Netflix, Inc. $NFLX Shares Acquired by Brown Advisory Inc.

Key Points

• Brown Advisory Inc. dramatically increased its Netflix stake by 730.4% in the fourth quarter, ending with 1,967,386 shares valued at about $184.5 million.
• Netflix continues to attract heavy institutional interest, with firms like Vanguard, State Street, Geode, Capital World Investors, and Morgan Stanley also reporting large increases in holdings. Institutional investors and hedge funds now own 80.93% of the company.
• The article highlights both positive and negative catalysts: Netflix beat quarterly earnings and revenue expectations, and analysts remain generally constructive, but some investors are concerned about a lack of near-term catalysts and potential competition from a larger streaming rival.

Brown Advisory Inc. increased its stake in Netflix, Inc. (NASDAQ:NFLX - Free Report) by 730.4% in the 4th quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 1,967,386 shares of the Internet television network's stock after purchasing an additional 1,730,455 shares during the quarter. Brown Advisory Inc.'s holdings in Netflix were worth $184,462,000 at the end of the most recent quarter.

Several other institutional investors have also bought and sold shares of NFLX. Vanguard Group Inc. lifted its holdings in Netflix by 912.5% in the fourth quarter. Vanguard Group Inc. now owns 390,014,981 shares of the Internet television network's stock worth $36,567,805,000 after purchasing an additional 351,493,659 shares during the period. State Street Corp lifted its holdings in Netflix by 927.6% in the fourth quarter. State Street Corp now owns 176,780,995 shares of the Internet television network's stock worth $16,574,986,000 after purchasing an additional 159,578,053 shares during the period. Geode Capital Management LLC lifted its holdings in Netflix by 892.0% in the fourth quarter. Geode Capital Management LLC now owns 99,598,678 shares of the Internet television network's stock worth $9,305,336,000 after purchasing an additional 89,558,684 shares during the period. Capital World Investors lifted its holdings in Netflix by 859.1% in the fourth quarter. Capital World Investors now owns 89,341,444 shares of the Internet television network's stock worth $8,376,656,000 after purchasing an additional 80,025,890 shares during the period. Finally, Morgan Stanley lifted its holdings in Netflix by 903.0% in the fourth quarter. Morgan Stanley now owns 85,349,973 shares of the Internet television network's stock worth $8,002,414,000 after purchasing an additional 76,840,318 shares during the period. Institutional investors and hedge funds own 80.93% of the company's stock.

Key Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Jim Cramer said, “I want to buy Netflix,” which can reinforce the view that the recent weakness is a buying opportunity rather than a sign of deteriorating fundamentals. Jim Cramer Says “I Want to Buy Netflix”
• Positive Sentiment: Analyst-focused articles noted that Netflix has fallen sharply since its last earnings report, but Wall Street still sees meaningful upside, suggesting valuation support if growth reaccelerates. Here’s What Dragging Netflix (NFLX) Down
• Positive Sentiment: Omdia forecast Netflix could approach 400 million subscribers by 2031, reinforcing the company’s long-term leadership in global streaming and supporting the bull case for future revenue growth. Omdia: Netflix to Reach 400 Million Subscribers by 2031
• Positive Sentiment: Netflix’s new FIFA gaming partnership adds another engagement lever, which could help reduce churn and strengthen subscriber retention over time. FIFA Deal Tests How Netflix Uses Games To Deepen Subscriber Engagement
• Neutral Sentiment: Commentary that Netflix remains a “high-quality compounder back on sale” reflects a favorable long-term view, but it does not add a new near-term catalyst. Netflix: A High-Quality Compounder Back On Sale
• Neutral Sentiment: Multiple articles framed Netflix as one of the better long-term stock ideas in the media space, but these are mostly opinion pieces rather than hard business updates. Netflix (NFLX): 10 Best Stocks to Buy Now For Next 3 Months
• Negative Sentiment: A price-target cut due to a lack of fresh catalysts points to investor concern that Netflix may need a clearer near-term driver to regain momentum. Netflix Stock Gets Price-Target Cut On Lack Of Catalysts
• Negative Sentiment: The proposed Paramount Skydance/Warner Bros. Discovery deal could create a larger streaming competitor, which is one reason Netflix publicly opposed the transaction. DOJ Clears Paramount Skydance’s $110 Billion Warner Bros. Discovery Acquisition Without Conditions

Netflix Price Performance

Shares of Netflix stock opened at $80.34 on Friday. The company has a current ratio of 1.41, a quick ratio of 1.41 and a debt-to-equity ratio of 0.43. The company's 50-day moving average price is $90.93 and its two-hundred day moving average price is $91.11. Netflix, Inc. has a 52 week low of $75.01 and a 52 week high of $134.12. The stock has a market cap of $338.30 billion, a PE ratio of 25.95, a price-to-earnings-growth ratio of 1.02 and a beta of 1.50.

Netflix (NASDAQ:NFLX - Get Free Report) last issued 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. Netflix had a net margin of 28.52% and a return on equity of 40.92%. The firm had revenue of $12.25 billion for the quarter, compared to analysts' expectations of $12.17 billion. During the same period in the previous year, the business earned $6.61 earnings per share. Netflix's revenue for the quarter was up 16.2% compared to the same quarter last year. Netflix has set its Q2 2026 guidance at 0.780-0.780 EPS. As a group, sell-side analysts anticipate that Netflix, Inc. will post 3.6 EPS for the current fiscal year.

Analyst Ratings Changes

Several research firms recently weighed in on NFLX. The Goldman Sachs Group raised shares of Netflix from a "neutral" rating to a "buy" rating in a report on Monday, April 13th. China Renaissance upped their price objective on shares of Netflix from $90.00 to $100.00 and gave the stock a "hold" rating in a report on Friday, April 17th. Citizens Jmp reiterated a "market perform" rating on shares of Netflix in a research report on Wednesday, April 15th. Arete Research upgraded shares of Netflix from a "neutral" rating to a "buy" rating in a research report on Friday, February 27th. Finally, Piper Sandler reiterated an "overweight" rating and issued a $115.00 price target (up from $103.00) on shares of Netflix in a research report on Friday, April 17th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-four have assigned a Buy rating and sixteen have assigned a Hold rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $114.39.

Insider Activity

In other Netflix news, insider David A. Hyman sold 5,722 shares of the business's stock in a transaction dated Tuesday, May 5th. The stock was sold at an average price of $88.08, for a total transaction of $503,993.76. Following the sale, the insider owned 316,100 shares in the company, valued at approximately $27,842,088. The trade was a 1.78% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Theodore A. Sarandos sold 27,312 shares of the business's stock in a transaction dated Tuesday, May 5th. The stock was sold at an average price of $87.97, for a total value of $2,402,636.64. Following the sale, the chief executive officer owned 284,804 shares in the company, valued at approximately $25,054,207.88. The trade was a 8.75% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last quarter, insiders have sold 1,313,029 shares of company stock worth $120,315,776. 1.24% of the stock is owned by company insiders.

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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