Analysts: Netflix Faces Stronger Competition and 3 More Research Notes to Read Through
Netflix (NASDAQ:NFLX): After media outlets reported that Sony (NYSE:SNE) reached a preliminary deal to offer Viacom (NYSE:VIAB) content on an Internet TV service, Bernstein thinks the move by Sony could increase Netflix’s competition. The firm believes Sony’s content may eventually become as good or better than Netflix’s offerings, and it keeps an Underperform rating on Netflix.
GameStop (NYSE:GME): Ascendiant has raised its price target for GameStop to $56 from $46 ahead of the company’s second-quarter results on Thursday. The firm expects the results to meet the low end of guidance amid weak industry sales but thinks GameStop will maintains its outlook for the year. Ascendiant keeps a Buy rating on the stock, citing an attractive valuation and strong cash flow generation.
Kohl’s (NYSE:KSS): After Kohl’s reported in-line results and lowered its guidance, BMO Capital was nevertheless encouraged by the early response to the company’s back-to-school offerings and the sequential improvement in its gross margin trends. The firm reiterates an Outperform rating on the stock.
Alcoa (NYSE:AA): Bank of America/Merrill Lynch has downgraded Alcoa to Underperform from Neutral due to lower aluminum price forecasts and cut its 2014 earnings per share estimate to 20 cents, well below the consensus of 51 cents. The price target is $8.