Wall Street Can't Keep Up with Netflix (NFLX) Momentum

Shares of Netflix, Inc. (Nasdaq: NFLX) are surging higher today following strong first quarter earnings after the close. The shares last traded at $101.81, up 17.2% on the session.

Income at Netflix surged 44 percent and the company reported earnings 59 cents per share, compared to 37 cents per share in the same quarter last year. Analysts were looking for 54 cents per share. Revenue for Netflix jumped 25 percent to $493.7 million, just ahead of the market consensus of $493 million as the company ended the quarter with almost 14 million subscribers.

The company is benefiting from lower costs as more and more users stream videos versus using DVDs.

A number of analysts raised their price targets on the stock today following the results, but the stock is basically laughing at these new targets and is already trading above most of them.

Even after a number of price target hikes today, the average price target on the Street is still only $81. The 'street high' is $114. There are 11 Buys, 16 Holds, and 7 Sells.

UBS raised their price today to $90, but left their Neutral rating due to valuation. Needham & Company, Kaufman Bros and others said basically the same thing, keeping their Hold.

FBR Capital has an Outperform rating, the equivalent of a Buy, but it too can't get ahead of the stock. The firm raised their price target today on Netflix to $100.

Canaccord Adams, another Buy, also can't get ahead of the stock. The firm lifted their price target today to $95. Analyst Jeff Rath thinks Netflix is still at the early stages of the digital transition, which will drive users and results.

Brigantine Advisors is one of the few firm's actually ahead of the stock. Today its price target moved from $105 to $114, while maintaining a Buy rating. Piper Jaffray is just barley ahead of the stock with an Overweight rating and new $104 price target.

Janney Montgomery Scott is well off the curve with a Sell rating and $47.50 fair value estimate. They said the earnings impressed but risks remains due to competition, content cost inflation, and digital risks. Webush is in the same boat with an Underperform rating and $73 price target (up from $60).

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