10 Best Quality Stocks to Buy Before 2026

​5. Netflix, Inc. (NASDAQ:NFLX)

Analyst Upside Potential: 41.71%

Number of Hedge Fund Holders: 154

​Netflix, Inc. (NASDAQ:NFLX) is one of the Best Quality Stocks to Buy Before 2026. Netflix, Inc. (NASDAQ:NFLX) has been all over the news after the company announced on December 5 announced to acquire Warner Bros in a deal valued at $82.7 billion. To talk about this, Kevin Simpson, CEO and Founder of Capital Wealth Planning, appeared on a CNBC television interview on December 5.

​Simpson noted that despite the stock price staying low, the deal represents huge value for the company. He highlighted that trimming Netflix, Inc. (NASDAQ:NFLX) at this point would be a mistake, as this deal represents the second-largest merger/acquisition in the post pandemic period internationally. Simpson highlighted that the deal can easily take over a year to start showing results for Netflix. Moreover, Simpson likes the prospective value of this deal for the company and also the efforts of the management in not only winning the bid but also keeping the competitors out.

​Other research firms have mixed views on the deal. On December 5, Huber Research downgraded the stock from Neutral to Underweight with a $102.82 price target. The firm noted that they had been overweight on the stock for over the past 10 years; however, they are stepping aside. The firm added that the company has been very successful over the last 15 years in developing its own content and has stayed away from doing sizable deals such as the recent Warner Bros deal. Huber Research noted they did not see the need to change what had been working for Netflix, Inc. (NASDAQ:NFLX).

​On the other hand, Baird also released a note on the same day, noting that they understand the initial investor hesitation as the company deviates from its historical approach. However, the firm sees long-term benefits of this deal, which will eventually surpass the near-term risks.

​Netflix Inc. (NASDAQ:NFLX) provides entertainment services and offers TV series, documentaries, feature films, and games across various genres and languages.