Bright Rock Capital Management LLC Raises Stake in Netflix, Inc. $NFLX

Key Points

• Bright Rock Capital Management increased its Netflix stake by 50% in the third quarter, adding 50,000 shares to own 150,000 shares valued at approximately $10.4 million. Institutional investors and hedge funds collectively own 80.93% of Netflix.
• Netflix insiders sold 179,045 shares worth about $13.1 million over the past 90 days, including sales by CEO Theodore Sarandos and David Hyman to cover tax obligations from vested equity awards.
• Netflix shares traded near $66.71, close to their one-year low of $65.08 and below their 50-day and 200-day moving averages. Analysts maintained a “Moderate Buy” consensus rating with an average price target of $95.27.

Bright Rock Capital Management LLC increased its stake in shares of Netflix, Inc. (NASDAQ:NFLX - Free Report) by 50.0% in the 3rd quarter, according to its most recent 13F filing with the SEC. The firm owned 150,000 shares of the Internet television network's stock after buying an additional 50,000 shares during the period. Netflix accounts for about 2.0% of Bright Rock Capital Management LLC's portfolio, making the stock its 17th largest holding. Bright Rock Capital Management LLC's holdings in Netflix were worth $10,437,000 as of its most recent filing with the SEC.

Other institutional investors and hedge funds have also bought and sold shares of the company. Rockland Trust Co. raised its holdings in Netflix by 27.5% in the 3rd 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 period. MassMutual Private Wealth & Trust FSB increased its stake in shares of Netflix by 4.0% during the third quarter. MassMutual Private Wealth & Trust FSB now owns 44,626 shares of the Internet television network's stock worth $3,105,000 after purchasing an additional 1,715 shares during the period. Miller Global Investments LLC increased its stake in shares of Netflix by 174.0% during the third quarter. Miller Global Investments LLC now owns 1,096 shares of the Internet television network's stock worth $76,000 after purchasing an additional 696 shares during the period. Polaris Financial Partners acquired a new stake in Netflix during the 3rd quarter worth approximately $2,677,000. Finally, Boltwood Capital Management boosted its stake in Netflix by 4.2% in the 3rd quarter. Boltwood Capital Management now owns 6,929 shares of the Internet television network's stock valued at $482,000 after purchasing an additional 282 shares during the period. Institutional investors and hedge funds own 80.93% of the company's stock.

Insider Activity

In related news, CEO Theodore A. Sarandos sold 27,312 shares of the firm's stock in a transaction on Tuesday, August 4th. The stock was sold at an average price of $73.35, for a total transaction of $2,003,335.20. Following the completion of the transaction, the chief executive officer directly owned 178,954 shares of the company's stock, valued at $13,126,275.90. This trade represents a 13.24% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider David A. Hyman sold 5,723 shares of the company's stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $72.85, for a total value of $416,920.55. Following the completion of the sale, the insider owned 316,100 shares in the company, valued at $23,027,885. The trade was a 1.78% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last ninety days, insiders sold 179,045 shares of company stock valued at $13,132,194. 1.24% of the stock is currently owned by company insiders.

Netflix Price Performance

Shares of Netflix stock traded down $0.35 on Monday, reaching $66.71. 15,090,623 shares of the stock were exchanged, compared to its average volume of 42,481,574. The firm's 50 day moving average is $75.73 and its 200-day moving average is $82.16. The firm has a market cap of $277.79 billion, a PE ratio of 21.03, a P/E/G ratio of 0.95 and a beta of 1.62. Netflix, Inc. has a one year low of $65.08 and a one year high of $124.86. The company has a debt-to-equity ratio of 0.39, a quick ratio of 1.14 and a current ratio of 1.14.

Netflix (NASDAQ:NFLX - Get Free Report) last posted its quarterly earnings results on Thursday, July 16th. The Internet television network reported $0.80 EPS for the quarter, topping analysts' consensus estimates of $0.79 by $0.01. The company had revenue of $12.56 billion during the quarter, compared to analysts' expectations of $12.58 billion. Netflix had a return on equity of 40.02% and a net margin of 28.22%.Netflix's revenue was up 13.4% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.72 EPS. As a group, analysts anticipate that Netflix, Inc. will post 3.59 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

NFLX has been the topic of several recent research reports. KGI Securities cut Netflix from an "outperform" rating to a "neutral" rating and set a $75.00 price objective on the stock. in a research report on Friday, July 17th. Rothschild & Co Redburn lowered their price target on shares of Netflix from $120.00 to $93.00 and set a "buy" rating on the stock in a research report on Tuesday, July 21st. KeyCorp reiterated an "overweight" rating and issued a $92.00 price objective (down from $115.00) on shares of Netflix in a research note on Monday, July 13th. CLSA initiated coverage on shares of Netflix in a report on Monday, July 20th. They issued an "outperform" rating for the company. Finally, Stephens initiated coverage on shares of Netflix in a research report on Friday, July 17th. They set an "overweight" rating on the stock. Four research analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating, fifteen have issued a Hold rating and two have given a Sell rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $95.27.

About Netflix

Netflix, Inc NASDAQ: NFLX is a global entertainment company that operates a subscription-based streaming service. It offers a broad range of television series, films, documentaries, and other programming, including original productions developed under the Netflix brand and licensed content from third-party studios.

The company also provides advertising-supported viewing options in some markets and has expanded into related entertainment categories, including mobile and cloud-based games, live programming, and consumer products associated with selected titles.

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