Netflix Inc (NFLX)

[The Rainmaker]

Goldman Sachs:NFLX "Netflix reported accelerating growth in subscribers (+27% yoy vs. +25% in 4Q) and revenues (+36% yoy FX-neutral vs. 31% in 4Q) on the back of a strong content slate, marketing investments, and distribution partnerships. Outperformance in the US (2.0mn net adds vs. 1.4mn in 1Q17) continues to raise the ceiling for penetration into Netflix's global addressable audience as the correlation between content investments and subscriber growth strengthens (Exhibit 3). We continue to believe that market expectations for subscriber growth and profitability both in 2018 and beyond remain too low and expect that as forecasts increase the stock will continue to outperform. We remain Buy rated and raise our 12-month target price from $360 to $390."