Prescott Group Capital Management L.L.C. Invests $316,000 in Netflix, Inc. (NASDAQ:NFLX)

Key Points

• Prescott Group Capital Management has invested $316,000 in Netflix, acquiring 339 shares during the first quarter, highlighting continued interest from institutional investors in the streaming platform.
• Netflix's recent quarterly earnings beat expectations with earnings of $7.19 per share, exceeding the consensus estimate of $7.07, and showing a year-over-year revenue increase of 15.9%.
• Despite mixed ratings from analysts, with some maintaining a "market underperform" rating while others set target prices as high as $1,500, Netflix currently has a consensus rating of "Moderate Buy" based on 22 buy ratings issued.

Prescott Group Capital Management L.L.C. bought a new position in shares of Netflix, Inc. (NASDAQ:NFLX - Free Report) in the first quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm bought 339 shares of the Internet television network's stock, valued at approximately $316,000.

A number of other large investors also recently modified their holdings of NFLX. Resurgent Financial Advisors LLC increased its position in Netflix by 234.4% during the 1st quarter. Resurgent Financial Advisors LLC now owns 1,010 shares of the Internet television network's stock valued at $942,000 after purchasing an additional 708 shares during the period. Janus Henderson Group PLC grew its position in shares of Netflix by 8.7% during the 4th quarter. Janus Henderson Group PLC now owns 1,377,081 shares of the Internet television network's stock valued at $1,227,468,000 after acquiring an additional 110,432 shares during the period. PharVision Advisers LLC purchased a new stake in Netflix during the 4th quarter valued at approximately $873,000. New England Research & Management Inc. grew its holdings in Netflix by 148.5% during the 1st quarter. New England Research & Management Inc. now owns 2,122 shares of the Internet television network's stock valued at $1,979,000 after buying an additional 1,268 shares in the last quarter. Finally, Sumitomo Mitsui DS Asset Management Company Ltd grew its holdings in shares of Netflix by 6.1% in the first quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 54,638 shares of the Internet television network's stock valued at $50,952,000 after purchasing an additional 3,137 shares in the last quarter. 80.93% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

Several analysts have recently weighed in on the company. Phillip Securities downgraded Netflix from a "hold" rating to a "strong sell" rating in a research report on Monday. Needham & Company LLC reissued a "buy" rating and issued a $1,500.00 price target on shares of Netflix in a report on Friday, July 18th. Macquarie increased their target price on Netflix from $1,150.00 to $1,200.00 and gave the company an "outperform" rating in a research report on Monday, April 21st. Canaccord Genuity Group reissued a "buy" rating on shares of Netflix in a research note on Thursday, July 10th. Finally, The Goldman Sachs Group raised their target price on Netflix from $1,000.00 to $1,140.00 and gave the stock a "neutral" rating in a research note on Wednesday, July 2nd. Three investment analysts have rated the stock with a sell rating, eleven have assigned a hold rating, twenty-two have assigned a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $1,297.66.

Netflix Stock Performance

Shares of NFLX stock traded down $0.27 during midday trading on Friday, hitting $1,180.49. The company had a trading volume of 2,624,404 shares, compared to its average volume of 3,928,007. The company has a debt-to-equity ratio of 0.58, a current ratio of 1.34 and a quick ratio of 1.20. Netflix, Inc. has a 52-week low of $587.04 and a 52-week high of $1,341.15. The stock has a market cap of $501.63 billion, a price-to-earnings ratio of 50.30, a PEG ratio of 1.99 and a beta of 1.59. The company's 50 day simple moving average is $1,236.44 and its 200 day simple moving average is $1,071.39.

Netflix (NASDAQ:NFLX - Get Free Report) last released its earnings results on Thursday, July 17th. The Internet television network reported $7.19 EPS for the quarter, beating the consensus estimate of $7.07 by $0.12. The firm had revenue of $11.08 billion during the quarter, compared to analyst estimates of $11.04 billion. Netflix had a return on equity of 42.50% and a net margin of 24.58%. The business's quarterly revenue was up 15.9% compared to the same quarter last year. During the same period in the prior year, the firm posted $4.88 earnings per share. Research analysts anticipate that Netflix, Inc. will post 24.58 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, Director Strive Masiyiwa sold 290 shares of the stock in a transaction dated Tuesday, July 1st. The stock was sold at an average price of $1,336.54, for a total value of $387,596.60. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CAO Jeffrey William Karbowski sold 620 shares of the company's stock in a transaction that occurred on Wednesday, June 25th. The shares were sold at an average price of $1,286.84, for a total value of $797,840.80. The disclosure for this sale can be found here. Over the last three months, insiders have sold 185,923 shares of company stock valued at $222,445,095. 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.