Netflix, Inc. $NFLX Shares Bought by Kimelman & Baird LLC

Key Points

• Kimelman & Baird increased its Netflix stake by 110.7% in the third quarter, adding 88,372 shares to bring its holdings to 168,195 shares, valued at about $11.7 million.
• Analyst opinion was generally positive but mixed: MarketBeat reported a “Moderate Buy” consensus and an average price target of $89.14, while some analysts downgraded the stock or cut their targets.
• Netflix shares were down 3.3% and trading near their 12-month low, despite the company beating quarterly EPS expectations and reporting revenue growth of 11.9% year over year.

Kimelman & Baird LLC grew its position in shares of Netflix, Inc. (NASDAQ:NFLX - Free Report) by 110.7% during the 3rd quarter, according to the company in its most recent disclosure with the SEC. The fund owned 168,195 shares of the Internet television network's stock after purchasing an additional 88,372 shares during the quarter. Kimelman & Baird LLC's holdings in Netflix were worth $11,703,000 as of its most recent filing with the SEC.

A number of other hedge funds and other institutional investors have also made changes to their positions in NFLX. American State Bank Iowa grew its position in shares of Netflix by 7.7% during the third quarter. American State Bank Iowa now owns 16,721 shares of the Internet television network's stock worth $1,163,000 after acquiring an additional 1,202 shares during the last quarter. J. Derek Lewis & Associates Inc. increased its holdings in shares of Netflix by 9.6% in the 3rd quarter. J. Derek Lewis & Associates Inc. now owns 7,725 shares of the Internet television network's stock valued at $541,000 after acquiring an additional 675 shares during the period. Ethic Inc. increased its holdings in shares of Netflix by 2.7% in the 3rd quarter. Ethic Inc. now owns 546,393 shares of the Internet television network's stock valued at $38,018,000 after acquiring an additional 14,458 shares during the period. 180 Wealth Advisors LLC raised its position in Netflix by 2.9% in the 3rd quarter. 180 Wealth Advisors LLC now owns 23,779 shares of the Internet television network's stock valued at $1,655,000 after purchasing an additional 674 shares during the last quarter. Finally, Kornitzer Capital Management Inc. KS raised its position in Netflix by 8.6% in the 3rd quarter. Kornitzer Capital Management Inc. KS now owns 72,000 shares of the Internet television network's stock valued at $5,010,000 after purchasing an additional 5,720 shares during the last quarter. Institutional investors and hedge funds own 80.93% of the company's stock.

Analyst Upgrades and Downgrades

A number of analysts recently weighed in on NFLX shares. Weiss Ratings cut shares of Netflix from a "hold (c+)" rating to a "hold (c)" rating in a research note on Friday, October 23rd. Huber Research downgraded shares of Netflix from a "buy" rating to an "underweight" rating in a research report on Tuesday, October 13th. President Capital dropped their price objective on shares of Netflix from $134.00 to $83.00 and set a "buy" rating on the stock in a research note on Monday, July 20th. Rothschild & Co Redburn reduced their target price on shares of Netflix from $120.00 to $93.00 and set a "buy" rating for the company in a report on Tuesday, July 21st. Finally, Moffett Nathanson reaffirmed a "buy" rating and issued a $90.00 target price on shares of Netflix in a report on Wednesday, October 21st. Two analysts have rated the stock with a Strong Buy rating, thirty-five have assigned a Buy rating, seventeen have issued a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $89.14.

Insider Transactions at Netflix

In other Netflix news, CEO Theodore A. Sarandos sold 27,312 shares of the company's stock in a transaction on Wednesday, November 4th. The shares were sold at an average price of $66.20, for a total transaction of $1,808,054.40. Following the completion of the transaction, the chief executive officer owned 178,954 shares in the company, valued at approximately $11,846,754.80. This represents a 13.24% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Spencer Neumann sold 9,253 shares of the firm's stock in a transaction on Wednesday, November 4th. The stock was sold at an average price of $66.15, for a total transaction of $612,085.95. Following the completion of the sale, the chief financial officer owned 73,787 shares of the company's stock, valued at $4,881,010.05. This trade represents a 11.14% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 70,960 shares of company stock worth $4,752,050 over the last quarter. 1.24% of the stock is currently owned by corporate insiders.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix ordered Other Worlds: A Stranger Things Adventure, a live-action prequel series. Extending a popular franchise could support viewer engagement, though the financial impact and timing are not yet clear. Article: Stranger Things prequel series
• Positive Sentiment: A valuation analysis argues NFLX could be undervalued, estimating about 23% upside to fair value. This offers a counterpoint to recent weakness, but is an analyst view rather than a company announcement. Article: Netflix stock fair-value analysis
• Neutral Sentiment: CEO Ted Sarandos and CFO Spencer Neumann disclosed share sales, but the transactions were made to cover tax withholding on vested equity awards. That stated purpose makes them a less clear signal about management’s view of the stock. Article: Netflix insider share sales
• Negative Sentiment: Coverage noted NFLX slipping even with the new Stranger Things plans, suggesting the content announcement has not eased near-term selling pressure. The shares are also near their 52-week low and far below their 52-week high, reflecting a weak recent trend. Article: Netflix stock slips despite new Stranger Things plans

Netflix Trading Down 3.3%

NASDAQ:NFLX opened at $63.41 on Friday. The firm has a market cap of $260.38 billion, a P/E ratio of 18.33, a PEG ratio of 0.93 and a beta of 1.62. The company has a current ratio of 1.07, a quick ratio of 1.07 and a debt-to-equity ratio of 0.43. The stock's 50 day simple moving average is $71.03 and its 200-day simple moving average is $80.97. Netflix, Inc. has a 12-month low of $61.39 and a 12-month high of $116.73.

Netflix (NASDAQ:NFLX - Get Free Report) last released 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 return on equity of 42.69% and a net margin of 29.69%. The business had revenue of $12.87 billion during the quarter, compared to analysts' expectations of $12.87 billion. During the same quarter in the prior year, the business earned $0.59 earnings per share. The company's quarterly revenue was up 11.9% compared to the same quarter last year. Equities analysts anticipate that Netflix, Inc. will post 3.59 EPS for the current year.

Netflix Profile

Netflix, Inc is an entertainment company that offers subscription-based streaming of television series, films, documentaries and other programming. Its service also includes mobile games and, in some markets, advertising-supported viewing plans. Netflix produces and licenses content, including titles made under its Netflix brand.

Founded in 1997 by Reed Hastings and Marc Randolph as a DVD-by-mail rental business, the company launched its streaming service in 2007 and later expanded into original programming.

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