Yahoo Finance Live’s Brian Sozzi discusses the Netflix stock pop after Wedbush upgraded the streaming platform's shares.

Video Transcript

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BRIAN SOZZI: After being wrong on-- after being wrong on Netflix for years, one of the most bearish ratings on Wall Street. Wedbush's Michael Pachter is changing his tune on the streaming giant. Pachter upgraded his rating on Netflix to outperform for market perform today. The analyst says his upgrade comes as Netflix is addressing password sharing, introducing ad tier, and spreading out its most popular content.

It's worth noting that Pachter upgraded his rating on Netflix to neutral from underperform on March 9. Netflix shares are down 45% since that upgrade after a brutal first quarter and second quarter outlook.