Janney Capital Markets Reiterates Buy Rating on Netflix Following In-Line 3Q13 EPS Report

In a report published Tuesday, Janney Capital Markets analyst Tony Wible reiterated a Buy rating on

. In the report, Janney Capital Markets noted, “NFLX reported 3Q13 EPS of $0.52, in line with our number, but ahead of consensus $0.45. Streaming net adds continue to be the most important driver and drove the global upside - giving us incremental confidence in our TAM assumptions. The company continued to scale its operations at a rapid pace despite a more to more conservative accounting treatments and international profitability on the horizon (barring new market entries). Lastly, the company looks like it is funding growth through AP again, reducing risk of any capital raise. We are eliminating a year of discounting from our TAM analysis and now incorporate international prospects in our valuation framework, which leads us to derive our new $450 FV.” Netflix closed on Monday at $354.99.