Netflix Inc. shares fell 4.5% in premarket trade Monday, after Baird Equity Research downgraded the stock to neutral and said risk-reward is balanced following its recent strength. The stock gained about 140% in 2015 to lead the S&P 500 gainers. Baird analysts said they expect weak U.S. subscriber results for a second straight quarter based on results of a subscriber survey. While international results are expected to beat, "much of that is priced in," they wrote in a note. Baird is lowering its price target to $115 from $128. The stock closed Thursday at $114.38. "While we remain positive on the company's positioning and long-term growth prospects, key risks include international execution, content costs, and rising competition," said the note.
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