Netflix, Inc. (NASDAQ:NFLX) shares could see a correction of upto 15% after the earnings release next week, which would trigger a buy opportunity for the investors, according to the Stifel analysts. Despite the expected selloff, Stifel has assigned a Buy rating to the stock owing to the company’s global expansion efforts.

Positive risk to reward ratio for Netflix investors

Analyst Scott. W. Devitt note that the company would miss on the subscriber estimates, which will bring down the shares by another 10%-15%, and will probably increase investor’s perception and discussion of competitive risk. Devitt added, “there is a positive risk-to-reward ratio at this time given reset expectations, an exciting content cycle for 2015, and international growth opportunities.”

According to the report, Netflix, Inc. (NASDAQ:NFLX) should increase its subscriber base by 1.8 million last quarter, which is lesser than a 2.3 million in the corresponding quarter of the previous year. International additions are estimated to come at 2.1 million. Stifel estimates are similar to the consensus expectations for a total of 57.1 million subscribers by the end of the last year.

International subscribers to surpass domestic ones

Stifel noted that the streaming company is shifting its focus from the high penetrated, profitable and domestic streaming business to the new avenues, hoping to add International subscribers. Investors have taken keen interest in the domestic and International subscribers’ net additions over the past few quarters, but the company has failed to perform.

Netflix, Inc. (NASDAQ:NFLX) aggressively expanded in the United States in 2010, and currently the company is making its way in Western Europe. By March, it is expected to launch in Australia and New Zealand. By expanding into the new regions Netflix could gain 46 million users from the 325 million in total in areas with a Netflix presence, according to Devitt.

Further, Devitt expect international subscribers to overtake domestic subscribers in six years. As of now, the company boasts of having over 53 million subscribers in early 50 countries.

Netflix, Inc. (NASDAQ:NFLX) is a Buy according to Stifel, who previously assigned Hold rating to the stock maintaining its price target of $380. The price target is 17% higher than the Tuesday’s close of $323.79.