A stark warning from Morgan Stanley emerges as Netflix stock (NASDAQ: NFLX) crashes 9.72% following a Q2 guidance miss that erased a month of gains. The streaming giant's full-year revenue of $51.2 billion and 31.5% operating margin target both fell short of Wall Street forecasts, triggering a swift 10-point correction and shaking investor confidence in the equity.

Morgan Stanley Provides Bullish Price Target For Netflix Stock

Netflix stock plummeted to the $97 range on Friday and is down 22% in the last six months. Morgan Stanley analysts wrote in a note to clients that the strong pullback is a buying opportunity that can provide a better upside. NFLX trading below $100 is a lucrative affair, allowing traders a window of opportunity.

According to the new price prediction from Morgan Stanley. Netflix stock could reach a high of $115 next. That’s an uptick and return on investment (ROI) of approximately 18% from its current price of $97. The investment bank wrote that NFLX troubles are lukewarm and apparently could be a near-term inconvenience. The company has a compelling story, and an investment of below $100 could make traders reap the rewards.