Netflix shares powered to another new all-time record high Wednesday, climbing more than 3% in morning trading, after a prominent Wall Street analyst significantly raised the price target on the stock.
The stock (NFLX) was trading at $375.24 per share as of 11:45 a.m. ET.
Netflix shares are up more than 95% year to date, and the company’s market capitalization recently surpassed Disney’s.
The movement was driven by Goldman Sachs’ Heath Terry raising his price target on Netflix stock to $490 per share — up from $390 previously, and the highest among Wall Street analysts who cover the company.
“We believe the growing content offering and expanding distribution ecosystem will continue to drive subscriber growth above consensus expectations,” Terry wrote in the note. He added, “While our target multiple represents a clear premium relative to the sector, we believe it largely reflects Netflix’s long-term subscriber and margin potential.”
The dizzying rise of Netflix’s shares is separate from the event that’s spurring the rise of media stocks: The ruling approving the AT&T-Time Warner merger, in a defeat to the Trump administration’s Justice Department antitrust case.
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