Netflix Stock Stalled as Analyst Voices Valuation Concerns

Streaming favorite Netflix Inc (NASDAQ:NFLX) is down 1.1% to trade at $1,291.57, after suffering a downgrade to "neutral" from "buy" at Seaport Research Partners. The brokerage said it fears that Netflix's long-term valuation has limited growth potential, specifically with its advertising and new project launches. 

Netflix stock has been on a tear up the charts since mid-2022, with the most recent climb aided by the ascending 20-day moving average. The equity has added 45% in 2025 and tapped a fresh record high of $1,341.15 on June 30. 

The vault up the charts has NFLX's 14-Day Relative Strength Index (RSI) closing last week at 71, on the cusp of "overbought" territory, and a partial catalyst if today's price action takes a turn for the worst.

Options traders have been growing into puts. The equity's 50-day put/call volume ratio of 0.87 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), ranks higher than 98% of readings from the past year. So while calls still outflank puts on an absolute basis, the high percentile indicates the rate of put buying is picking up relative to the last 12 months.