Netflix, Inc. $NFLX Stock: SBI Securities Co. Ltd. Increases Position

Key Points

• SBI Securities increased its Netflix stake by 18.3% in the third quarter, bringing its holdings to 197,813 shares valued at approximately $13.8 million. Institutional investors and hedge funds collectively own 80.93% of Netflix.
• Netflix beat third-quarter earnings expectations, reporting $0.87 EPS and $12.87 billion in revenue, with revenue up 11.9% year over year. However, its weaker fourth-quarter outlook and reduced advertising-revenue forecast have pressured the stock and led several analysts to lower price targets.
• Wall Street maintains a generally positive view, with Netflix carrying a “Moderate Buy” consensus rating and an average target price of $89.59 versus a reported share price of $67.05.

SBI Securities Co. Ltd. lifted its stake in shares of Netflix, Inc. (NASDAQ:NFLX - Free Report) by 18.3% during the 3rd quarter, according to the company in its most recent 13F filing with the SEC. The firm owned 197,813 shares of the Internet television network's stock after buying an additional 30,611 shares during the quarter. SBI Securities Co. Ltd.'s holdings in Netflix were worth $13,764,000 as of its most recent filing with the SEC.

Several other hedge funds and other institutional investors have also recently bought and sold shares of NFLX. Nykredit A S acquired a new stake in Netflix during the 2nd quarter valued at $105,697,000. Rockland Trust Co. increased its stake in Netflix by 27.5% during the 3rd quarter. Rockland Trust Co. now owns 219,221 shares of the Internet television network's stock worth $15,253,000 after buying an additional 47,339 shares during the period. Ritholtz Wealth Management increased its stake in Netflix by 25.0% during the 1st quarter. Ritholtz Wealth Management now owns 106,451 shares of the Internet television network's stock worth $10,235,000 after buying an additional 21,260 shares during the period. Welch & Forbes LLC lifted its holdings in Netflix by 3,464.5% in the 1st quarter. Welch & Forbes LLC now owns 118,448 shares of the Internet television network's stock worth $11,389,000 after buying an additional 115,125 shares in the last quarter. Finally, USS Investment Management Ltd lifted its holdings in Netflix by 31.8% in the 1st quarter. USS Investment Management Ltd now owns 886,527 shares of the Internet television network's stock worth $85,244,000 after buying an additional 213,972 shares in the last quarter. 80.93% of the stock is owned by institutional investors and hedge funds.

Netflix Stock Performance

NFLX stock opened at $67.05 on Friday. The company has a current ratio of 1.07, a quick ratio of 1.14 and a debt-to-equity ratio of 0.43. The firm has a market cap of $279.19 billion, a P/E ratio of 19.38, a P/E/G ratio of 0.92 and a beta of 1.62. Netflix, Inc. has a 12-month low of $64.10 and a 12-month high of $116.73. The stock's 50 day simple moving average is $74.52 and its 200 day simple moving average is $79.74.

Netflix (NASDAQ:NFLX - Get Free Report) last announced its quarterly earnings data on Tuesday, October 20th. The Internet television network reported $0.87 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.82 by $0.05. The firm had revenue of $12.87 billion for the quarter, compared to analysts' expectations of $12.87 billion. Netflix had a return on equity of 42.69% and a net margin of 29.69%. The firm's revenue for the quarter was up 11.9% on a year-over-year basis. During the same period last year, the business posted $0.59 earnings per share. As a group, equities research analysts predict that Netflix, Inc. will post 3.58 EPS for the current year.

Netflix News Roundup

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Investors are treating the sell-off as a potential buying opportunity. Netflix beat third-quarter EPS expectations, generated $12.87 billion in revenue, and increased operating income 34.6% year over year. Several analysts—including UBS, JPMorgan, Bank of America, and TD Cowen—retained positive ratings despite lowering price targets. Stock Market Today, Oct. 22: Netflix Rises as Investors Capitalize on Post-Earnings Sell-Off
• Positive Sentiment: Netflix’s valuation has become more attractive after the decline, with investors emphasizing rising profits, more than 300 million subscribers, pricing power, and potential long-term growth from advertising, live events, and international content. The company’s buybacks are substantial, although management appears to follow a systematic rather than opportunistic repurchase strategy. The Truth About Netflix’s Massive Stock Buybacks
• Neutral Sentiment: Management continues to target double-digit revenue growth and expects advertising revenue to grow more than 80% in 2026. Netflix is investing in original programming, theatrical releases, live sports, and events such as NFL games, but executives acknowledge that viewer-hour growth and content execution need to improve.
• Negative Sentiment: The principal pressure is Netflix’s fourth-quarter outlook: EPS guidance of $0.67 trails the $0.73 consensus, while projected revenue of $13.4 billion is below the $13.5 billion estimate. Full-year revenue guidance was also slightly reduced. ETFs in Focus as Netflix Shares Tumble Amid Q3 Earnings Beat, Guidance Cut
• Negative Sentiment: Netflix cut its 2026 advertising-revenue forecast from approximately $3 billion to $2.7 billion, reinforcing concerns about slower growth, delayed ad execution, weaker engagement, and competition from YouTube, TikTok, and lower-cost streaming options. Multiple analysts consequently lowered price targets, while Needham downgraded the stock to Hold. Why Netflix Stock Dropped Today

Insider Activity at Netflix

In other Netflix news, Director Richard Barton sold 720 shares of the stock in a transaction on Thursday, September 10th. The shares were sold at an average price of $75.27, for a total transaction of $54,194.40. Following the sale, the director directly owned 2,460 shares of the company's stock, valued at approximately $185,164.20. This represents a 22.64% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Theodore Sarandos sold 27,312 shares of the firm's stock in a transaction dated 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 approximately $13,126,275.90. The trade was a 13.24% 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. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 179,045 shares of company stock valued at $13,132,194 in the last ninety days. 1.24% of the stock is owned by insiders.

Wall Street Analysts Forecast Growth

NFLX has been the subject of a number of analyst reports. Weiss Ratings raised shares of Netflix from a "hold (c)" rating to a "hold (c+)" rating in a research report on Thursday, October 8th. HSBC downgraded Netflix from a "buy" rating to a "hold" rating and lowered their target price for the company from $96.00 to $76.00 in a research note on Tuesday, September 22nd. Pivotal Research reaffirmed a "hold" rating and set a $65.00 target price (down from $70.00) on shares of Netflix in a research report on Wednesday. Argus set a $95.00 price target on Netflix and gave the company a "buy" rating in a report on Thursday. Finally, Wedbush lowered their price objective on Netflix from $105.00 to $90.00 and set an "outperform" rating for the company in a research note on Friday, October 16th. Three analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating, seventeen have issued a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $89.59.

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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