Nissay Asset Management Corp Japan Buys 64,808 Shares of Netflix, Inc. $NFLX

Key Points

• Nissay Asset Management Japan increased its Netflix stake by 5.4% in the second quarter, purchasing 64,808 additional shares and bringing its holdings to 1.27 million shares valued at approximately $90.6 million.
• Netflix reported quarterly EPS of $0.80, slightly above estimates, while revenue rose 13.4% year over year to $12.56 billion. The stock opened at $81.72, and analysts maintain a “Moderate Buy” consensus with an average price target of $103.19.
• Institutional investors own 80.93% of Netflix, although insiders sold roughly 600,295 shares worth $49.1 million during the past quarter. The sales included CEO transactions conducted partly under a pre-arranged plan to cover tax obligations.

Nissay Asset Management Corp Japan raised its stake in Netflix, Inc. (NASDAQ:NFLX - Free Report) by 5.4% during the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 1,268,753 shares of the Internet television network's stock after purchasing an additional 64,808 shares during the period. Nissay Asset Management Corp Japan's holdings in Netflix were worth $90,589,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other large investors have also added to or reduced their stakes in the company. BlackRock Inc. bought a new position in shares of Netflix during the 2nd quarter worth approximately $24,902,221,000. State Street Corp grew its holdings in Netflix by 927.6% in the fourth quarter. State Street Corp now owns 176,780,995 shares of the Internet television network's stock worth $16,574,986,000 after purchasing an additional 159,578,053 shares during the last quarter. Geode Capital Management LLC increased its position in shares of Netflix by 892.0% during the fourth quarter. Geode Capital Management LLC now owns 99,598,678 shares of the Internet television network's stock worth $9,305,336,000 after purchasing an additional 89,558,684 shares in the last quarter. Capital World Investors increased its position in shares of Netflix by 859.1% during the fourth quarter. Capital World Investors now owns 89,341,444 shares of the Internet television network's stock worth $8,376,656,000 after purchasing an additional 80,025,890 shares in the last quarter. Finally, Morgan Stanley lifted its holdings in shares of Netflix by 903.0% during the 4th quarter. Morgan Stanley now owns 85,349,973 shares of the Internet television network's stock valued at $8,002,414,000 after purchasing an additional 76,840,318 shares during the last quarter. 80.93% of the stock is currently owned by institutional investors.

Netflix Trading Up 2.4%

Netflix stock opened at $81.72 on Friday. The stock has a 50-day moving average price of $74.65 and a 200 day moving average price of $84.33. The company has a market capitalization of $340.28 billion, a price-to-earnings ratio of 25.72, a price-to-earnings-growth ratio of 1.00 and a beta of 1.52. Netflix, Inc. has a 52 week low of $65.08 and a 52 week high of $126.71. The company has a quick ratio of 1.14, a current ratio of 1.14 and a debt-to-equity ratio of 0.39.

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

Insider Activity

In other Netflix news, CEO Gregory K. Peters sold 27,312 shares of the stock in a transaction dated Thursday, August 6th. The stock was sold at an average price of $73.54, for a total transaction of $2,008,524.48. Following the sale, the chief executive officer directly owned 120,931 shares of the company's stock, valued at approximately $8,893,265.74. This trade represents a 18.42% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Theodore A. Sarandos sold 105,850 shares of Netflix stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $73.03, for a total value of $7,730,225.50. Following the transaction, the chief executive officer owned 206,266 shares of the company's stock, valued at $15,063,605.98. The trade was a 33.91% decrease in their position. The disclosure for this sale is available in the SEC filing. 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 have sold a total of 600,295 shares of company stock valued at $49,056,671 over the last quarter. Insiders own 1.24% of the company's stock.

More Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Bill Ackman’s Pershing Square reportedly added approximately 13.1 million Netflix shares, making NFLX one of the hedge fund’s new concentrated holdings. The move may bolster investor confidence in Netflix’s valuation and long-term earnings potential. Bill Ackman portfolio overhaul article
• Positive Sentiment: Analysts and market commentators point to Netflix’s rapidly expanding advertising business, a potential $3 billion advertising revenue opportunity, continued global expansion and margin growth as catalysts for a possible recovery toward $100 and beyond. Record share buybacks could further support earnings per share. Netflix stock price prediction article
• Positive Sentiment: Netflix is being described as an undervalued long-term holding, with bullish arguments centered on double-digit revenue growth, free-cash-flow generation and the ability to monetize live events and lower-priced ad-supported plans. Netflix five-year outlook article
• Neutral Sentiment: The Netflix preview of Grand Theft Auto VI attracted significant online attention and traffic, but the immediate stock-market beneficiary appears to be Take-Two Interactive, the game’s publisher, rather than Netflix. GTA 6 Netflix preview article
• Negative Sentiment: Some analysts argue that Netflix’s growth is moderating and that Alphabet offers stronger diversification, advertising exposure and valuation. Recent commentary also identifies resistance near $82 and muted enthusiasm following the latest earnings report. NFLX versus GOOGL article
• Negative Sentiment: Reported insider activity remains a potential overhang: executives and directors made numerous sales and no purchases over the past six months. Investors may interpret the selling as reduced insider conviction, although it may also reflect routine diversification. Netflix ad monetization and market resistance article

Analyst Upgrades and Downgrades

NFLX has been the topic of several research analyst reports. Raymond James Financial restated a "market perform" rating on shares of Netflix in a research note on Thursday, May 14th. Wells Fargo & Company set a $80.00 price target on Netflix and gave the stock an "equal weight" rating in a research note on Friday, July 17th. Piper Sandler reaffirmed an "overweight" rating and issued a $85.00 price objective (down from $115.00) on shares of Netflix in a research report on Friday, July 17th. Rosenblatt Securities set a $75.00 target price on shares of Netflix and gave the stock a "neutral" rating in a research note on Friday, July 17th. Finally, JPMorgan Chase & Co. cut their price target on shares of Netflix from $118.00 to $85.00 and set an "overweight" rating on the stock in a research note on Friday, July 17th. Four research analysts have rated the stock with a Strong Buy rating, thirty-three have given a Buy rating, seventeen have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $103.19.

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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