Netflix stock rises to new 52-week high
PHYSICAL: Analysts raise target prices after company's positive third-quarter results
By Samantha Clark -- Video Business, 10/23/2009
OCT. 23 | PHYSICAL: Netflix stock reached a new 52-week high today, after the No. 1 DVD rental company by mail reported a 48% increase in third-quarter profit yesterday.
Netflix shares hit a new 52-week high of $57.50 today, closing the session at $54.89, an 11% increase the day.
The company's stock has risen more than 20% since early September, when chief financial officer Barry McCarthy told attendees at a New York conference that Netflix's third-quarter results wouldn't “disappoint” investors.
His forecast was right, with the company's sales up 24% and subscribers broadening 28%, compared to a year earlier, to 11.1 million.
MarketWatch's David B. Wilkerson said analysts expected that the online video-streaming partnership Netflix has said it will reveal in the fourth quarter is with another videogame console, such as Sony's PlayStation 3 or Nintendo's Wii.
Oppenheimer & Co.'s Jason Helfstein kept Netflix at an outperform rating but raised his 12-month price target to $42 from $38.
Kaufman Bros. analyst Aaron Kessler raised his target price to $55 from $53.
