Netflix, Inc. $NFLX Stock: Vertrix Wealth Management LLC Increases Holdings

Key Points

• Vertrix Wealth Management increased its Netflix stake by 292.8% in the third quarter, acquiring 36,844 additional shares and bringing its holdings to 49,426 shares valued at approximately $3.44 million.
• Institutional investors own 80.93% of Netflix, with major firms including State Street, Bank of America, Invesco and BlackRock holding or adding substantial positions.
• Netflix shares opened at $70.61, below the consensus analyst target of $94.70; analysts maintain a “Moderate Buy” rating, although insiders sold $13.1 million of stock over the past 90 days.

Vertrix Wealth Management LLC raised its stake in Netflix, Inc. (NASDAQ:NFLX - Free Report) by 292.8% during the third quarter, according to the company in its most recent Form 13F filing with the SEC. The institutional investor owned 49,426 shares of the Internet television network's stock after buying an additional 36,844 shares during the quarter. Vertrix Wealth Management LLC's holdings in Netflix were worth $3,439,000 at the end of the most recent reporting period.

Other large investors have also recently added to or reduced their stakes in the company. BlackRock Inc. acquired a new position in Netflix during the 2nd quarter worth approximately $24,902,221,000. State Street Corp raised its holdings in shares of Netflix by 4.9% in the second quarter. State Street Corp now owns 180,129,582 shares of the Internet television network's stock valued at $12,861,252,000 after purchasing an additional 8,474,820 shares during the last quarter. Bank of America Corp DE lifted its position in shares of Netflix by 4.3% in the first quarter. Bank of America Corp DE now owns 57,942,812 shares of the Internet television network's stock worth $5,571,201,000 after purchasing an additional 2,376,349 shares in the last quarter. Invesco Ltd. lifted its position in shares of Netflix by 835.9% in the fourth quarter. Invesco Ltd. now owns 43,462,696 shares of the Internet television network's stock worth $4,075,062,000 after purchasing an additional 38,818,947 shares in the last quarter. Finally, Bank of New York Mellon Corp acquired a new position in Netflix during the second quarter worth $1,906,482,000. Institutional investors own 80.93% of the company's stock.

Netflix Price Performance

NASDAQ:NFLX opened at $70.61 on Tuesday. The company has a quick ratio of 1.14, a current ratio of 1.14 and a debt-to-equity ratio of 0.39. The stock's 50 day moving average price is $75.40 and its two-hundred day moving average price is $81.19. The firm has a market capitalization of $294.02 billion, a price-to-earnings ratio of 22.23, a P/E/G ratio of 0.99 and a beta of 1.62. Netflix, Inc. has a 12-month low of $65.08 and a 12-month high of $124.86.

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

Analysts Set New Price Targets

A number of research firms recently weighed in on NFLX. KeyCorp reaffirmed an "overweight" rating and issued a $92.00 target price (down from $115.00) on shares of Netflix in a research report on Monday, July 13th. Morgan Stanley reduced their price objective on shares of Netflix from $83.00 to $80.00 and set an "overweight" rating for the company in a research note on Thursday, October 8th. Deutsche Bank Aktiengesellschaft upgraded Netflix from a "hold" rating to a "buy" rating and decreased their price objective for the company from $100.00 to $95.00 in a report on Tuesday, September 29th. Citigroup reissued a "market perform" rating on shares of Netflix in a research report on Monday, August 17th. Finally, Bank of America decreased their price target on Netflix from $125.00 to $105.00 and set a "buy" rating for the company in a research note on Friday, July 17th. Four investment analysts have rated the stock with a Strong Buy rating, thirty-five have assigned a Buy rating, fifteen have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $94.70.

Insider Activity

In related news, insider David A. Hyman sold 5,723 shares of the business's stock in a transaction on 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 sale, the insider directly owned 316,100 shares in the company, valued at $23,027,885. The trade was a 1.78% decrease in their position. The transaction 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, CEO Gregory K. Peters sold 27,312 shares of the company's stock in a transaction on Thursday, August 6th. The shares were sold at an average price of $73.54, for a total value of $2,008,524.48. Following the completion of the transaction, the chief executive officer directly owned 120,931 shares in the company, valued at approximately $8,893,265.74. This represents a 18.42% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 179,045 shares of company stock valued at $13,132,194. 1.24% of the stock is owned by company insiders.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix’s valuation has become more attractive after a roughly 40% decline over the past year. The shares trade at about 21.6–22 times earnings, well below the company’s historical average, while revenue continues to grow. Some investors view a strong earnings report or improved outlook as a potential catalyst. What Could Netflix Stock Be Worth In Three Years?
• Positive Sentiment: International markets continue to grow faster than Netflix’s U.S. and Canada segment, and one analyst expects the stock could rebound sharply after the October 20 earnings release. Netflix is also viewed favorably relative to the newly combined Skydance media competitor. Prediction: Netflix Stock Is Going to Soar After Oct. 20
• Neutral Sentiment: Investors are focused on whether Netflix can meet guidance for approximately 12% third-quarter revenue growth, with advertising performance, subscriber trends and management’s outlook likely to determine the next major move. Netflix’s Q3 Guidance Calls for About 12% Revenue Growth
• Neutral Sentiment: The appointment of Craig Ferguson to lead content acquisition could strengthen licensing and distribution decisions, but its financial impact is not yet clear. What Is Netflix Signaling With Its New Content Acquisition Chief?
• Negative Sentiment: Growth is slowing in Netflix’s largest region: U.S. and Canada generated about 43% of second-quarter revenue but grew only 10%, down from 18% two quarters earlier. Currency-neutral growth has also decelerated across international regions, challenging the argument that overseas expansion alone makes the stock a bargain. Netflix’s Regions Abroad Are Growing Faster Than Its Home Market
• Negative Sentiment: Reports that Netflix may cut about 5% of its workforce signal efforts to control costs as growth slows and investor enthusiasm cools. Analysts have also cited competitive pressure and concerns about content quality. Netflix Plans 5% Workforce Reduction
• Negative Sentiment: Potential November tax-loss selling could create additional near-term volatility or selling pressure even if the earnings report is solid. Hold Netflix Through Earnings, But Be Aware Of Upcoming November Tax Loss Selling Season

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.

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.