Netflix is among the many U.S. stocks that have plunged owing to the U.K.’s decision in favor of Brexit. Netflix’s stock is currently trading at $88, a five-month low for the stock that was the best S&P 500 stock of 2015. However, this has not affected RBC Capital analyst Mark Mahaney, who maintains his Outperform rating and $140 price target on the stock.

Netflix, Inc. Could Double In Three Years: RBC

Netflix presents a good opportunity

The RBC team conducted a quarterly survey of the key markets of the world’s largest online TV network, including the U.S., France and Germany. The team took part in two management meetings as well. After the survey and the meetings, Mahaney concluded that the company’s fundamental growth story was very much intact.

In addition, he said the worldwide consumer value proposition that subscription video on-demand service provides is attractive. Also its competitive position is progressively stronger, its management team is innovative and highly experienced, and there is a lot of material profitability potential.

Netflix posted GAAP earnings of 29 cents per share last year, and the analyst expects this metric to stand at $10 by 2020. Mahaney expects the stock to double over three years.

Will Brexit affect Netflix?

Mahaney notes that Netflix’s top line receives a contribution of 5% and 20% from the U.K. and other European markets, respectively. This means that of all the income Netflix generates from Europe, a meaningful share comes from British subscribers. The fact that the country has decided to part ways with the EU can have a significant impact on Netflix’s revenue.

The U.K. will soon hit a short-term recessionary phase, and effects will be seen on global economic growth, according to experts. Despite this, Mahaney has not lost his faith in Netflix’s domestic operations. Historical trends prove that when economic times are difficult, the customer value proposition behind the service becomes even more lucrative.

This year, Netflix launched its services in 190 new markets. The analyst believe this move has given the biggest “Greenfield Revenue Opportunity” to the company compared to other large-cap companies. If you bought Netflix stock during its IPO in May 2002, you could have earned a 7,000% return in under 15 years. Although the rise has not been steady, it is among the most dramatic success stories.

At 10:10 a.m. Eastern, Netflix shares were up 3.64% at $88.45. Year to date, the stock is down by over 24%, while in the last year, it is down by over 5%. The stock has a 42-week high of $133.27 and a 52-week low of $79.95.