Netflix Falls 26% YTD as Deutsche Bank Upgrades to Buy Despite U.S. Viewing Decline

Netflix (NFLX) shares have dropped 26% year-to-date through the September 28 close, and are down 36% from their recent high of $107.79 set on April 16. Deutsche Bank analyst Bryan Kraft upgraded the stock to Buy from Hold on October 2, citing overseas engagement growth, though he cut the price target to $95 from $100. U.S. viewing minutes fell 8.6% year-over-year in the first half of 2026, while non-U.S. viewing rose 5.4%, according to the bank. Q2 revenue rose 13% year-over-year to $12.56 billion, with operating income of $4.19 billion, up 11%. Revenue grew 10% in the U.S. and Canada, 14% in EMEA, 21% in Latin America and 16% in Asia-Pacific. Not all analysts agree. HSBC downgraded Netflix, citing YouTube competition, while Wells Fargo cut it to Underweight with a $57 target. Netflix guided Q3 revenue of about $12.86 billion and EPS of 82 cents, below consensus.