Jefferies starts Netflix at Buy, lays out three reasons to own

Jefferies analyst Alex Giaimo initiated coverage of Netflix with a Buy rating and $520 price target, citing three reasons he sees for owning the stock. He argues that the company’s addressable market is “vastly underappreciated,” that its improving margins give it a path toward sustainable free cash flow and that the company has a “proven ability to create value” in the current changing landscape. Giaimo sees a path toward continued double-digit subscriber growth through 2023, forecasting Netflix can reach 285M subscriber by then, he tells investors.