Netflix (NASDAQ:NFLX) Faces Potential Downside According to Barclays

• Barclays sets a price target of $1,100 for Netflix (NASDAQ:NFLX), indicating a potential downside of approximately -13.75%.
• Q2 2025 earnings are expected to show a revenue increase of 15% year-over-year, driven by price hikes and increased advertising revenue.
• Netflix's strategic focus on advertising and crackdown on password sharing are key factors expected to boost future revenue growth.

Netflix (NASDAQ:NFLX) is a leading streaming service provider known for its vast library of movies, TV shows, and original content. The company has been a pioneer in the streaming industry, competing with other giants like Amazon Prime Video and Disney+. On July 9, 2025, Kannan Venkateshwar from Barclays set a price target of $1,100 for Netflix, while the stock was trading at $1,275.31, indicating a potential downside of approximately -13.75%.

Netflix is preparing to announce its Q2 2025 earnings on July 17, 2025. Analysts expect the company to report revenues of around $11 billion, a 15% increase from the previous year. This growth is driven by recent price hikes and increased advertising revenue. Netflix raised the cost of its standard HD plan by $2.50 to $18 per month and the Premium plan to $25 per month, contributing to higher earnings per share, projected to rise to $7.06 from $4.88 last year.

The company's focus on advertising has also played a significant role in its financial performance. In April, Netflix launched its in-house ad tech platform in the U.S., enhancing its advertising capabilities and pricing realizations. This strategic move is expected to further boost revenue growth, alongside stronger subscriber numbers resulting from the company's crackdown on password sharing.

Currently, Netflix's stock price is $1,275.31, reflecting a decrease of 1.11% or $14.31. The stock has traded between $1,260 and $1,293 today. Over the past year, Netflix's stock has seen a high of $1,341.15 and a low of $587.04. The company's market capitalization is approximately $542.73 billion, with a trading volume of 3,218,285 shares on the NASDAQ exchange.