Bank of America (BofA) has reaffirmed its optimistic stance on Netflix (NASDAQ:NFLX), raising its price target for the streaming giant to $1,490 from a previous $1,175 in a note issued to investors on Friday. Analysts at the firm emphasized Netflix’s market leadership, continued subscriber gains, and growing momentum in advertising and live content as key reasons for their bullish outlook.
“Netflix remains uniquely positioned in the streaming space due to its unrivaled scale,” BofA analysts wrote, adding that the company’s performance this year has been powered by “consistent earnings growth, solid subscriber additions,” and investor shifts driven in part by tariff-related market dynamics.
So far in 2025, Netflix stock has gained roughly 33%. A major contributor has been the company’s expanding user base, with nearly 19 million new subscribers joining in Q4 of 2024 alone.
On the advertising side, Netflix is seeing meaningful progress. Its ad-supported subscription tier now boasts 94 million monthly active users, a sharp increase from 70 million in November 2024. BofA also pointed out that Netflix currently reaches more viewers aged 18 to 34 than any single U.S. broadcast or cable network.
The company’s in-house advertising platform is rapidly scaling, now expanding into 10 additional global markets beyond the U.S. and Canada. This expansion is backed by advances in first-party data utilization, improved measurement tools, dynamic ad insertion, and broader programmatic ad capabilities.
Looking ahead, BofA highlighted a robust content slate for the second half of 2025, describing it as a “content bonanza.” The return of fan-favorite series like Stranger Things, Squid Game, and Wednesday is expected to strengthen user retention, while fresh releases and high-profile live events—such as NFL Christmas Day matchups and boxing at Madison Square Garden—are likely to drive increased engagement with the platform’s ad-supported offerings.
With its multi-pronged growth strategy and strong content pipeline, Netflix continues to impress analysts and investors alike.