Bradford Smith Sells 35,990 Shares of Netflix (NASDAQ:NFLX) Stock

Key Points

• Netflix director Bradford Smith sold 35,990 shares on June 17 at an average price of $77.52, worth about $2.79 million. After the sale, he still held 79,690 shares, and the move was made under a pre-arranged Rule 10b5-1 plan.
• Netflix stock has been under pressure, recently trading near its 12-month low of $75.01 and well below its 50-day and 200-day moving averages. The stock also saw unusually heavy trading volume, far above its average daily volume.
• Analysts remain generally positive but cautious on NFLX, with a consensus rating of “Moderate Buy” and an average price target of $114.26. However, some recent commentary has highlighted weak near-term catalysts, valuation concerns, and softer guidance as reasons for skepticism.

Netflix, Inc. (NASDAQ:NFLX - Get Free Report) Director Bradford Smith sold 35,990 shares of the firm's stock in a transaction dated Wednesday, June 17th. The stock was sold at an average price of $77.52, for a total transaction of $2,789,944.80. Following the completion of the transaction, the director owned 79,690 shares in the company, valued at approximately $6,177,568.80. The trade was a 31.11% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Netflix Stock Performance

Shares of NASDAQ:NFLX traded up $0.42 during trading on Thursday, reaching $77.38. 89,929,983 shares of the company's stock traded hands, compared to its average volume of 44,708,344. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.41 and a quick ratio of 1.41. Netflix, Inc. has a 12 month low of $75.01 and a 12 month high of $134.12. The company has a 50 day moving average of $89.75 and a 200-day moving average of $90.44. The stock has a market capitalization of $325.83 billion, a P/E ratio of 24.99, a price-to-earnings-growth ratio of 1.00 and a beta of 1.50.

Netflix (NASDAQ:NFLX - Get Free Report) last released its quarterly earnings data on Thursday, April 16th. The Internet television network reported $1.23 earnings per share for the quarter, topping the consensus estimate of $0.76 by $0.47. Netflix had a net margin of 28.52% and a return on equity of 40.92%. The firm had revenue of $12.25 billion for the quarter, compared to analyst estimates of $12.17 billion. During the same quarter in the prior year, the business earned $6.61 earnings per share. Netflix's quarterly revenue was up 16.2% on a year-over-year basis. Netflix has set its Q2 2026 guidance at 0.780-0.780 EPS. On average, equities analysts expect that Netflix, Inc. will post 3.6 EPS for the current year.

Analyst Upgrades and Downgrades

A number of brokerages recently commented on NFLX. Arete Research upgraded Netflix from a "neutral" rating to a "buy" rating in a research note on Friday, February 27th. TD Cowen restated a "buy" rating on shares of Netflix in a research report on Thursday, May 14th. Evercore started coverage on shares of Netflix in a research note on Friday, February 27th. They issued an "outperform" rating and a $115.00 price target on the stock. Barclays set a $110.00 price objective on shares of Netflix and gave the company an "equal weight" rating in a research note on Friday, April 17th. Finally, Raymond James Financial reissued a "market perform" rating on shares of Netflix in a report on Thursday, May 14th. Two analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, sixteen have given a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $114.26.

Trending Headlines about Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Some commentators argue NFLX may be at an attractive valuation after recent declines, with bullish voices pointing to Netflix’s pricing power, ad-tier growth, and a four-year low in valuation as a possible opportunity. NFLX Stock Trades At Its Cheapest Valuation In 4 Years: Shay Boloor Calls It Massive 'Opportunity'
• Positive Sentiment: Analysts still broadly view Netflix favorably overall, with one note saying the stock retains a “Moderate Buy” consensus despite recent weakness. Netflix, Inc. NASDAQ: NFLX Receives Consensus Rating of "Moderate Buy" from Analysts
• Neutral Sentiment: Merger speculation around the streaming sector has kept NFLX in the spotlight, but reports said Netflix denied interest in buying Lionsgate and appears to be watching bigger industry dealmaking rather than committing to an acquisition strategy. Lionsgate Stock Pulls Back After Netflix Denies Acquisition Interest, Erasing Some of Tuesday's 14% Surge
• Neutral Sentiment: Coverage questioning whether NFLX deserves its premium sales multiple may be limiting near-term upside, even as the company continues to grow. Is NFLX Stock Worth Buying at a Premium P/S or Should Investors Wait?
• Negative Sentiment: Citizens analysts stayed cautious on NFLX, citing the lack of meaningful near-term catalysts and an unimpressive second-quarter outlook, which adds to concerns that the stock may struggle to rebound quickly. Citizens Analyst Remains Cautious on Netflix Stock (NFLX), Cites Lack of ‘Meaningful Near-Term Catalysts’
• Negative Sentiment: Recent headlines also pointed to Netflix’s stock slide continuing, reflecting ongoing investor skepticism after the company’s softer guidance and heightened competition concerns. Netflix's stock slide is getting worse

Hedge Funds Weigh In On Netflix

Several large investors have recently made changes to their positions in NFLX. Imprint Wealth LLC bought a new position in shares of Netflix in the third quarter valued at $25,000. Bare Financial Services Inc boosted its stake in shares of Netflix by 93.3% during the 3rd quarter. Bare Financial Services Inc now owns 29 shares of the Internet television network's stock worth $35,000 after acquiring an additional 14 shares in the last quarter. Horizon Financial Services LLC boosted its stake in shares of Netflix by 480.0% during the 3rd quarter. Horizon Financial Services LLC now owns 29 shares of the Internet television network's stock worth $35,000 after acquiring an additional 24 shares in the last quarter. Redmont Wealth Advisors LLC acquired a new position in shares of Netflix in the 3rd quarter worth $36,000. Finally, Promus Capital LLC acquired a new position in shares of Netflix in the 3rd quarter worth $48,000. Institutional investors own 80.93% of the company's stock.

About Netflix

Netflix, Inc NASDAQ: NFLX is a global entertainment company that provides subscription-based streaming of films, television series, documentaries and other video content. Founded in 1997 by Reed Hastings and Marc Randolph and headquartered in Los Gatos, California, the company began as a DVD-by-mail rental service and introduced streaming video in 2007. Netflix later expanded into producing and distributing original programming, beginning notable original hits in the 2010s, and now operates a content production and distribution ecosystem alongside its licensing activity.

The company's primary product is its on-demand streaming service, which can be accessed on a wide range of internet-connected devices and delivered through a suite of apps and web platforms.

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