New York, March 12, 2026, 17:10 EDT
- Netflix slipped 0.6% to $94.31, as the Nasdaq dropped 1.8% amid a broader selloff driven by a sharp jump in oil prices.
- Argus dropped its Netflix price target to $110 from $141 on Thursday. A day before, Evercore ISI reaffirmed its Outperform rating and stuck with a $115 target.
- After walking away from the Warner Bros deal—collecting a $2.8 billion breakup fee in the process—the company is refocusing on organic growth, stock buybacks, and ramping up efforts in advertising and content.
Netflix Inc. slipped 0.6% to $94.31 on Thursday, weighed down by another price-target cut and a wider dip across Wall Street. The streaming giant’s next moves are in focus after it scrapped plans for a Warner Bros. deal.
This suddenly matters, as Netflix has spent the past two weeks getting investors to refocus on its main business. After backing out of the Warner deal, it pocketed a $2.8 billion breakup fee, announced a return to share buybacks, and committed roughly $20 billion to content—films and series—this year.
Market sentiment was sour. The Nasdaq slid 1.8% with oil jumping higher as conflict with Iran flared. Media stocks slipped too: Disney lost 1.5%, Warner Bros Discovery shed 1.3%, and Paramount Skydance was off 1.4%.
Argus analyst Joseph Bonner trimmed his 12-month price target on Netflix to $110 from $141 this Thursday, sticking with his Buy rating. According to Argus, the abandoned Warner deal has dragged on the stock. Still, the firm pointed out that Netflix’s cheaper, ad-supported tier is picking up steam, and live events could boost the company’s ad revenue.
Evercore ISI stuck with its Outperform rating and $115 price target following survey research in the U.S. and Japan. Analyst Mark Mahaney described Netflix as a “high-quality asset in global streaming,” calling the stock “reasonably attractive” at current levels. StreetInsider.com
Netflix echoed this sentiment after stepping away from the Warner auction. In their Feb. 26 statement, co-CEOs Ted Sarandos and Greg Peters called the deal “no longer financially attractive” and emphasized that the company remains “healthy, strong and growing organically.” Netflix
Paramount ended up wiring the $2.8 billion breakup fee for Warner, according to a filing with the Securities and Exchange Commission, after Warner called off the merger agreement. Investors, Reuters noted, appeared to cheer Netflix’s decision to bow out of the bidding, reading it as a disciplined move in a market rattled by months of deal nerves.
Netflix in January posted fourth-quarter revenue of $12.1 billion, with paid subscriptions climbing to 325 million. The company also told investors its ad revenue is on track to hit around $3 billion this year, nearly double the prior figure. Analysts remain bullish, pointing to growth in Netflix’s lower-priced ad-supported tier as a key factor.
Competition is still on the field. Disney is holding strong as a key challenger, and Paramount’s planned tie-up with Warner could reshape the landscape—if regulators give them the nod. This week, Evercore made the case that Netflix keeps its edge, thanks to its size, broad slate of premium content, local-language programming, plus ad-supported, live, and gaming options.
Risks haven’t faded. Growth stock valuations could take a hit if markets soften and oil edges higher. Netflix is setting aside close to $20 billion for content this year—a hefty outlay that puts pressure on its advertising push, live events, and pricing to drive margins up.
