Netflix stock nears $1,050 after earnings beat spurs bullish momentum
The company posted 7.2% year-over-year EPS growth.
Netflix Inc. (NASDAQ: NFLX) is trading at $1,049.59 as of April 24, 2025, marking a 0.9% increase over the past 24 hours.
This continued strength follows a sharp rebound from March lows and underscores growing investor confidence following the company’s robust Q1 earnings release.
From a technical standpoint, Netflix has convincingly broken out of a descending channel that had persisted since mid-February. The stock had corrected approximately 23% from its earlier 2025 highs, finding critical support around the $821 level. This support aligned closely with the 50-week simple moving average (SMA), a historically significant technical indicator. The subsequent rally has pushed the stock above its 20-day and 50-day SMAs, both of which are now trending upward, reinforcing the view that the downtrend has reversed.
Momentum indicators are confirming the bullish sentiment. The Relative Strength Index (RSI) has climbed above 60, approaching the overbought threshold but still with room to move higher. The Moving Average Convergence Divergence (MACD) is positive and widening, suggesting building upside pressure.
NFLX stock price dynamics (February 2025 - April 2025). Source: TradingView.
Immediate resistance stands at $1,065, which represents the previous high from February. A sustained breakout above this level would signal a continuation of the rally and open the path toward the $1,300 mark. On the downside, support is firm at $821. A breakdown below this level would invalidate the bullish scenario and potentially send the stock toward $697, the swing high seen in mid-2024.
Strong earnings and growth catalysts support rally
The current rally in Netflix shares is underpinned by a strong Q1 2025 earnings performance that exceeded Wall Street expectations. The company posted 7.2% year-over-year EPS growth, bolstered by price hikes across several subscription tiers and the rapid expansion of its advertising business. Ad-tier subscribers grew significantly, reflecting a successful strategy to capture cost-sensitive viewers while boosting revenue through ad monetization.
Analysts have responded positively to the report, with several upgrading their price targets. JPMorgan reiterated its bullish stance, citing Netflix’s operational discipline, global reach, and the potential for $1 trillion market capitalization by 2030. Management’s goal to double revenue over the coming years is supported by a mix of content innovation, international expansion, and new monetization streams.
Another area of focus for investors is Netflix’s entry into live sports and event programming, which is expected to drive subscriber engagement and reduce churn. These initiatives, combined with robust content output and the long-term stickiness of the platform, have helped Netflix distance itself from other members of the so-called “Magnificent Seven,” many of whom are facing macroeconomic headwinds and valuation pressures.
Breakout sets sights on $1,300, but risk remains below $821
Looking ahead, if Netflix can sustain momentum and break cleanly above the $1,065 resistance, the next major target lies at $1,300. This level represents a natural extension of the prior trend and is in line with bullish projections from institutional analysts. From its current price, this would mark a gain of approximately 24%.
However, traders should remain vigilant. If broader market conditions deteriorate or if Netflix fails to hold support at $821, a return to bearish territory could be swift, with potential downside toward $697. That said, the prevailing technical and fundamental signals lean clearly toward continued bullish action.
Meanwhile, Nvidia (NASDAQ: NVDA) is trading at $102.71, marking a 3.8% gain over the past 24 hours. Despite the rebound, the stock remains in a bearish trend, trading below both its 50-day and 200-day SMAs of $117.41 and $126.04, respectively.
