42,509 Netflix, Inc. $NFLX Shares Sold by Nisa Investment Advisors LLC

Key Points

• Nisa Investment Advisors reduced its Netflix stake by 3.2%, selling 42,509 shares and retaining 1.28 million shares valued at approximately $88.9 million. Institutional investors collectively own 80.93% of the company.
• Netflix beat third-quarter earnings expectations, with EPS of $0.87 and revenue of $12.87 billion, but issued a weaker fourth-quarter outlook and lowered its 2026 advertising-revenue and free-cash-flow forecasts.
• Analyst sentiment remains broadly positive, with a “Moderate Buy” consensus and an average price target of $93.38, although some analysts have recently cut targets or downgraded the stock.

Nisa Investment Advisors LLC trimmed its stake in Netflix, Inc. (NASDAQ:NFLX - Free Report) by 3.2% in the 3rd quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 1,278,290 shares of the Internet television network's stock after selling 42,509 shares during the period. Nisa Investment Advisors LLC's holdings in Netflix were worth $88,943,000 at the end of the most recent quarter.

A number of other hedge funds have also recently made changes to their positions in the stock. Nykredit A S bought a new position in shares of Netflix during the 2nd quarter worth approximately $105,697,000. Rockland Trust Co. lifted its position in Netflix by 27.5% during the third quarter. Rockland Trust Co. now owns 219,221 shares of the Internet television network's stock valued at $15,253,000 after acquiring an additional 47,339 shares during the last quarter. Ritholtz Wealth Management lifted its position in Netflix by 25.0% during the first quarter. Ritholtz Wealth Management now owns 106,451 shares of the Internet television network's stock valued at $10,235,000 after acquiring an additional 21,260 shares during the last quarter. Welch & Forbes LLC boosted its stake in Netflix by 3,464.5% in the first quarter. Welch & Forbes LLC now owns 118,448 shares of the Internet television network's stock valued at $11,389,000 after acquiring an additional 115,125 shares in the last quarter. Finally, USS Investment Management Ltd boosted its stake in Netflix by 31.8% in the first quarter. USS Investment Management Ltd now owns 886,527 shares of the Internet television network's stock valued at $85,244,000 after acquiring an additional 213,972 shares in the last quarter. 80.93% of the stock is currently owned by hedge funds and other institutional investors.

Netflix News Roundup

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix exceeded third-quarter profit expectations, reporting diluted EPS of $0.87 versus the $0.82 consensus estimate. Revenue reached $12.87 billion, operating income rose 37% year over year to $4.46 billion, and operating margin expanded to 34.6%. Netflix Q3 earnings beat
• Positive Sentiment: Management cited pricing power, controlled churn and strong profitability, while Netflix repurchased approximately $4.8 billion of stock during the quarter. These factors support earnings per share and shareholder returns. Netflix Q3 financial results
• Positive Sentiment: Some analysts view the sharp decline in the stock and its valuation as creating an attractive entry point if management can restore viewership growth and improve content execution. Netflix is cheap again
• Neutral Sentiment: Netflix is cutting roughly 1,000 jobs and reorganizing its creative leadership, including changes involving film and content executives. Co-CEO Greg Peters described the layoffs as a difficult tradeoff intended to redirect investment toward longer-term growth, but the restructuring may create near-term execution risk. Netflix layoffs and long-term growth
• Negative Sentiment: The main pressure on NFLX is its fourth-quarter outlook: revenue is projected at approximately $13.4 billion, below Wall Street expectations, with operating margin expected to fall to 26% as restructuring costs weigh on results. Netflix weak fourth-quarter forecast
• Negative Sentiment: Netflix reduced its 2026 advertising-revenue forecast to approximately $2.7 billion from $3 billion because advertising-product rollouts are progressing more slowly than expected. The shortfall undermines a key growth narrative. Netflix cuts advertising forecast
• Negative Sentiment: Revenue growth is expected to slow for a fourth consecutive quarter, while stagnant viewership—particularly in the United States and Canada—and intensifying competition are raising concerns about Netflix’s ability to keep audiences engaged. Netflix viewership and competition concerns
• Negative Sentiment: The company also lowered its 2026 free-cash-flow outlook to about $12 billion from $12.5 billion, adding to investor concerns that forward momentum is weakening despite the quarterly earnings beat.

Wall Street Analysts Forecast Growth

Several equities analysts have issued reports on NFLX shares. The Goldman Sachs Group reaffirmed a "buy" rating and issued a $90.00 price target on shares of Netflix in a report on Tuesday, October 6th. Robert W. Baird set a $90.00 price objective on Netflix and gave the company an "outperform" rating in a report on Wednesday, July 22nd. Stephens started coverage on Netflix in a research report on Friday, July 17th. They issued an "overweight" rating for the company. Wedbush lowered their price objective on Netflix from $105.00 to $90.00 and set an "outperform" rating for the company in a research report on Friday, October 16th. Finally, HSBC downgraded Netflix from a "buy" rating to a "hold" rating and dropped their target price for the stock from $96.00 to $76.00 in a research note on Tuesday, September 22nd. Three investment analysts have rated the stock with a Strong Buy rating, thirty-five have given a Buy rating, sixteen have issued a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $93.38.

Insider Activity at Netflix

In other news, insider David A. Hyman sold 5,723 shares of the stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $72.85, for a total value of $416,920.55. Following the transaction, the insider directly owned 316,100 shares of the company's stock, valued at approximately $23,027,885. This represents a 1.78% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Gregory K. Peters sold 27,312 shares of the firm's stock in a transaction dated Thursday, August 6th. The stock was sold at an average price of $73.54, for a total value of $2,008,524.48. Following the completion of the transaction, the chief executive officer owned 120,931 shares of the company's stock, valued at approximately $8,893,265.74. The trade was a 18.42% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 179,045 shares of company stock worth $13,132,194 in the last quarter. 1.24% of the stock is owned by insiders.

Netflix Trading Down 1.7%

NASDAQ:NFLX opened at $68.69 on Wednesday. The company has a market capitalization of $286.02 billion, a P/E ratio of 21.62, a PEG ratio of 0.99 and a beta of 1.62. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 0.39. Netflix, Inc. has a 12 month low of $65.08 and a 12 month high of $124.86. The firm has a fifty day simple moving average of $74.92 and a 200-day simple moving average of $80.20.

Netflix (NASDAQ:NFLX - Get Free Report) last released its earnings results on Tuesday, October 20th. The Internet television network reported $0.87 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.82 by $0.05. The firm had revenue of $12.87 billion for the quarter, compared to the consensus estimate of $12.87 billion. Netflix had a return on equity of 40.02% and a net margin of 28.22%. The firm's revenue was up 11.9% on a year-over-year basis. During the same period in the prior year, the firm earned $0.59 EPS. On average, equities research analysts anticipate that Netflix, Inc. will post 3.59 earnings per share for the current year.

About Netflix

Netflix, Inc NASDAQ: NFLX is a global entertainment company that provides subscription-based streaming services. Its platform offers a broad selection of television series, films, documentaries, stand-up specials and other programming, including content produced by Netflix and licensed from third-party studios and creators.

The company also develops and distributes original productions under the Netflix brand and has expanded into additional entertainment offerings, including mobile and cloud-based games in select markets and live programming.

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