Wedbush analyst Michael Pachter upgraded Netflix to Neutral from Underperform with an unchanged price target of $342. The shares have reached the analyst’s price target, which is based on a discounted cash flow valuation that models $1B of annual free cash flow growth each year through 2030. The recent share price decline reflects that Netflix investors have begun to appreciate that the company’s “long-term prognosis is as a low growth, extremely profitable enterprise,” Pachter tells investors in a research note. The analyst does not anticipate significant share price appreciation in the near-term, but says Netflix’s first mover advantage and large subscriber base provides the company with a “nearly insurmountable competitive advantage over its streaming peers.”