Goldman slashes rating on Netflix and eBay to sell on caution around U.S. consumer
In a note on the internet sector, Goldman Sachs downgraded several stocks, moving Netflix
NFLX,
eBay
EBAY,
Roblox
RBLX,
and Frontdoor
FTDR,
to sell from neutral and GoodRx Holdings
GDRX,
to neutral from buy. Analysts led by Eric Sheridan say they have concerns around the impact of a consumer recession and heightened levels of competition on Netflix, say there are increasing concerns about the post-pandemic environment for Roblox, see eBay’s forward GMV and revenue growth at risk, and believe the investor debates around inflation in the home services space to remain a headwind for Frontdoor. More broadly, the analysts say there have been a number of data points that give it increased caution around the U.S. consumer and overall macroeconomic environment.
