JPMorgan loves Netflix, predicting Tyson-Paul fight could be most watched boxing match ever

Friday could be a big day for Netflix , according to JPMorgan. The company is set to stream a boxing match between influencer Jake Paul and legend Mike Tyson from the AT & T Stadium in Texas. JPMorgan thinks the fight could be a record-breaker and bolster Netflix's ad-tier subscriptions. "We believe the Jake Paul vs. Mike Tyson fight (tomorrow night, Nov 15) could be the most watched boxing match ever given ease of access and NFLX's large global subscriber base, and it should attract Ad Tier subs, viewers, & dollars," analyst Doug Anmuth said in a Thursday note to clients. Netflix had 282.7 million subscribers through the end of the third quarter. The company also saw 35% quarter-over-quarter growth in ad-tier subscriptions. "We model Ad Tier subs of 35M at the end of 2024 & 52M by the end of 2025, which ties to 77M & 113M ... but that may prove conservative." The bout between the 27-year-old Paul and 58-year-old former heavyweight champion was originally scheduled for the summer. It was delayed due to Tyson suffering a health setback. This is also Netflix's latest foray into live sports, as it looks to grow subscribers outside of on-demand content. The company has already streamed golf and tennis events. On Christmas Day, it will stream two NFL games. "Netflix is increasingly focused on sports entertainment, events, & shoulder content, & we expect a bigger push into live sports over time, particularly as negotiating leverage shifts in NFLX's direction," Anmuth said. Netflix is a top pick for JPMorgan, rating it as overweight. Its $850 price target suggests shares can gain about 2.4% ahead. Shares have already jumped more than 70% this year, significantly outperforming the broader market. Enthusiasm around the stock has jumped since Netflix boasted a top and bottom-line beat for the third quarter last month. In that time, the stock has popped 17%. Analysts are generally bullish on the stock. LSEG data shows that, of the 48 analysts covering it, 33 rate Netflix a buy or a strong buy.