Netflix shares soared by some 9.3% in value in Wednesday’s trading.
Why? While news of password sharing crackdowns excited some shareholders, it was likely the upgrade of the company’s stock by one financial advisory house that sparked the OTT giant on Wall Street.
Netflix stock finished the day at $245.20, a $20.84 rise from Tuesday’s close on the Nasdaq.
The jump erases declines seen since August 18 for Netflix.
With a 1-year target estimate for NFLX at $241.49, what sparked investors? Atlantic Equities just raised its rating on the issue to “Overweight” from “Neutral.” Why? Upside in Netflix’s upcoming ad-supported tier excites the investment house.
Investors apparently agree. Trading volume hit 17.5 million shares, on average volume of 9.86 million shares.
Meanwhile, Netflix announced plans to limit password sharing, Yahoo! Finance reports.
