Stock in Netflix has been flirting with an all-time highs this week.

Investors are bullish about the company’s prospects overseas; Netflix plans to expand into European markets in September.

“International expansion has been a core part of Netflix strategy,” says Andy Liu, director at Standard & Poor.

But others believe the stock is overvalued.

Michael Pachter is a research analyst at Wedbush Securities. He anticipates that expanding into new international markets will be expensive.

“Each country requires separate technology spending. Each country requires a separate content deal,” says Pachter.