Callan Family Office LLC Acquires New Position in Netflix, Inc. $NFLX

Key Points

• Callan Family Office LLC acquired 295,587 Netflix shares during the second quarter, valued at approximately $21.1 million. Institutional investors collectively own 80.93% of Netflix’s outstanding stock.
• Netflix shares opened at $79.59, with the stock down 0.7% and trading below its 200-day moving average. The company recently reported quarterly EPS of $0.80, slightly above estimates, while revenue rose 13.4% year over year to $12.56 billion.
• Analysts maintain a generally positive outlook, with Netflix carrying a “Moderate Buy” consensus rating and an average price target of $103.48. However, company insiders have sold more than 600,000 shares worth approximately $49.1 million over the past three months.

Callan Family Office LLC purchased a new stake in shares of Netflix, Inc. (NASDAQ:NFLX - Free Report) in the second quarter, according to its most recent filing with the SEC. The firm purchased 295,587 shares of the Internet television network's stock, valued at approximately $21,105,000.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Expressive Wealth LLC acquired a new stake in Netflix in the 2nd quarter valued at about $391,000. Gambit Capital Management LLC acquired a new position in Netflix during the second quarter worth about $346,000. Fund Advisors of America Inc FL acquired a new position in Netflix during the second quarter worth about $986,000. G2 Capital Management LLC OH acquired a new position in Netflix during the second quarter worth about $751,000. Finally, Manhattan West Asset Management LLC purchased a new stake in shares of Netflix in the second quarter valued at about $3,877,000. Institutional investors and hedge funds own 80.93% of the company's stock.

Netflix Stock Down 0.7%

NFLX opened at $79.59 on Friday. Netflix, Inc. has a 12 month low of $65.08 and a 12 month high of $126.71. The business has a 50-day moving average of $74.39 and a two-hundred day moving average of $84.34. The stock has a market capitalization of $331.41 billion, a price-to-earnings ratio of 25.05, a price-to-earnings-growth ratio of 1.01 and a beta of 1.52. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.14 and a quick ratio of 1.14.

Netflix (NASDAQ:NFLX - Get Free Report) last released its quarterly earnings data 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 business had revenue of $12.56 billion during the quarter, compared to the consensus estimate of $12.58 billion. Netflix had a return on equity of 40.02% and a net margin of 28.22%.The business's revenue for the quarter was up 13.4% on a year-over-year basis. During the same period in the prior year, the firm posted $0.72 EPS. On average, research analysts expect that Netflix, Inc. will post 3.59 earnings per share for the current year.

Key Headlines Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix continues to grow faster than many streaming rivals, and its lower valuation after the selloff could provide significant upside if revenue, advertising and engagement trends remain strong. A valuation model described the current setup as potentially asymmetric in investors’ favor. Netflix Is Down 40% From Its All-Time High Could Netflix Stock Double From Here?
• Positive Sentiment: JPMorgan analyst Doug Anmuth maintained an Overweight rating and an $85 price target, citing Netflix’s content pipeline and multiple initiatives to support engagement and revenue growth. The view suggests potential upside from current levels, although the analyst sees no single catalyst guaranteeing acceleration. Netflix Has No Single Silver Bullet
• Positive Sentiment: Netflix’s advertising-supported tier and broad content offering could make the company relatively resilient during a recession, as consumers may retain lower-cost entertainment subscriptions even amid economic pressure. Which Streaming Stock Would Hold Up Better in a Recession?
• Neutral Sentiment: Representatives for Meghan of Sussex reportedly held exploratory discussions about a possible role in a third season of The Gentlemen. Netflix has not ordered the season, so the potential casting has no immediate financial impact. Meghan of Sussex Eyes Role in Netflix Show The Gentlemen
• Negative Sentiment: With Netflix no longer emphasizing subscriber numbers, investors must rely more heavily on revenue growth, advertising performance, engagement and profitability metrics. That makes it harder to assess momentum and contributes to debate over whether the stock’s decline reflects a bargain or slowing growth. Netflix Is Down 40% From Its All-Time High
• Negative Sentiment: YouTube is reportedly offering creators substantial payments and warning that simultaneous Netflix deals could jeopardize marketing support and brand-campaign revenue. This could intensify competition for exclusive content and creator attention. YouTube Offers Creators Millions to Avoid Netflix Deals

Insider Buying and Selling

In other Netflix news, CEO Gregory K. Peters sold 27,312 shares of the stock in a transaction that occurred on Thursday, August 6th. The shares were sold at an average price of $73.54, for a total value of $2,008,524.48. Following the completion of the sale, the chief executive officer owned 120,931 shares of the company's stock, valued at $8,893,265.74. This trade represents a 18.42% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Spencer Adam Neumann sold 9,248 shares of the firm's stock in a transaction dated Monday, August 10th. The shares were sold at an average price of $75.79, for a total value of $700,905.92. Following the sale, the chief financial officer owned 73,787 shares of the company's stock, valued at $5,592,316.73. This represents a 11.14% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 600,295 shares of company stock valued at $49,056,671 over the last three months. Company insiders own 1.24% of the company's stock.

Wall Street Analysts Forecast Growth

Several analysts have recently commented on the stock. TD Cowen lowered their price target on shares of Netflix from $112.00 to $100.00 and set a "buy" rating on the stock in a research report on Friday, July 17th. Weiss Ratings downgraded Netflix from a "hold (c+)" rating to a "hold (c)" rating in a research report on Friday, June 26th. Robert W. Baird set a $90.00 target price on Netflix and gave the company an "outperform" rating in a research note on Wednesday, July 22nd. Piper Sandler reiterated an "overweight" rating and set a $85.00 target price (down from $115.00) on shares of Netflix in a report on Friday, July 17th. Finally, Stephens assumed coverage on Netflix in a research report on Friday, July 17th. They set an "overweight" rating for the company. Four analysts have rated the stock with a Strong Buy rating, thirty-three have given a Buy rating, seventeen have issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, Netflix presently has a consensus rating of "Moderate Buy" and a consensus target price of $103.48.

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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