Covenant Partners LLC Acquires 11,461 Shares of Netflix, Inc. $NFLX

Key Points

• Covenant Partners LLC boosted its Netflix stake by 903.2% in Q4, buying an additional 11,461 shares to hold 12,730 shares valued at about $1.194M.
• Netflix beat Q1 estimates (GAAP EPS $1.23, revenue $12.25B) but issued disappointing Q2 guidance and announced that Reed Hastings will not stand for re‑election, contributing to a market selloff that left the stock down about 9.7%.
• Insiders have been net sellers recently, offloading 1,487,794 shares (~$136.3M) in the past three months, including Director Reed Hastings' sale of 420,550 shares executed under a Rule 10b5‑1 plan.

Covenant Partners LLC raised its holdings in shares of Netflix, Inc. (NASDAQ:NFLX - Free Report) by 903.2% during the fourth quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 12,730 shares of the Internet television network's stock after acquiring an additional 11,461 shares during the quarter. Covenant Partners LLC's holdings in Netflix were worth $1,194,000 as of its most recent SEC filing.

A number of other institutional investors have also recently made changes to their positions in NFLX. First Financial Corp IN grew its position in shares of Netflix by 900.0% during the fourth quarter. First Financial Corp IN now owns 270 shares of the Internet television network's stock valued at $25,000 after purchasing an additional 243 shares in the last quarter. DiNuzzo Private Wealth Inc. grew its position in shares of Netflix by 885.2% during the fourth quarter. DiNuzzo Private Wealth Inc. now owns 266 shares of the Internet television network's stock valued at $25,000 after purchasing an additional 239 shares in the last quarter. Imprint Wealth LLC purchased a new position in shares of Netflix during the third quarter valued at about $25,000. MB Levis & Associates LLC grew its position in shares of Netflix by 177.8% during the fourth quarter. MB Levis & Associates LLC now owns 300 shares of the Internet television network's stock valued at $28,000 after purchasing an additional 192 shares in the last quarter. Finally, Brown Shipley& Co Ltd grew its position in shares of Netflix by 867.7% during the fourth quarter. Brown Shipley& Co Ltd now owns 300 shares of the Internet television network's stock valued at $28,000 after purchasing an additional 269 shares in the last quarter. Hedge funds and other institutional investors own 80.93% of the company's stock.

Insider Buying and Selling

In related news, Director Reed Hastings sold 420,550 shares of Netflix stock in a transaction dated Wednesday, April 1st. The stock was sold at an average price of $95.49, for a total value of $40,158,319.50. Following the completion of the transaction, the director owned 3,940 shares in the company, valued at approximately $376,230.60. This trade represents a 99.07% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider David A. Hyman sold 5,727 shares of Netflix stock in a transaction dated Monday, February 9th. The stock was sold at an average price of $81.06, for a total value of $464,230.62. Following the completion of the transaction, the insider owned 316,100 shares of the company's stock, valued at approximately $25,623,066. This represents a 1.78% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 1,487,794 shares of company stock worth $136,255,772. Insiders own 1.37% of the company's stock.

Key Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Q1 results beat expectations — revenue of $12.25B and GAAP EPS of $1.23 topped consensus, driven by subscription pricing, ad revenue growth and margin expansion; these fundamentals underpin many analyst “buy the dip” calls. Q1 results detail
• Positive Sentiment: Longer‑term growth levers remain: management emphasized live sports discussions (NFL interest) and continued ad‑tier expansion; analysts who stayed bullish point to strong cash generation and ad upside. Live sports / NFL rights
• Neutral Sentiment: Product/tech roadmap: Netflix plans a TikTok‑style vertical feed and broader AI use for recommendations — positive for engagement but not an immediate revenue catalyst. TechCrunch: vertical feed
• Negative Sentiment: Q2 guidance disappointed — the company issued Q2 EPS/revenue guidance below consensus (management cited slower near‑term growth and margin pressure), which shifted focus from the quarter to the outlook and trimmed near‑term expectations. Reuters: downbeat Q2 forecast
• Negative Sentiment: Leadership change spooked the market — Reed Hastings announced he will not stand for re‑election to the board, prompting concern about governance continuity amid a strategic pivot after the failed Warner Bros. bid. That exit amplified the selloff. Deadline: Hastings exit
• Negative Sentiment: Analyst reaction and price‑target moves were mixed-to-negative — several firms trimmed targets or moved to neutral/hold citing valuation and near‑term growth deceleration, increasing downward pressure. Invezz: analyst reactions

Wall Street Analyst Weigh In

A number of research analysts have recently weighed in on NFLX shares. Piper Sandler restated an "overweight" rating and set a $115.00 price objective (up from $103.00) on shares of Netflix in a research report on Friday. Pivotal Research set a $96.00 price objective on Netflix and gave the company a "hold" rating in a research report on Friday. Guggenheim set a $120.00 price objective on Netflix in a research report on Friday. Weiss Ratings lowered Netflix from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Thursday, January 22nd. Finally, New Street Research cut their price objective on Netflix from $100.00 to $96.00 and set a "neutral" rating for the company in a research report on Thursday, January 22nd. Two research analysts have rated the stock with a Strong Buy rating, thirty-five have assigned a Buy rating and fourteen have issued a Hold rating to the company. According to MarketBeat, Netflix presently has a consensus rating of "Moderate Buy" and a consensus price target of $114.58.

Netflix Trading Down 9.7%

NFLX opened at $97.31 on Friday. The firm has a market cap of $410.86 billion, a P/E ratio of 31.43, a P/E/G ratio of 1.60 and a beta of 1.67. Netflix, Inc. has a 12 month low of $75.01 and a 12 month high of $134.12. The company has a current ratio of 1.19, a quick ratio of 1.19 and a debt-to-equity ratio of 0.51. The stock has a 50-day moving average of $92.20 and a 200 day moving average of $98.55.

Netflix (NASDAQ:NFLX - Get Free Report) last released its quarterly earnings results on Thursday, April 16th. The Internet television network reported $1.23 EPS for the quarter, topping the consensus estimate of $0.76 by $0.47. The company had revenue of $12.25 billion during the quarter, compared to analyst estimates of $12.17 billion. Netflix had a return on equity of 43.01% and a net margin of 28.52%.The firm's revenue was up 16.2% on a year-over-year basis. During the same quarter last year, the business posted $6.61 earnings per share. Netflix has set its Q2 2026 guidance at 0.780-0.780 EPS. As a group, research analysts forecast that Netflix, Inc. will post 24.58 EPS for the current year.

Netflix Profile

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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