UPDATE: Morgan Stanley Assumes Coverage Of Netflix, Bullish On U.S. Business

In a note released Tuesday morning, Morgan Stanley analyst Benjamin Swinburne assumed coverage of

with an Overweight rating and a $500 price target. Looking at the company's US business, Swinburne said he is "bullish on the US" and noted Netflix has "solid visibility" on the expectations of its margin expansion over the coming years. The US is not the only region Swinburne appears to be bullish on. In terms of Netflix's international business, he see the company's total addressable market increasing to 280 million by 2020, driven by Canada, the United Kingdom and the Nordic regions. In his concluding remarks Swinburne wrote, "Given year-to-date strength, shares may reflect near-term upside, but we would be buyers on a pull back." Following the release of the note, shares of Netfilx are trading up just under one percent in Tuesday's pre-market at ~$433.30.