Piper Sandler analyst Thomas Champion lowered the firm’s price target on Netflix to $210 from $293 and keeps an Overweight rating on the shares. “Stranger Things 4” is now the most popular Netflix English-language TV series and second-most popular globally behind “Squid Game,” Champion tells investors in a research note. However, the analyst says Netflix’s user growth “may remain subdued” as “Top 10” hours in Q4 declined 4% quarter-over-quarter. And with the likely launch of an ad-supported tier, Champion wonders “if management is being more reactive than proactive.” While Netflix’s valuation is more attractive, it remains above streaming media peers, contends the analyst. He continues to view the company as a “business in transition.”
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