Netflix, Inc. $NFLX Shares Acquired by Massachusetts Financial Services Co. MA

Key Points

• Massachusetts Financial Services boosted its Netflix stake by 430.6% in Q4 to 6,738,241 shares worth about $631.8M, and other large funds also piled in, leaving institutional investors with roughly 80.93% of the company.
• Multiple analyst upgrades and price-target raises, plus traction for Netflix’s ad-supported tier, underpin expectations for stronger margins and potential buybacks, with Q1 earnings on April 16 the key near-term catalyst.
• Insider activity shows meaningful selling: CEO Gregory K. Peters sold 105,781 shares and insiders have sold a total of 1,543,023 shares (~$141.1M) over the past 90 days, leaving insiders with about 1.37% ownership.

Massachusetts Financial Services Co. MA grew its holdings in Netflix, Inc. (NASDAQ:NFLX - Free Report) by 430.6% during the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 6,738,241 shares of the Internet television network's stock after purchasing an additional 5,468,262 shares during the quarter. Massachusetts Financial Services Co. MA owned approximately 0.16% of Netflix worth $631,777,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also modified their holdings of NFLX. Nordea Investment Management AB lifted its stake in shares of Netflix by 886.6% during the fourth quarter. Nordea Investment Management AB now owns 9,667,997 shares of the Internet television network's stock valued at $902,798,000 after buying an additional 8,688,113 shares during the period. Assenagon Asset Management S.A. lifted its stake in shares of Netflix by 983.1% during the fourth quarter. Assenagon Asset Management S.A. now owns 6,234,314 shares of the Internet television network's stock valued at $584,529,000 after buying an additional 5,658,740 shares during the period. Aberdeen Group plc lifted its stake in shares of Netflix by 878.7% during the fourth quarter. Aberdeen Group plc now owns 3,243,837 shares of the Internet television network's stock valued at $304,142,000 after buying an additional 2,912,392 shares during the period. Allspring Global Investments Holdings LLC lifted its stake in shares of Netflix by 870.2% during the fourth quarter. Allspring Global Investments Holdings LLC now owns 3,014,717 shares of the Internet television network's stock valued at $274,309,000 after buying an additional 2,703,997 shares during the period. Finally, Sarasin & Partners LLP lifted its stake in shares of Netflix by 2,758.1% during the fourth quarter. Sarasin & Partners LLP now owns 2,361,663 shares of the Internet television network's stock valued at $221,430,000 after buying an additional 2,279,032 shares during the period. Hedge funds and other institutional investors own 80.93% of the company's stock.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Multiple analyst upgrades and price-target raises lift sentiment — Wedbush bumped its target and kept an Outperform rating, Morgan Stanley raised its target and maintained Overweight, and HSBC lifted its target while keeping a Buy. These moves point to growing confidence in Netflix’s revenue and margin outlook. Wedbush price-target raise
• Positive Sentiment: Ad-supported tier is scaling and lowering churn, which analysts say boosts advertiser confidence and monetization — a key driver for revenue upside and margin expansion. Ad-tier traction
• Positive Sentiment: Analysts expect stronger operating margins and more buybacks — one analyst notes Netflix could lift its 2026 operating-margin guide toward ~32% while sustaining mid-teens revenue growth, supporting higher EPS and potential share repurchases. Margin/ buyback outlook
• Positive Sentiment: Institutional buying: several high-profile funds increased Netflix positions after the Warner Bros. deal fell through, signaling conviction from big investors. That institutional demand is propping up the stock into earnings. Hedge funds adding
• Neutral Sentiment: Upcoming catalyst: Q1 earnings on April 16 is the immediate event — positive prints on ad revenue, pricing, or margins could extend the rally; a miss could reverse gains. Earnings catalyst
• Neutral Sentiment: Media/market commentary highlights Netflix’s steady revenue growth versus peers and frames the stock as a durable streaming leader; useful context but not immediate price drivers. Industry comparisons
• Negative Sentiment: Balance-sheet nuance: coverage points to roughly $7.4B in stock-option obligations that can act like hidden leverage — a reminder for investors watching capital allocation and net-debt metrics. Hidden option liability
• Negative Sentiment: Post-earnings volatility risk — options-market patterns suggest a “sawtooth” and potential for a sharp move after the print; that raises short-term risk even if fundamentals look sound. Options volatility risk

Insider Activity at Netflix

In other news, insider David A. Hyman sold 23,439 shares of the firm's stock in a transaction on Friday, January 16th. The shares were sold at an average price of $88.11, for a total value of $2,065,210.29. Following the transaction, the insider owned 316,100 shares of the company's stock, valued at approximately $27,851,571. This trade represents a 6.90% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Gregory K. Peters sold 105,781 shares of the firm's stock in a transaction on Thursday, January 29th. The shares were sold at an average price of $82.94, for a total transaction of $8,773,476.14. Following the completion of the transaction, the chief executive officer directly owned 122,140 shares in the company, valued at approximately $10,130,291.60. This represents a 46.41% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 1,543,023 shares of company stock valued at $141,145,842 over the last 90 days. 1.37% of the stock is currently owned by insiders.

Netflix Stock Performance

NASDAQ:NFLX opened at $103.02 on Friday. The company has a quick ratio of 1.19, a current ratio of 1.19 and a debt-to-equity ratio of 0.51. The company has a market cap of $434.96 billion, a P/E ratio of 40.77, a P/E/G ratio of 1.56 and a beta of 1.67. Netflix, Inc. has a fifty-two week low of $75.01 and a fifty-two week high of $134.12. The firm's 50 day moving average is $89.88 and its two-hundred day moving average is $99.14.

Netflix (NASDAQ:NFLX - Get Free Report) last posted its quarterly earnings results on Tuesday, January 20th. The Internet television network reported $0.56 earnings per share for the quarter, topping analysts' consensus estimates of $0.55 by $0.01. The company had revenue of $12.05 billion for the quarter, compared to the consensus estimate of $11.97 billion. Netflix had a net margin of 24.30% and a return on equity of 43.26%. Netflix's revenue was up 17.6% on a year-over-year basis. During the same quarter last year, the firm posted $0.43 earnings per share. Netflix has set its Q1 2026 guidance at 0.760-0.760 EPS. Analysts expect that Netflix, Inc. will post 24.58 EPS for the current year.

Analyst Upgrades and Downgrades

Several equities analysts recently issued reports on the stock. DZ Bank reissued a "buy" rating on shares of Netflix in a research note on Friday, February 27th. Weiss Ratings downgraded shares of Netflix from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Thursday, January 22nd. Wells Fargo & Company assumed coverage on shares of Netflix in a research note on Monday, March 9th. They set an "equal weight" rating and a $105.00 price objective on the stock. William Blair reissued an "outperform" rating on shares of Netflix in a research note on Wednesday, January 21st. Finally, KeyCorp set a $110.00 price objective on shares of Netflix and gave the company an "overweight" rating in a research note on Friday, January 16th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-six have given a Buy rating and twelve have issued a Hold rating to the stock. According to MarketBeat.com, Netflix currently has an average rating of "Moderate Buy" and an average target price of $115.50.

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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