12:53 PM EDT, 10/10/2024 (MT Newswires) -- Netflix ( NFLX ) will need to deliver strong Q3 financial results and guidance, after the stock gained 13% since its Q2 results, and is likely to announce a pricing increase to keep the momentum going, Oppenheimer said in a note emailed Thursday.

The streaming company is expected to extend a pricing increase announced a year ago for premium subscribers in the US, the UK and France to other regions, and implement an 8% to 15% increase to the standard plan, Oppenheimer analysts said.

A robust Q3 viewing, along with a strong Q4 content slate that includes two NFL Christmas Day games, will likely reduce churn risk, they added.

Oppenheimer raised its average revenue per membership estimates for Netflix ( NFLX ) by 2% for Q4 and full-year 2025 and 2026 to reflect the anticipated price increase. It also increased earnings per share projections for those periods by 3%.

The firm lifted its price target for the stock to $775 from $725, while maintaining an outperform rating.

Price: 731.60, Change: +4.17, Percent Change: +0.57