Harris Associates L P Lowers Position in Netflix, Inc. $NFLX

Key Points

• Harris Associates L P reduced its stake in Netflix, Inc. by 12.8% in the first quarter, owning 3,311 shares worth $3,088,000 after selling 487 shares.
• Netflix reported a 15.9% year-over-year revenue growth in its latest quarterly earnings, with earnings per share of $7.19, surpassing analyst expectations.
• Several brokerages have recently downgraded Netflix's stock ratings, with Phillip Securities changing its rating from "hold" to "strong sell".

Harris Associates L P reduced its stake in Netflix, Inc. (NASDAQ:NFLX - Free Report) by 12.8% in the first quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 3,311 shares of the Internet television network's stock after selling 487 shares during the quarter. Harris Associates L P's holdings in Netflix were worth $3,088,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also bought and sold shares of NFLX. Brighton Jones LLC raised its position in Netflix by 5.0% in the 4th quarter. Brighton Jones LLC now owns 5,390 shares of the Internet television network's stock valued at $4,804,000 after buying an additional 257 shares during the last quarter. Revolve Wealth Partners LLC grew its stake in Netflix by 16.4% in the 4th quarter. Revolve Wealth Partners LLC now owns 1,023 shares of the Internet television network's stock valued at $912,000 after purchasing an additional 144 shares during the period. BIP Wealth LLC grew its stake in Netflix by 23.8% in the 4th quarter. BIP Wealth LLC now owns 453 shares of the Internet television network's stock valued at $403,000 after purchasing an additional 87 shares during the period. AlTi Global Inc. grew its stake in Netflix by 25.6% in the 4th quarter. AlTi Global Inc. now owns 1,600 shares of the Internet television network's stock valued at $1,403,000 after purchasing an additional 326 shares during the period. Finally, Ancora Advisors LLC grew its stake in Netflix by 7.1% in the 4th quarter. Ancora Advisors LLC now owns 1,222 shares of the Internet television network's stock valued at $1,089,000 after purchasing an additional 81 shares during the period. 80.93% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

NFLX has been the subject of a number of recent analyst reports. The Goldman Sachs Group upped their price objective on Netflix from $1,000.00 to $1,140.00 and gave the company a "neutral" rating in a research note on Wednesday, July 2nd. Wedbush restated an "outperform" rating and issued a $1,500.00 price objective (up previously from $1,400.00) on shares of Netflix in a research note on Monday, July 14th. Evercore ISI restated an "outperform" rating on shares of Netflix in a research note on Thursday, May 15th. Needham & Company LLC restated a "buy" rating and issued a $1,500.00 price objective on shares of Netflix in a research note on Friday, July 18th. Finally, Bank of America upped their price objective on Netflix from $1,175.00 to $1,490.00 and gave the company a "buy" rating in a research note on Friday, May 30th. One research analyst has rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating, ten have assigned a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat, Netflix currently has an average rating of "Moderate Buy" and an average target price of $1,297.66.

Netflix Stock Performance

Shares of NFLX stock traded up $5.86 on Tuesday, hitting $1,214.11. 2,297,479 shares of the stock were exchanged, compared to its average volume of 2,584,598. The company has a current ratio of 1.34, a quick ratio of 1.34 and a debt-to-equity ratio of 0.58. The firm has a market capitalization of $515.91 billion, a PE ratio of 51.73, a P/E/G ratio of 2.03 and a beta of 1.60. Netflix, Inc. has a one year low of $660.80 and a one year high of $1,341.15. The firm's 50 day moving average is $1,228.91 and its two-hundred day moving average is $1,120.25.

Netflix (NASDAQ:NFLX - Get Free Report) last posted its quarterly earnings results on Thursday, July 17th. The Internet television network reported $7.19 earnings per share for the quarter, topping the consensus estimate of $7.07 by $0.12. The company had revenue of $11.08 billion during the quarter, compared to the consensus estimate of $11.04 billion. Netflix had a return on equity of 42.50% and a net margin of 24.58%.The firm's quarterly revenue was up 15.9% compared to the same quarter last year. During the same quarter in the prior year, the company earned $4.88 EPS. Netflix has set its FY 2025 guidance at EPS. Q3 2025 guidance at 6.870-6.870 EPS. Sell-side analysts expect that Netflix, Inc. will post 24.58 earnings per share for the current fiscal year.

Insider Buying and Selling at Netflix

In related news, CEO Theodore A. Sarandos sold 2,026 shares of the stock in a transaction dated Tuesday, August 5th. The stock was sold at an average price of $1,160.62, for a total transaction of $2,351,416.12. Following the sale, the chief executive officer owned 15,168 shares of the company's stock, valued at approximately $17,604,284.16. This represents a 11.78% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider David A. Hyman sold 424 shares of the stock in a transaction dated Tuesday, August 5th. The stock was sold at an average price of $1,158.67, for a total value of $491,276.08. Following the sale, the insider directly owned 31,610 shares in the company, valued at $36,625,558.70. This trade represents a 1.32% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 93,629 shares of company stock worth $116,131,982 in the last three months. 1.37% of the stock is currently owned by corporate insiders.

Netflix Company Profile

Netflix, Inc provides entertainment services. It offers TV series, documentaries, feature films, and games across various genres and languages. The company also provides members the ability to receive streaming content through a host of internet-connected devices, including TVs, digital video players, TV set-top boxes, and mobile devices.