Netflix, Inc. $NFLX Shares Bought by NFSG Corp

Key Points

• NFSG Corp increased its Netflix stake by 25.7% in the third quarter, acquiring 19,948 additional shares for a total of 97,605 shares valued at approximately $6.79 million. Institutional investors collectively own 80.93% of Netflix.
• Netflix shares opened at $72.61, well below the 52-week high of $124.86. The company slightly exceeded quarterly EPS estimates, reporting $0.80 versus $0.79 expected, while revenue reached $12.56 billion.
• Analysts maintain a consensus “Moderate Buy” rating with an average price target of $94.41, although several firms recently lowered their targets. Investors are also watching rising churn, weaker engagement, planned workforce reductions and the company’s upcoming third-quarter earnings report.

NFSG Corp boosted its holdings in shares of Netflix, Inc. (NASDAQ:NFLX - Free Report) by 25.7% during the 3rd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 97,605 shares of the Internet television network's stock after acquiring an additional 19,948 shares during the period. NFSG Corp's holdings in Netflix were worth $6,791,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors have also added to or reduced their stakes in NFLX. SLT Holdings LLC bought a new stake in Netflix during the 3rd quarter valued at $394,000. Whitener Capital Management Inc. increased its holdings in shares of Netflix by 6.0% in the 3rd quarter. Whitener Capital Management Inc. now owns 17,513 shares of the Internet television network's stock valued at $1,219,000 after acquiring an additional 998 shares during the period. Walser Wealth Management Company A Ltd Liability Co increased its holdings in shares of Netflix by 28.1% in the 3rd quarter. Walser Wealth Management Company A Ltd Liability Co now owns 8,802 shares of the Internet television network's stock valued at $612,000 after acquiring an additional 1,933 shares during the period. R2 Capital Strategies LLC increased its holdings in shares of Netflix by 18.6% in the 3rd quarter. R2 Capital Strategies LLC now owns 3,856 shares of the Internet television network's stock valued at $268,000 after acquiring an additional 606 shares during the period. Finally, V Square Quantitative Management LLC raised its position in shares of Netflix by 6.8% in the 3rd quarter. V Square Quantitative Management LLC now owns 15,458 shares of the Internet television network's stock worth $1,076,000 after acquiring an additional 980 shares in the last quarter. Hedge funds and other institutional investors own 80.93% of the company's stock.

Netflix Price Performance

NASDAQ NFLX opened at $72.61 on Friday. The company has a market cap of $302.34 billion, a price-to-earnings ratio of 22.85, a PEG ratio of 1.00 and a beta of 1.62. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.14 and a quick ratio of 1.14. The stock's fifty day moving average price is $75.25 and its 200 day moving average price is $80.73. Netflix, Inc. has a 1 year low of $65.08 and a 1 year high of $124.86.

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

Insiders Place Their Bets

In other news, insider David Hyman sold 5,723 shares of the firm's stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $72.85, for a total value of $416,920.55. Following the completion of the transaction, the insider directly owned 316,100 shares in the company, valued at $23,027,885. This trade represents a 1.78% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Richard Barton sold 2,160 shares of the firm's stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $75.10, for a total value of $162,216.00. Following the completion of the transaction, the director owned 246 shares of the company's stock, valued at approximately $18,474.60. The trade was a 89.78% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 179,045 shares of company stock valued at $13,132,194. Insiders own 1.24% of the company's stock.

Key Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Jefferies initiated coverage with a Buy rating and an $85 price target, citing potential revenue support from subscription-price increases and advertising. Netflix stock gets bullish analyst call ahead of next week's earnings
• Positive Sentiment: Netflix named former Disney and Fox executive Peter Rice as chief content officer, replacing Bela Bajaria. Rice’s experience could help Netflix improve its content strategy and viewer engagement as competition intensifies. Netflix names former Disney executive Rice as new content chief
• Neutral Sentiment: Netflix will release third-quarter results on October 20. Wall Street estimates for revenue, earnings and operating metrics may drive volatility as investors look for evidence that pricing, advertising and content investments are offsetting weaker engagement. Ahead of Netflix Q3 earnings
• Negative Sentiment: Netflix is eliminating roughly 1,000 positions, or 6% of its workforce, its largest reduction since 2022. Management described the move as a resource-allocation and efficiency effort, but investors may view it as evidence of slowing growth and pressure to control costs. Netflix is laying off roughly 6% of its workforce
• Negative Sentiment: Reports citing app data indicate U.S. churn has risen and viewing engagement has weakened. Those trends raise questions about Netflix’s ability to retain subscribers amid competition from other streaming services, YouTube and creator-led video. Netflix warning signs ahead of Q3 earnings

Analyst Ratings Changes

A number of equities research analysts recently weighed in on the company. Piper Sandler restated an "overweight" rating and set a $85.00 price objective (down from $115.00) on shares of Netflix in a research note on Friday, July 17th. Wedbush cut their target price on Netflix from $118.00 to $105.00 and set an "outperform" rating on the stock in a research note on Friday, July 17th. Pivotal Research reduced their target price on shares of Netflix from $96.00 to $70.00 and set a "hold" rating for the company in a report on Friday, July 17th. New Street Research boosted their target price on shares of Netflix from $96.00 to $102.00 and gave the stock a "neutral" rating in a report on Friday, July 17th. Finally, Loop Capital decreased their price target on shares of Netflix from $115.00 to $95.00 and set a "buy" rating for the company in a research report on Friday, July 24th. Three equities research analysts have rated the stock with a Strong Buy rating, thirty-five have assigned a Buy rating, fifteen have assigned a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, Netflix currently has a consensus rating of "Moderate Buy" and an average target price of $94.41.

Netflix Profile

Netflix, Inc NASDAQ: NFLX is a global entertainment company that operates a subscription-based streaming service. It offers a broad range of television series, films, documentaries, and other programming, including original productions developed under the Netflix brand and licensed content from third-party studios.

The company also provides advertising-supported viewing options in some markets and has expanded into related entertainment categories, including mobile and cloud-based games, live programming, and consumer products associated with selected titles.

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