NEW YORK (TheStreet) -- Shares of Netflix Inc (NFLX) are gaining, up 3.16% to $572.44 in early market trading Tuesday, after analysts at Bank of America/Merrill Lynch upgraded the video streaming company by two notches to "buy" from "underperform" this morning.
The firm also more than doubled its price target to $722 from $350.
BofA/Merrill analysts said Netflix has a strong portfolio of original content that attracts new and returning subscribers.
The firm expects the growing content to fuel an "enormous" international opportunity.
Netflix is an Internet television network that allows users to play, pause and resume watching content, with more than 44 million members in 40 countries. The company is based in Los Gatos, Calif.
Separately, TheStreet Ratings team rates NETFLIX INC as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
"We rate NETFLIX INC (NFLX) a HOLD. The primary factors that have impacted our rating are mixed, some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, expanding profit margins and notable return on equity. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income, generally higher debt management risk and premium valuation."
Highlights from the analysis by TheStreet Ratings Team goes as follows: