Netflix, Inc. $NFLX Shares Bought by Crystal Rock Capital Management

Key Points

• Crystal Rock Capital Management increased its Netflix stake by 64.6% in the third quarter, acquiring 22,125 additional shares for a total of 56,375 shares valued at approximately $3.92 million.
• Other institutional investors also added to their positions, with institutional ownership reaching 80.93% of Netflix’s outstanding shares.
• Netflix exceeded quarterly earnings expectations, reporting $0.87 in EPS versus $0.82 forecast and 11.9% year-over-year revenue growth. Analysts maintain a consensus “Moderate Buy” rating with an average price target of $89.14, above the reported $62.05 share price.

Crystal Rock Capital Management lifted its stake in shares of Netflix, Inc. (NASDAQ:NFLX - Free Report) by 64.6% during the third quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 56,375 shares of the Internet television network's stock after acquiring an additional 22,125 shares during the quarter. Netflix comprises about 2.1% of Crystal Rock Capital Management's investment portfolio, making the stock its 20th biggest holding. Crystal Rock Capital Management's holdings in Netflix were worth $3,923,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently added to or reduced their stakes in NFLX. China Universal Asset Management Co. Ltd. raised its position in Netflix by 9.0% in the third quarter. China Universal Asset Management Co. Ltd. now owns 232,225 shares of the Internet television network's stock worth $16,325,000 after acquiring an additional 19,088 shares in the last quarter. TOWER TRUST & INVESTMENT Co boosted its position in shares of Netflix by 3.3% during the 3rd quarter. TOWER TRUST & INVESTMENT Co now owns 13,423 shares of the Internet television network's stock valued at $934,000 after purchasing an additional 435 shares in the last quarter. Childress Capital Advisors LLC boosted its position in shares of Netflix by 3.2% during the 3rd quarter. Childress Capital Advisors LLC now owns 16,677 shares of the Internet television network's stock valued at $1,160,000 after purchasing an additional 510 shares in the last quarter. D.A. Davidson & CO. boosted its position in shares of Netflix by 22.7% during the 3rd quarter. D.A. Davidson & CO. now owns 255,060 shares of the Internet television network's stock valued at $17,747,000 after purchasing an additional 47,216 shares in the last quarter. Finally, North Dakota State Investment Board grew its stake in shares of Netflix by 3.5% in the 3rd quarter. North Dakota State Investment Board now owns 128,013 shares of the Internet television network's stock worth $8,907,000 after purchasing an additional 4,306 shares during the last quarter. Institutional investors own 80.93% of the company's stock.

Netflix Trading Up 0.1%

NASDAQ:NFLX opened at $62.05 on Friday. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.07 and a quick ratio of 1.07. Netflix, Inc. has a fifty-two week low of $61.39 and a fifty-two week high of $116.73. The stock's 50-day moving average is $73.03 and its two-hundred day moving average is $81.71. The stock has a market cap of $254.80 billion, a PE ratio of 17.93, a price-to-earnings-growth ratio of 0.91 and a beta of 1.62.

Netflix (NASDAQ:NFLX - Get Free Report) last posted its quarterly earnings results on Tuesday, October 20th. The Internet television network reported $0.87 EPS for the quarter, topping the consensus estimate of $0.82 by $0.05. Netflix had a net margin of 29.69% and a return on equity of 42.69%. The business had revenue of $12.87 billion during the quarter, compared to analysts' expectations of $12.87 billion. During the same period last year, the company posted $0.59 earnings per share. The firm's quarterly revenue was up 11.9% compared to the same quarter last year. As a group, equities research analysts forecast that Netflix, Inc. will post 3.59 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of analysts recently commented on the stock. Canaccord Genuity Group set a $110.00 target price on shares of Netflix in a report on Wednesday, October 21st. Oppenheimer restated an "outperform" rating and set a $80.00 target price (down from $85.00) on shares of Netflix in a report on Wednesday, October 21st. CLSA began coverage on shares of Netflix in a research report on Monday, July 20th. They issued an "outperform" rating on the stock. Robert W. Baird set a $90.00 price target on Netflix and gave the company an "outperform" rating in a report on Wednesday, July 22nd. Finally, Argus set a $95.00 price target on Netflix and gave the company a "buy" rating in a report on Thursday, October 22nd. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-five have issued a Buy rating, seventeen have issued a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $89.14.

Insider Activity

In other news, Director Richard N. Barton sold 720 shares of Netflix stock in a transaction dated Thursday, September 10th. The stock was sold at an average price of $75.27, for a total transaction of $54,194.40. Following the completion of the sale, the director directly owned 2,460 shares in the company, valued at $185,164.20. The trade was a 22.64% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Bradford L. Smith sold 17,980 shares of the firm's stock in a transaction that occurred on Monday, October 26th. The shares were sold at an average price of $64.03, for a total transaction of $1,151,259.40. Following the transaction, the director directly owned 79,690 shares in the company, valued at approximately $5,102,550.70. The trade was a 18.41% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 197,025 shares of company stock valued at $14,283,453. 1.24% of the stock is currently owned by company insiders.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Some investors view the sell-off as a buying opportunity. Morningstar reportedly sees approximately 30% upside, while other bullish analyses point to Netflix’s strong free cash flow, healthy balance sheet, international growth and expected 2026 operating-margin expansion to 31.5%. Morningstar Netflix Analysis
• Positive Sentiment: Netflix expects advertising revenue to grow more than 80% in 2026. If the company can overcome rollout delays and improve execution, the advertising business could provide a meaningful new growth and monetization stream. Netflix Advertising Business Analysis
• Neutral Sentiment: Director Bradford Smith sold 17,980 shares worth approximately $1.15 million under a pre-arranged Rule 10b5-1 plan. The sale reduced his holdings by 18.4%, but its planned nature makes it a limited signal about management’s current outlook. Netflix Insider Sale
• Negative Sentiment: Investors are increasingly concerned that members are watching less, particularly in the United States. The resulting questions about engagement, cultural relevance and competition from short-form video, artificial intelligence and other entertainment platforms have extended the post-earnings sell-off. Netflix Attention Economy Analysis
• Negative Sentiment: YouTube’s strong living-room advertising performance is raising concerns that Alphabet’s platform is taking television viewing time and advertising dollars that Netflix hopes to capture. YouTube Living-Room Competition
• Negative Sentiment: Analysts have reduced ratings or price targets, citing slower growth, limited upside from additional price increases and advertising execution risks. Netflix’s roughly $2 billion 2026 advertising forecast is also being viewed as modest relative to competitors such as YouTube. Netflix Price Increase Downgrade

Netflix Company Profile

Netflix, Inc NASDAQ: NFLX is a global entertainment company that provides subscription-based streaming services. Its platform offers a broad selection of television series, films, documentaries, stand-up specials and other programming, including content produced by Netflix and licensed from third-party studios and creators.

The company also develops and distributes original productions under the Netflix brand and has expanded into additional entertainment offerings, including mobile and cloud-based games in select markets and live programming.

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