$NFLX - Netflix’s share price has come under pressure, but its underlying business continues to grow. I find the current levels quite attractive and have sold some cash secured puts to collect some good premium as I wait. I can either keep my premium or buy Netflix at a price I like. Here’s the bullish case: 1. Revenue is still growing. Q2 2026 revenue reached $12.6 billion, up 13% year over year. 2. Profitability remains strong. Netflix delivered a 33.4% operating margin in Q2, demonstrating its ability to turn subscription revenue into operating profits. 3. Advertising is another growth opportunity. Netflix expects advertising revenue to roughly double in 2026, creating another income stream alongside subscriptions. 4. Valuation has become more interesting. At its September 25 closing price of approximately $71.14, NFLX traded around 22× trailing earnings and 27× trailing free cash flow. 5. Management continues returning capital. Netflix repurchased approximately $4.7 billion of stock during Q2. The risks: Rising content costs, intense streaming competition, slowing engagement and the possibility that future growth is already reflected in the valuation. $NFLX
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