Investing.com - The slump in Netflix (NASDAQ:NFLX) shares after the video streaming company missed analysts' earnings expectations makes the company a buy, according to several Wall Street firms.
JP Morgan, for one, said the earnings miss may be "disappointing," but does not reflect a "fundamental change to the Netflix story."
And that makes the stock's pullback "a compelling buying opportunity."
JP Morgan even raised its stock price target from $385 to $415 a share.
GBH Insights called the stock decline a "knee-jerk reaction," and said investors should be buyers on the "weakness." The firm maintained its $500 price target.
Stifel actually upgraded its rating to buy after the earnings results, saying it still expects Netflix to double the numbers of subscribers in the next five to 10 years.
Bank of America (NYSE:BAC) said the second-quarter results are "not a sign growth is slowing overall," and that Netflix "never" misses earnings expectations two quarters in a row.