Rheos Capital Works Inc. Acquires 63,600 Shares of Netflix, Inc. $NFLX

Key Points

• Rheos Capital Works Inc. significantly increased its stake in Netflix, acquiring an additional 63,600 shares, bringing its total ownership to 116,800 shares, making Netflix its largest holding.
• Major institutional investors including Vanguard Group Inc. and Price T Rowe Associates Inc. have also increased their holdings in Netflix, with institutional investors now owning 80.93% of the company's stock.
• Analysts have varying ratings for Netflix, with a consensus of a "Moderate Buy" and an average price target of $1,337.63, indicating optimism about the company's future performance.

Rheos Capital Works Inc. increased its stake in Netflix, Inc. (NASDAQ:NFLX - Free Report) by 119.5% during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 116,800 shares of the Internet television network's stock after acquiring an additional 63,600 shares during the quarter. Netflix comprises 9.0% of Rheos Capital Works Inc.'s holdings, making the stock its largest holding. Rheos Capital Works Inc.'s holdings in Netflix were worth $156,410,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds and other institutional investors have also recently modified their holdings of the company. Vanguard Group Inc. lifted its holdings in Netflix by 1.4% in the first quarter. Vanguard Group Inc. now owns 37,997,260 shares of the Internet television network's stock valued at $35,433,585,000 after buying an additional 509,255 shares during the period. Price T Rowe Associates Inc. MD lifted its stake in shares of Netflix by 2.7% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 11,732,066 shares of the Internet television network's stock valued at $10,940,505,000 after purchasing an additional 304,399 shares during the period. Alliancebernstein L.P. lifted its stake in shares of Netflix by 1.0% in the 1st quarter. Alliancebernstein L.P. now owns 5,194,939 shares of the Internet television network's stock valued at $4,844,436,000 after purchasing an additional 53,611 shares during the period. Invesco Ltd. lifted its stake in Netflix by 8.3% in the first quarter. Invesco Ltd. now owns 4,664,818 shares of the Internet television network's stock valued at $4,350,083,000 after buying an additional 356,617 shares during the period. Finally, Wellington Management Group LLP lifted its stake in Netflix by 3.5% in the first quarter. Wellington Management Group LLP now owns 4,385,666 shares of the Internet television network's stock valued at $4,089,765,000 after buying an additional 148,675 shares during the period. Institutional investors and hedge funds own 80.93% of the company's stock.

Analysts Set New Price Targets

Several brokerages have issued reports on NFLX. Citigroup reissued a "neutral" rating and issued a $1,295.00 price target (up from $1,280.00) on shares of Netflix in a research note on Friday, October 3rd. Loop Capital upgraded shares of Netflix from a "hold" rating to a "buy" rating and lifted their price objective for the company from $1,150.00 to $1,350.00 in a report on Wednesday, September 17th. Rosenblatt Securities upped their target price on shares of Netflix from $1,514.00 to $1,515.00 and gave the stock a "buy" rating in a report on Friday, July 18th. Phillip Securities lowered Netflix from a "hold" rating to a "strong sell" rating in a research report on Monday, July 21st. Finally, Zacks Research downgraded shares of Netflix from a "strong-buy" rating to a "hold" rating in a report on Monday, September 1st. Two investment analysts have rated the stock with a Strong Buy rating, twenty-six have assigned a Buy rating, eight have assigned a Hold rating and three have given a Sell rating to the company. According to MarketBeat.com, Netflix presently has a consensus rating of "Moderate Buy" and an average price target of $1,337.63.

Netflix Stock Performance

NASDAQ:NFLX opened at $1,215.35 on Wednesday. The business has a fifty day simple moving average of $1,213.15 and a two-hundred day simple moving average of $1,172.10. Netflix, Inc. has a 1 year low of $677.88 and a 1 year high of $1,341.15. The company has a market capitalization of $516.43 billion, a P/E ratio of 51.78, a P/E/G ratio of 2.05 and a beta of 1.59. The company has a debt-to-equity ratio of 0.58, a current ratio of 1.34 and a quick ratio of 1.34.

Netflix (NASDAQ:NFLX - Get Free Report) last announced its quarterly earnings data on Thursday, July 17th. The Internet television network reported $7.19 earnings per share for the quarter, topping the consensus estimate of $7.07 by $0.12. The company 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 firm's revenue for the quarter was up 15.9% on a year-over-year basis. During the same quarter last year, the firm posted $4.88 EPS. Netflix has set its FY 2025 guidance at EPS. Q3 2025 guidance at 6.870-6.870 EPS. On average, analysts expect that Netflix, Inc. will post 24.58 earnings per share for the current year.

Insider Buying and Selling

In other news, Director Reed Hastings sold 42,176 shares of Netflix stock in a transaction on Wednesday, October 1st. The stock was sold at an average price of $1,171.92, for a total value of $49,426,897.92. Following the completion of the transaction, the director directly owned 394 shares in the company, valued at approximately $461,736.48. The trade was a 99.07% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Spencer Adam Neumann sold 2,601 shares of the company's stock in a transaction dated Friday, August 1st. The shares were sold at an average price of $1,162.40, for a total value of $3,023,402.40. Following the sale, the chief financial officer owned 3,691 shares in the company, valued at approximately $4,290,418.40. This represents a 41.34% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 104,100 shares of company stock valued at $122,710,980 in the last 90 days. Corporate insiders own 1.37% of the company's stock.

Netflix Company Profile

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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