Netflix price target lowered to $460 from $500 at Wells Fargo

Wells Fargo lowered the firm’s price target on Netflix to $460 from $500 and keeps an Overweight rating on the shares. The company will be investing in advertising technology and content, which will reduce margin expansion but also accelerate revenue, the analyst tells investors in a research note. The firm has below-Street estimate for the upcoming Q4 guidance, but says it is “patient buyers” of the shares. Wells says Netflix’s challenge is to take ad share from media companies that have sports, non-sports, streaming, and are “deeply embedded” with brands. It is negative on the Q4 guide but positive on the company’s long-term growth.