Netflix, Inc. $NFLX Shares Sold by Jackson Square Capital LLC

Key Points

• Jackson Square Capital sharply reduced its Netflix stake by 89.4% in the third quarter, selling 29,825 shares and retaining 3,521 shares worth approximately $245,000. Institutional investors and hedge funds collectively own 80.93% of Netflix.
• Netflix shares fell 1.4% to $69.53, trading below both their 50-day and 200-day moving averages. The stock has a market capitalization of about $289.5 billion and a one-year range of $65.08 to $124.86.
• Analyst sentiment remains broadly positive, with a consensus “Moderate Buy” rating and average price target of $93.38, although some firms have lowered targets and insiders sold $13.1 million of stock in the latest quarter.

Jackson Square Capital LLC lowered its stake in shares of Netflix, Inc. (NASDAQ:NFLX - Free Report) by 89.4% during the third quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 3,521 shares of the Internet television network's stock after selling 29,825 shares during the period. Jackson Square Capital LLC's holdings in Netflix were worth $245,000 at the end of the most recent reporting period.

A number of other hedge funds also recently made changes to their positions in NFLX. Clal Insurance Enterprises Holdings Ltd acquired a new stake in shares of Netflix during the 2nd quarter worth $26,000. Compound Global Advisors LLC purchased a new position in shares of Netflix in the 2nd quarter worth $29,000. Burnham & Co LLC purchased a new position in shares of Netflix in the 2nd quarter worth $29,000. Merkkuri Wealth Advisors LLC acquired a new position in Netflix in the first quarter valued at $31,000. Finally, Bayban boosted its holdings in Netflix by 400.0% in the first quarter. Bayban now owns 350 shares of the Internet television network's stock valued at $34,000 after acquiring an additional 280 shares during the last quarter. Institutional investors and hedge funds own 80.93% of the company's stock.

Netflix Stock Down 1.4%

NASDAQ:NFLX traded down $1.00 during mid-day trading on Monday, hitting $69.53. The company had a trading volume of 15,178,712 shares, compared to its average volume of 42,129,117. The business has a fifty day simple moving average of $75.17 and a 200-day simple moving average of $80.57. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 0.39. Netflix, Inc. has a 1 year low of $65.08 and a 1 year high of $124.86. The firm has a market capitalization of $289.50 billion, a price-to-earnings ratio of 21.87, a PEG ratio of 1.00 and a beta of 1.62.

Netflix (NASDAQ:NFLX - Get Free Report) last issued its quarterly earnings data 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. Netflix had a return on equity of 40.02% and a net margin of 28.22%. The company had revenue of $12.56 billion for the quarter, compared to analysts' expectations of $12.58 billion. During the same quarter in the previous year, the firm posted $0.72 earnings per share. The firm's quarterly revenue was up 13.4% on a year-over-year basis. Equities analysts forecast that Netflix, Inc. will post 3.59 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, CFO Spencer Neumann sold 9,248 shares of the stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $75.79, for a total value of $700,905.92. Following the completion of the sale, the chief financial officer owned 73,787 shares in the company, valued at approximately $5,592,316.73. This trade represents a 11.14% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Richard Barton sold 720 shares of the firm's stock in a transaction dated Thursday, September 10th. The shares were sold at an average price of $75.27, for a total value of $54,194.40. Following the sale, the director owned 2,460 shares in the company, valued at approximately $185,164.20. The trade was a 22.64% decrease in their ownership of the stock. 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. In the last quarter, insiders have sold 179,045 shares of company stock valued at $13,132,194. Company insiders own 1.24% of the company's stock.

Key Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Wall Street analysts remain broadly constructive on Netflix, and Jefferies initiated coverage with a Buy rating and an $85 price target, citing pricing power, advertising growth and live sports as potential catalysts. Jefferies Makes a Bold $85 Call on Netflix Stock
• Positive Sentiment: Netflix is targeting approximately $3 billion in advertising revenue in 2026, while nearly doubled upfront commitments suggest improving advertiser demand and monetization potential. Can Ad-Supported Streaming Momentum Boost Netflix's Q3 Results?
• Neutral Sentiment: Third-quarter results are expected to show year-over-year growth in revenue and earnings, but options markets imply a potentially large post-earnings move. Investors will focus on subscriber trends, viewing hours, advertising progress and management’s outlook. Options Volatility and Implied Earnings Moves This Week
• Negative Sentiment: Reports indicate viewer engagement has fallen about 26%, raising concerns that Netflix may be struggling to sustain attention despite its large subscriber base. Slower view-hour growth could undermine the company’s advertising expansion and valuation. Netflix faces questions on user engagement ahead of third-quarter report
• Negative Sentiment: Netflix’s decision to eliminate roughly 1,000 jobs, or 6% of its workforce, alongside replacing content chief Bela Bajaria with Peter Rice, has intensified concerns about its content pipeline, leadership direction and employee morale. Netflix Replaces Bela Bajaria With Peter Rice As Content Chief
• Negative Sentiment: Some analysts have lowered price targets ahead of earnings, while investors cite membership churn, a weaker content calendar and the cost of live sports as risks. These issues are offsetting the bullish ratings and contributing to cautious trading before the report.

Analyst Upgrades and Downgrades

A number of equities research analysts have issued reports on NFLX shares. Phillip Securities raised Netflix from a "moderate buy" rating to a "strong-buy" rating and set a $110.00 price target for the company in a research report on Sunday, July 19th. Citigroup restated a "market perform" rating on shares of Netflix in a report on Thursday. Morgan Stanley cut their price objective on Netflix from $83.00 to $80.00 and set an "overweight" rating on the stock in a report on Thursday, October 8th. CICC Research reduced their price objective on Netflix from $110.00 to $90.00 and set an "outperform" rating on the stock in a research note on Tuesday, July 21st. Finally, Wells Fargo & Company lowered Netflix from a "neutral" rating to an "underweight" rating and reduced their price objective for the company from $80.00 to $57.00 in a research note on Friday, September 18th. Three analysts have rated the stock with a Strong Buy rating, thirty-five have assigned a Buy rating, sixteen have assigned a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $93.38.

Netflix 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.

Want to see what other hedge funds are holding NFLX? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Netflix, Inc. (NASDAQ:NFLX - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.