Patton Fund Management Inc. Cuts Holdings in Netflix, Inc. $NFLX

Key Points

• Patton Fund Management Inc. reduced its stake in Netflix, Inc. by 44.4%, holding 3,092 shares after selling 2,465 during the second quarter, which now represents 2.9% of its portfolio.
• Despite the reduction by Patton Fund, other hedge funds have increased their positions, with various firms acquiring new stakes that highlight a confident outlook in Netflix.
• Analysts have varying opinions on Netflix's stock with a consensus rating of Moderate Buy and a price target averaging around $1,328.87, indicating potential for growth amidst sales by company insiders.

Patton Fund Management Inc. trimmed its stake in Netflix, Inc. (NASDAQ:NFLX - Free Report) by 44.4% in the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 3,092 shares of the Internet television network's stock after selling 2,465 shares during the period. Netflix accounts for 2.9% of Patton Fund Management Inc.'s portfolio, making the stock its 13th largest position. Patton Fund Management Inc.'s holdings in Netflix were worth $4,141,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other hedge funds have also recently made changes to their positions in NFLX. Halbert Hargrove Global Advisors LLC raised its stake in shares of Netflix by 100.0% during the 1st quarter. Halbert Hargrove Global Advisors LLC now owns 26 shares of the Internet television network's stock worth $25,000 after acquiring an additional 13 shares in the last quarter. Flaharty Asset Management LLC purchased a new position in Netflix in the first quarter worth $37,000. Maseco LLP acquired a new position in shares of Netflix during the second quarter worth $39,000. Barnes Dennig Private Wealth Management LLC purchased a new stake in shares of Netflix during the 1st quarter valued at $42,000. Finally, 1248 Management LLC acquired a new stake in shares of Netflix in the 1st quarter worth $43,000. 80.93% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

A number of brokerages have recently weighed in on NFLX. Robert W. Baird boosted their price objective on shares of Netflix from $1,300.00 to $1,500.00 and gave the company an "outperform" rating in a report on Monday, July 21st. Morgan Stanley reissued an "equal weight" rating on shares of Netflix in a research note on Monday, July 21st. Phillip Securities lowered shares of Netflix from a "hold" rating to a "strong sell" rating in a report on Monday, July 21st. UBS Group reaffirmed a "market underperform" rating on shares of Netflix in a research note on Saturday, July 19th. Finally, BMO Capital Markets restated an "outperform" rating and set a $1,425.00 price target (up from $1,200.00) on shares of Netflix in a research report on Tuesday, July 15th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-three have given a Buy rating, nine have assigned a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $1,328.87.

Netflix Price Performance

NASDAQ:NFLX opened at $1,210.61 on Friday. Netflix, Inc. has a 52 week low of $677.88 and a 52 week high of $1,341.15. The stock's fifty day moving average is $1,208.75 and its two-hundred day moving average is $1,150.10. The company has a market capitalization of $514.42 billion, a P/E ratio of 51.58, a P/E/G ratio of 2.03 and a beta of 1.60. The company has a quick ratio of 1.34, a current ratio of 1.34 and a debt-to-equity ratio of 0.58.

Netflix (NASDAQ:NFLX - Get Free Report) last issued its quarterly earnings data on Thursday, July 17th. The Internet television network reported $7.19 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $7.07 by $0.12. Netflix had a return on equity of 42.50% and a net margin of 24.58%.The firm had revenue of $11.08 billion during the quarter, compared to the consensus estimate of $11.04 billion. During the same period last year, the company earned $4.88 EPS. The company's quarterly revenue was up 15.9% on a year-over-year basis. Netflix has set its FY 2025 guidance at EPS. Q3 2025 guidance at 6.870-6.870 EPS. Equities analysts expect that Netflix, Inc. will post 24.58 EPS for the current year.

Insider Activity at Netflix

In other Netflix news, CFO Spencer Adam Neumann sold 2,601 shares of the company's stock in a transaction on Friday, August 1st. The stock was sold at an average price of $1,162.40, for a total transaction of $3,023,402.40. Following the transaction, the chief financial officer directly owned 3,691 shares in the company, valued at $4,290,418.40. This represents a 41.34% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Theodore A. Sarandos sold 2,026 shares of Netflix stock in a transaction on Tuesday, August 5th. The shares were sold at an average price of $1,160.62, for a total value of $2,351,416.12. Following the completion of the sale, the chief executive officer directly owned 15,168 shares of the company's stock, valued at $17,604,284.16. The trade was a 11.78% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 88,728 shares of company stock valued at $108,700,648. 1.37% of the stock is owned by insiders.

About Netflix

Netflix, Inc provides entertainment services. It offers TV series, documentaries, feature films, and games across various genres and languages. The company also provides members the ability to receive streaming content through a host of internet-connected devices, including TVs, digital video players, TV set-top boxes, and mobile devices.

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