Nicholas Company Inc. Grows Stock Holdings in Netflix, Inc. $NFLX

Key Points

• Nicholas Company Inc. dramatically increased its Netflix stake by 1,203% in the fourth quarter, ending with 606,275 shares valued at about $56.8 million.
• Insider selling has been significant, with director Reed Hastings and CEO Gregory K. Peters both trimming holdings; insiders sold 1.45 million shares worth roughly $137.7 million over the past three months.
• Despite mixed trading sentiment, Netflix recently beat earnings and revenue estimates, and Wall Street still sees the stock as a Moderate Buy with a consensus target price of $114.82.

Nicholas Company Inc. raised its position in Netflix, Inc. (NASDAQ:NFLX - Free Report) by 1,203.0% in the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 606,275 shares of the Internet television network's stock after purchasing an additional 559,745 shares during the period. Nicholas Company Inc.'s holdings in Netflix were worth $56,844,000 at the end of the most recent reporting period.

A number of other hedge funds also recently made changes to their positions in NFLX. First Financial Corp IN lifted its holdings in shares of Netflix by 900.0% during the 4th quarter. First Financial Corp IN now owns 270 shares of the Internet television network's stock worth $25,000 after acquiring an additional 243 shares during the last quarter. DiNuzzo Private Wealth Inc. lifted its holdings in shares of Netflix by 885.2% during the 4th quarter. DiNuzzo Private Wealth Inc. now owns 266 shares of the Internet television network's stock worth $25,000 after acquiring an additional 239 shares during the last quarter. Turning Point Benefit Group Inc. lifted its holdings in shares of Netflix by 13,400.0% during the 4th quarter. Turning Point Benefit Group Inc. now owns 270 shares of the Internet television network's stock worth $25,000 after acquiring an additional 268 shares during the last quarter. Imprint Wealth LLC bought a new stake in shares of Netflix during the 3rd quarter worth $25,000. Finally, MB Levis & Associates LLC lifted its holdings in shares of Netflix by 177.8% during the 4th quarter. MB Levis & Associates LLC now owns 300 shares of the Internet television network's stock worth $28,000 after acquiring an additional 192 shares during the last quarter. 80.93% of the stock is owned by institutional investors.

Insider Buying and Selling at Netflix

In related news, Director Reed Hastings sold 407,550 shares of the business's stock in a transaction dated Friday, May 1st. The shares were sold at an average price of $93.13, for a total transaction of $37,955,131.50. Following the sale, the director owned 3,940 shares of the company's stock, valued at $366,932.20. The trade was a 99.04% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Gregory K. Peters sold 27,312 shares of the business's stock in a transaction dated Thursday, May 7th. The stock was sold at an average price of $88.69, for a total transaction of $2,422,301.28. Following the sale, the chief executive officer directly owned 120,931 shares in the company, valued at $10,725,370.39. The trade was a 18.42% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 1,453,217 shares of company stock valued at $137,676,777 over the last three months. 1.37% of the stock is currently owned by corporate insiders.

Netflix Price Performance

Shares of NASDAQ NFLX opened at $87.45 on Monday. Netflix, Inc. has a 1 year low of $75.01 and a 1 year high of $134.12. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.41 and a quick ratio of 1.41. The company's 50-day moving average is $95.44 and its 200 day moving average is $95.75. The stock has a market capitalization of $368.22 billion, a P/E ratio of 28.25, a P/E/G ratio of 1.11 and a beta of 1.55.

Netflix (NASDAQ:NFLX - Get Free Report) last announced its quarterly earnings results on Thursday, April 16th. The Internet television network reported $1.23 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.76 by $0.47. Netflix had a net margin of 28.52% and a return on equity of 40.92%. The company had revenue of $12.25 billion for the quarter, compared to analysts' expectations of $12.17 billion. During the same quarter in the previous year, the company earned $6.61 earnings per share. Netflix's quarterly revenue was up 16.2% on a year-over-year basis. Netflix has set its Q2 2026 guidance at 0.780-0.780 EPS. On average, sell-side analysts expect that Netflix, Inc. will post 3.6 earnings per share for the current year.

Key Stories Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Strong early reviews for Netflix’s new drama Remarkably Bright Creatures suggest a programming win that could help engagement and subscriber retention. Remarkably Bright Creatures Review
• Positive Sentiment: Recent analyst commentary remains constructive, with several firms maintaining or raising price targets and broader coverage still pointing to a “Moderate Buy” view. Netflix, Pulte, and Mobileye Are Buying Their Own Dips—Should You?
• Neutral Sentiment: Warner Bros. Discovery’s large quarterly loss included a $2.8 billion Netflix-related termination fee, but this is primarily an M&A accounting item for WBD rather than a direct operating signal for Netflix. WBD Logs $2.92B Loss
• Neutral Sentiment: Jim Cramer said Netflix is “not a buy, buy, buy,” reflecting caution around competition in streaming, but it was more of a valuation/positioning comment than a formal downgrade. Jim Cramer on Netflix
• Negative Sentiment: CEO Gregory K. Peters sold 27,312 shares and CFO Spencer Adam Neumann sold 9,253 shares on May 7, adding to recent insider selling and likely weighing on investor sentiment. Netflix Insider Selling
• Negative Sentiment: Technical and trading commentary points to continued weakness after the recent pullback, with the stock still below key moving averages and some investors questioning near-term upside. Is It Time To Reassess Netflix?

Wall Street Analyst Weigh In

A number of brokerages recently commented on NFLX. Argus decreased their target price on shares of Netflix from $141.00 to $110.00 and set a "buy" rating on the stock in a research report on Thursday, January 22nd. BMO Capital Markets decreased their target price on shares of Netflix from $143.00 to $135.00 and set an "outperform" rating on the stock in a research report on Wednesday, January 21st. JPMorgan Chase & Co. reiterated a "buy" rating on shares of Netflix in a research report on Wednesday, April 22nd. Erste Group Bank cut shares of Netflix from a "buy" rating to a "hold" rating in a research report on Monday, April 27th. Finally, Barclays set a $110.00 target price on shares of Netflix and gave the stock an "equal weight" rating in a research report on Friday, April 17th. Two research analysts have rated the stock with a Strong Buy rating, thirty-four have assigned a Buy rating and fifteen have given a Hold rating to the company. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $114.82.

Netflix Profile

Netflix, Inc NASDAQ: NFLX is a global entertainment company that provides subscription-based streaming of films, television series, documentaries and other video content. Founded in 1997 by Reed Hastings and Marc Randolph and headquartered in Los Gatos, California, the company began as a DVD-by-mail rental service and introduced streaming video in 2007. Netflix later expanded into producing and distributing original programming, beginning notable original hits in the 2010s, and now operates a content production and distribution ecosystem alongside its licensing activity.

The company's primary product is its on-demand streaming service, which can be accessed on a wide range of internet-connected devices and delivered through a suite of apps and web platforms.

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