11:12 AM EDT, 10/22/2025 (MT Newswires) -- Netflix's ( NFLX ) failure to provide a 2026 outlook as part of its Q3 financial results does not appear to signal any noticeable change in "underlying fundamentals," analysts at BofA Securities said in a Wednesday note.

The streaming giant's advertising is expected to more than double in 2025, engagement growth picked up in Q3, and the pricing environment is constructive amid pricing hikes from competitors, analysts said.

BofA said it is "notable" that Netflix ( NFLX ) did not rule out any prospective mergers and acquisitions, considering recent press reports related to its interest in Warner Bros. Discovery ( WBD ) .

BofA lowered the company's 2025 earnings estimate to $25.14 per share from $26.21. Analysts polled by FactSet expect $25.82.

"Netflix ( NFLX ) shares will be fueled by continued positive subscriber and earnings momentum in addition to evolving advertising and live opportunities," analysts said.

BofA retained a buy rating on the stock and a price target of $1,490.

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