Infrastructure Capital Advisors LLC Buys New Stake in Netflix, Inc. $NFLX

Key Points

• Infrastructure Capital Advisors LLC acquired 19,613 Netflix shares worth approximately $1.4 million in the second quarter. Institutional investors collectively own 80.93% of Netflix.
• Netflix reported quarterly EPS of $0.80, slightly above estimates, while revenue rose 13.4% year over year to $12.56 billion. The company posted a 28.22% net margin and analysts forecast $3.59 in full-year EPS.
• Analysts maintain a consensus “Moderate Buy” rating with an average price target of $103.48, although several firms recently lowered targets. Insiders sold 600,295 shares worth about $49.1 million during the quarter.

Infrastructure Capital Advisors LLC acquired a new stake in Netflix, Inc. (NASDAQ:NFLX - Free Report) in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund acquired 19,613 shares of the Internet television network's stock, valued at approximately $1,400,000.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Brighton Jones LLC grew its holdings in Netflix by 5.0% in the fourth quarter. Brighton Jones LLC now owns 5,390 shares of the Internet television network's stock valued at $4,804,000 after purchasing an additional 257 shares during the period. Revolve Wealth Partners LLC grew its holdings in shares of Netflix by 16.4% during the fourth quarter. Revolve Wealth Partners LLC now owns 1,023 shares of the Internet television network's stock worth $912,000 after buying an additional 144 shares in the last quarter. Sivia Capital Partners LLC raised its holdings in Netflix by 21.2% in the 2nd quarter. Sivia Capital Partners LLC now owns 1,406 shares of the Internet television network's stock valued at $1,883,000 after acquiring an additional 246 shares during the last quarter. Strategic Investment Advisors MI increased its holdings 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 valued at $1,036,000 after purchasing an additional 123 shares during the last quarter. Finally, Schnieders Capital Management LLC. increased its stake in shares of Netflix by 12.1% in the 2nd quarter. Schnieders Capital Management LLC. now owns 2,115 shares of the Internet television network's stock worth $2,832,000 after acquiring an additional 228 shares during the last quarter. Institutional investors and hedge funds own 80.93% of the company's stock.

Netflix Stock Performance

Shares of NFLX stock opened at $79.59 on Monday. The stock's 50-day moving average price is $74.39 and its 200 day moving average price is $84.35. The company has a quick ratio of 1.14, a current ratio of 1.14 and a debt-to-equity ratio of 0.39. The stock has a market capitalization of $331.41 billion, a PE ratio of 25.05, a price-to-earnings-growth ratio of 1.00 and a beta of 1.52. Netflix, Inc. has a 52-week low of $65.08 and a 52-week high of $126.71.

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

Insider Buying and Selling at Netflix

In related news, insider David A. Hyman sold 5,723 shares of the firm'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 transaction of $416,920.55. Following the sale, the insider owned 316,100 shares in the company, valued at approximately $23,027,885. This trade represents a 1.78% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Spencer Adam Neumann sold 9,248 shares of the company's stock in a transaction on Monday, August 10th. The shares were sold at an average price of $75.79, for a total value of $700,905.92. Following the completion of the transaction, the chief financial officer owned 73,787 shares of the company's stock, valued at $5,592,316.73. The trade was a 11.14% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 600,295 shares of company stock valued at $49,056,671. Corporate insiders own 1.24% of the company's stock.

Netflix News Roundup

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

Wall Street Analyst Weigh In

NFLX has been the topic of several analyst reports. Wells Fargo & Company set a $80.00 price target on shares of Netflix and gave the company an "equal weight" rating in a research report on Friday, July 17th. Bank of America reaffirmed a "buy" rating and issued a $125.00 target price on shares of Netflix in a research report on Monday, May 18th. Pivotal Research cut their price objective on Netflix from $96.00 to $70.00 and set a "hold" rating on the stock in a research report on Friday, July 17th. JPMorgan Chase & Co. reduced their target price on shares of Netflix from $118.00 to $85.00 and set an "overweight" rating on the stock in a report on Friday, July 17th. Finally, Citigroup reaffirmed a "market perform" rating on shares of Netflix in a research report on Monday, August 17th. Four investment analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, seventeen have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target 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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