Sell
6

Trend lines are fitted statistically to past swing highs and lows and projected forward on the assumption the same rhythm continues. It often does not. This is information, not advice.