Heritage Investors Management Corp Acquires 36,144 Shares of Netflix, Inc. $NFLX

Key Points

• Heritage Investors Management Corp sharply increased its Netflix stake by 2,433.9% in the fourth quarter, adding 36,144 shares to bring its total holdings to 37,629 shares worth about $3.53 million.
• Institutional ownership remains very high, with 80.93% of Netflix shares held by hedge funds and other institutional investors. Several other funds also boosted their positions during the period.
• Netflix continues to draw mixed signals: analysts maintain a Moderate Buy consensus with a $114.82 target price, while insiders have sold shares recently and new Canadian streaming rules could raise compliance costs.

Heritage Investors Management Corp grew its holdings in Netflix, Inc. (NASDAQ:NFLX - Free Report) by 2,433.9% during the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 37,629 shares of the Internet television network's stock after acquiring an additional 36,144 shares during the period. Heritage Investors Management Corp's holdings in Netflix were worth $3,528,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also recently modified their holdings of NFLX. Brighton Jones LLC increased its stake in shares of Netflix by 5.0% in the fourth quarter. Brighton Jones LLC now owns 5,390 shares of the Internet television network's stock worth $4,804,000 after purchasing an additional 257 shares in the last quarter. Revolve Wealth Partners LLC increased its stake in shares of Netflix by 16.4% in the fourth quarter. Revolve Wealth Partners LLC now owns 1,023 shares of the Internet television network's stock worth $912,000 after purchasing an additional 144 shares in the last quarter. Sivia Capital Partners LLC increased its stake in shares of Netflix by 21.2% in the second quarter. Sivia Capital Partners LLC now owns 1,406 shares of the Internet television network's stock worth $1,883,000 after purchasing an additional 246 shares in the last quarter. Strategic Investment Advisors MI increased its stake in shares of Netflix by 18.9% in the second quarter. Strategic Investment Advisors MI now owns 774 shares of the Internet television network's stock worth $1,036,000 after purchasing an additional 123 shares in the last quarter. Finally, Schnieders Capital Management LLC. increased its stake in shares of Netflix by 12.1% in the second quarter. Schnieders Capital Management LLC. now owns 2,115 shares of the Internet television network's stock worth $2,832,000 after purchasing an additional 228 shares in the last quarter. 80.93% of the stock is owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other Netflix news, insider David A. Hyman sold 5,722 shares of Netflix stock in a transaction on Tuesday, May 5th. The shares were sold at an average price of $88.08, for a total value of $503,993.76. Following the completion of the transaction, the insider directly owned 316,100 shares of the company's stock, valued at $27,842,088. This trade represents a 1.78% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Reed Hastings sold 420,550 shares of Netflix stock in a transaction on Wednesday, April 1st. The stock was sold at an average price of $95.49, for a total transaction of $40,158,319.50. Following the completion of the transaction, the director directly owned 3,940 shares of the company's stock, valued at $376,230.60. The trade was a 99.07% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 1,422,769 shares of company stock worth $135,144,073. Insiders own 1.24% of the company's stock.

Analyst Ratings Changes

NFLX has been the subject of a number of analyst reports. Sanford C. Bernstein reissued a "buy" rating on shares of Netflix in a research note on Thursday, May 14th. Wells Fargo & Company initiated coverage on shares of Netflix in a research note on Monday, March 9th. They issued an "equal weight" rating and a $105.00 price objective for the company. Oppenheimer set a $120.00 price objective on shares of Netflix and gave the stock an "outperform" rating in a research note on Friday, April 17th. China Renaissance increased their price objective on shares of Netflix from $90.00 to $100.00 and gave the stock a "hold" rating in a research note on Friday, April 17th. Finally, Cfra raised shares of Netflix from a "hold" rating to a "buy" rating and set a $115.00 target price for the company in a research note on Friday, March 6th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating and sixteen have assigned a Hold rating to the stock. Based on data from MarketBeat.com, Netflix has a consensus rating of "Moderate Buy" and a consensus target price of $114.82.

Netflix News Roundup

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix’s ad-supported tier has surpassed 250 million monthly viewers, reinforcing the company’s advertising growth story and supporting the bull case for future revenue expansion. Netflix ad-supported tier tops 250M monthly viewers as sports push deepens
• Positive Sentiment: Netflix is deepening its partnership with iHeartMedia by streaming “The Breakfast Club” live daily, a sign it is pushing further into live and podcast-style programming that could broaden engagement and ad inventory. iHeartMedia and Netflix Deepen Partnership with Daily Live Video Stream of The Breakfast Club
• Positive Sentiment: CNBC highlighted Netflix as a “final trade,” suggesting some short-term trading interest from market watchers. IBM, ServiceNow, Netflix And A Basic Materials Stock: CNBC's 'Final Trades'
• Neutral Sentiment: BetterInvesting questioned whether Netflix is fairly valued after its recent report, which keeps the stock in “show-me” territory even after strong earnings and revenue growth. BetterInvesting™ Magazine Update on Netflix NASDAQ: NFLX and ExlService Holdings Inc. NASDAQ: EXLS
• Neutral Sentiment: Analyst commentary noted Netflix as a possible suitor if IMAX is sold, but this is speculative and not a confirmed deal driver. IMAX Potential Suitors Include Netflix, Apple, Wedbush Says
• Negative Sentiment: Canada’s new streaming rules would require Netflix to contribute a larger share of domestic revenue to Canadian content, raising compliance costs for the business. Canada Raises Streaming Content Requirement to 15% for Netflix, Disney, Amazon
• Negative Sentiment: Separate reporting also flagged higher costs from the same Canadian policy change, adding a modest regulatory headwind for Netflix and other streamers. Netflix, Spotify to face higher costs as CRTC changes rules

Netflix Stock Performance

NFLX opened at $88.60 on Friday. Netflix, Inc. has a fifty-two week low of $75.01 and a fifty-two week high of $134.12. The stock has a market capitalization of $373.08 billion, a price-to-earnings ratio of 28.62, a PEG ratio of 1.13 and a beta of 1.55. The company has a fifty day moving average of $93.88 and a 200 day moving average of $94.06. The company has a debt-to-equity ratio of 0.43, a quick ratio of 1.41 and a current ratio of 1.41.

Netflix (NASDAQ:NFLX - Get Free Report) last issued its quarterly earnings data on Thursday, April 16th. The Internet television network reported $1.23 EPS for the quarter, topping analysts' consensus estimates of $0.76 by $0.47. Netflix had a net margin of 28.52% and a return on equity of 40.92%. The business had revenue of $12.25 billion during the quarter, compared to analysts' expectations of $12.17 billion. During the same period last year, the company posted $6.61 EPS. The business's revenue was up 16.2% on a year-over-year basis. Netflix has set its Q2 2026 guidance at 0.780-0.780 EPS. As a group, sell-side analysts forecast that Netflix, Inc. will post 3.6 earnings per share for the current fiscal year.

Netflix Company 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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