“We are upgrading shares of Netflix to Buy. With signs of stabilization in the subscriber base emerging, we believe the prospect of a prolonged period of subscriber losses is becoming increasingly unlikely. Investor focus can now appropriately shift to the viability of Netflix’s growth initiatives, including monetizing password sharing and the introduction of ad-supported tiers, both of which will be introduced next year. To reinvigorate growth, Netflix will need to solve its affordability issues in emerging markets and increase monetization in relatively mature markets. The company has a number of increasingly defined levers to solve these issues, with a proven management team and improving FCF dynamics. We see numerous potential catalysts over a multi-year period as management realigns the business for its next phase of growth. With shares trading after hours for 22.6x 2022E EPS, we believe valuation is compelling for a dominant business with considerable optionality ahead." PT Raised to $250