NEW YORK (TheStreet) -- If investors needed another reason to be skeptical of Wall Street and sell-side analysts, Goldman Sachs' upgrade of Netflix (NFLX - Get Report) Tuesday from neutral to buy is yet another prime example.
TheStreet's Chris Ciaccia profiled Goldman Sachs analyst Heath Terry in "Why Goldman Sachs Thinks Netflix Is Worth $590 a Share." Terry upped his rating on the company based on essentially no additional news since the company reported first quarter earnings on April 23. He cited international expansion as the primary driver for the new rating and price target.
Where was this upgrade in April, when Netflix reported that the number of international subscribers doubled in two years' time? In fact, over those two years, growth in international streaming membership has averaged nearly 20% per quarter compared to just over 5% per quarter in the domestic streaming membership segment.
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