Netflix, Inc. $NFLX Shares Sold by AMI Asset Management Corp

Key Points

• AMI Asset Management cut its Netflix position by 40.9% in the third quarter, selling 283,296 shares and retaining 408,695 shares valued at approximately $28.4 million. Institutional investors collectively own 80.93% of Netflix.
• Netflix beat third-quarter earnings expectations, reporting $0.87 in EPS versus $0.82 expected, while revenue rose 11.9% year over year to $12.87 billion.
• Despite the earnings beat, Netflix faces pressure from a weaker fourth-quarter outlook, slower advertising growth, reduced 2026 free-cash-flow guidance and concerns about stagnant viewership and competition. Analysts maintain a consensus “Moderate Buy” rating with an average price target of $93.38.

AMI Asset Management Corp decreased its holdings in shares of Netflix, Inc. (NASDAQ:NFLX - Free Report) by 40.9% during the 3rd quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund owned 408,695 shares of the Internet television network's stock after selling 283,296 shares during the quarter. Netflix comprises about 1.6% of AMI Asset Management Corp's investment portfolio, making the stock its 28th biggest position. AMI Asset Management Corp's holdings in Netflix were worth $28,437,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also made changes to their positions in the business. Kapitalo Investimentos Ltda acquired a new position in shares of Netflix in the 3rd quarter valued at about $751,000. Louisbourg Investments Inc. increased its position in Netflix by 30.0% during the 3rd quarter. Louisbourg Investments Inc. now owns 68,089 shares of the Internet television network's stock worth $4,738,000 after purchasing an additional 15,726 shares in the last quarter. Revisor Wealth Management LLC increased its position in Netflix by 86.9% during the 3rd quarter. Revisor Wealth Management LLC now owns 10,509 shares of the Internet television network's stock worth $737,000 after purchasing an additional 4,886 shares in the last quarter. Redwood Family Wealth LLC raised its holdings in Netflix by 2.7% in the third quarter. Redwood Family Wealth LLC now owns 6,247 shares of the Internet television network's stock valued at $435,000 after buying an additional 166 shares during the period. Finally, West Branch Capital LLC raised its holdings in Netflix by 5.0% in the third quarter. West Branch Capital LLC now owns 35,100 shares of the Internet television network's stock valued at $2,442,000 after buying an additional 1,679 shares during the period. Hedge funds and other institutional investors own 80.93% of the company's stock.

Insider Buying and Selling at Netflix

In related news, insider David Hyman sold 5,723 shares of Netflix stock in a transaction on Tuesday, August 4th. The shares were sold at an average price of $72.85, for a total transaction of $416,920.55. Following the sale, the insider owned 316,100 shares of the company's stock, valued at $23,027,885. The trade was a 1.78% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Theodore Sarandos sold 27,312 shares of the business's stock in a transaction on Tuesday, August 4th. The stock was sold at an average price of $73.35, for a total transaction of $2,003,335.20. Following the completion of the transaction, the chief executive officer owned 178,954 shares in the company, valued at $13,126,275.90. This represents a 13.24% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders sold 179,045 shares of company stock worth $13,132,194. 1.24% of the stock is currently owned by insiders.

Analyst Ratings Changes

NFLX has been the topic of a number of recent research reports. CLSA assumed coverage on shares of Netflix in a research report on Monday, July 20th. They set an "outperform" rating on the stock. Rothschild & Co Redburn decreased their price objective on shares of Netflix from $120.00 to $93.00 and set a "buy" rating for the company in a research note on Tuesday, July 21st. Oppenheimer set a $85.00 price objective on shares of Netflix and gave the stock an "outperform" rating in a research report on Friday, July 17th. Huber Research lowered shares of Netflix from a "buy" rating to an "underweight" rating in a research report on Tuesday, October 13th. Finally, New Street Research raised their target price on shares of Netflix from $96.00 to $102.00 and gave the company a "neutral" rating in a research note on Friday, July 17th. Three investment analysts have rated the stock with a Strong Buy rating, thirty-five have given a Buy rating, sixteen have given a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, Netflix presently has a consensus rating of "Moderate Buy" and an average price target of $93.38.

Netflix Stock Performance

Netflix stock opened at $68.69 on Wednesday. The firm has a market capitalization of $286.02 billion, a PE ratio of 21.62, a price-to-earnings-growth ratio of 0.99 and a beta of 1.62. Netflix, Inc. has a one year low of $65.08 and a one year high of $124.86. The stock's 50 day moving average price is $74.92 and its 200 day moving average price is $80.20. The company has a debt-to-equity ratio of 0.39, a quick ratio of 1.14 and a current ratio of 1.14.

Netflix (NASDAQ:NFLX - Get Free Report) last issued its quarterly earnings data on Tuesday, October 20th. The Internet television network reported $0.87 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.82 by $0.05. Netflix had a net margin of 28.22% and a return on equity of 40.02%. The company had revenue of $12.87 billion during the quarter, compared to the consensus estimate of $12.87 billion. During the same quarter last year, the company earned $0.59 earnings per share. Netflix's revenue for the quarter was up 11.9% on a year-over-year basis. As a group, sell-side analysts expect that Netflix, Inc. will post 3.59 EPS for the current fiscal year.

Key Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix exceeded third-quarter profit expectations, reporting diluted EPS of $0.87 versus the $0.82 consensus estimate. Revenue reached $12.87 billion, operating income rose 37% year over year to $4.46 billion, and operating margin expanded to 34.6%. Netflix Q3 earnings beat
• Positive Sentiment: Management cited pricing power, controlled churn and strong profitability, while Netflix repurchased approximately $4.8 billion of stock during the quarter. These factors support earnings per share and shareholder returns. Netflix Q3 financial results
• Positive Sentiment: Some analysts view the sharp decline in the stock and its valuation as creating an attractive entry point if management can restore viewership growth and improve content execution. Netflix is cheap again
• Neutral Sentiment: Netflix is cutting roughly 1,000 jobs and reorganizing its creative leadership, including changes involving film and content executives. Co-CEO Greg Peters described the layoffs as a difficult tradeoff intended to redirect investment toward longer-term growth, but the restructuring may create near-term execution risk. Netflix layoffs and long-term growth
• Negative Sentiment: The main pressure on NFLX is its fourth-quarter outlook: revenue is projected at approximately $13.4 billion, below Wall Street expectations, with operating margin expected to fall to 26% as restructuring costs weigh on results. Netflix weak fourth-quarter forecast
• Negative Sentiment: Netflix reduced its 2026 advertising-revenue forecast to approximately $2.7 billion from $3 billion because advertising-product rollouts are progressing more slowly than expected. The shortfall undermines a key growth narrative. Netflix cuts advertising forecast
• Negative Sentiment: Revenue growth is expected to slow for a fourth consecutive quarter, while stagnant viewership—particularly in the United States and Canada—and intensifying competition are raising concerns about Netflix’s ability to keep audiences engaged. Netflix viewership and competition concerns
• Negative Sentiment: The company also lowered its 2026 free-cash-flow outlook to about $12 billion from $12.5 billion, adding to investor concerns that forward momentum is weakening despite the quarterly earnings beat.

About Netflix

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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