Twin Lakes Capital Management LLC Boosts Position in Netflix, Inc. $NFLX

Key Points

• Twin Lakes Capital Management increased its Netflix stake by 4,592.9% in the first quarter, ending with 36,980 shares valued at approximately $3.56 million. Institutional investors collectively own 80.93% of Netflix.
• Netflix reported quarterly EPS of $0.80, slightly above expectations, while revenue of $12.56 billion narrowly missed estimates but grew 13.4% year over year.
• The outlook is mixed: live programming, advertising growth and international engagement support the business, but weaker guidance, slowing growth concerns and declining season-two viewership have raised investor caution. Analysts maintain a “Moderate Buy” consensus with an average target price of $103.48.

Twin Lakes Capital Management LLC raised its holdings in shares of Netflix, Inc. (NASDAQ:NFLX - Free Report) by 4,592.9% during the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 36,980 shares of the Internet television network's stock after buying an additional 36,192 shares during the period. Netflix comprises 1.4% of Twin Lakes Capital Management LLC's investment portfolio, making the stock its 20th largest position. Twin Lakes Capital Management LLC's holdings in Netflix were worth $3,556,000 as of its most recent SEC filing.

Other hedge funds have also made changes to their positions in the company. Vanguard Group Inc. increased its holdings in Netflix by 912.5% in the 4th quarter. Vanguard Group Inc. now owns 390,014,981 shares of the Internet television network's stock valued at $36,567,805,000 after purchasing an additional 351,493,659 shares in the last quarter. State Street Corp lifted its stake in shares of Netflix by 927.6% during 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 in the last quarter. Geode Capital Management LLC lifted its stake 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 boosted its position in shares of Netflix by 859.1% in 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 buying an additional 80,025,890 shares during the period. Finally, Morgan Stanley boosted its position in shares of Netflix by 903.0% in the fourth quarter. Morgan Stanley now owns 85,349,973 shares of the Internet television network's stock worth $8,002,414,000 after buying an additional 76,840,318 shares during the period. Hedge funds and other institutional investors own 80.93% of the company's stock.

Key Headlines Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix is reportedly paying approximately $200 million for U.S. and Canadian broadcast rights to the 2027 FIFA Women’s World Cup. The deal could expand its live-programming offering, attract new viewers and support advertising growth. Netflix to pay $200M for US Women’s World Cup broadcast rights
• Positive Sentiment: Analysts and commentators continue to point to Netflix’s selective live-content strategy, growing ad business, strong cash generation and share repurchases as potential long-term earnings drivers. One market commentator also named NFLX as a preferred trade. Netflix’s Live Content Push
• Positive Sentiment: Netflix overtook the BBC as the top viewing choice among U.K. audiences in an Ofcom report, supporting the company’s international reach and engagement. Netflix overtakes BBC in U.K. viewing
• Positive Sentiment: Canada appears poised to eliminate a levy on streaming companies, which could reduce Netflix’s regulatory and content-related costs in that market. Netflix tax to be cut in Canada
• Neutral Sentiment: LVMH CEO Bernard Arnault disclosed that he once owned nearly 20% of Netflix but sold too early. The anecdote may draw attention to Netflix’s historical returns, but it has no direct effect on the company’s current fundamentals. Bernard Arnault’s former Netflix stake
• Negative Sentiment: Netflix’s latest quarterly revenue slightly missed Wall Street expectations, while disappointing third-quarter guidance reinforced concerns that the company’s rapid growth phase is slowing. Netflix’s growth outlook
• Negative Sentiment: Erste Group lowered its 2027 EPS estimate and maintained a “Hold” rating. Other coverage argues Roku currently offers a stronger risk-reward profile because of its lower valuation and raised guidance. NFLX versus Roku
• Negative Sentiment: Questions about declining season-two viewership, including for “Ransom Canyon,” raise concerns about content durability and Netflix’s ability to sustain engagement without continuously increasing spending. Ransom Canyon viewership concerns

Netflix Stock Performance

Shares of NFLX stock opened at $73.63 on Thursday. The stock has a market capitalization of $306.59 billion, a price-to-earnings ratio of 23.18, a PEG ratio of 0.91 and a beta of 1.52. Netflix, Inc. has a one year low of $65.08 and a one year high of $126.71. The company's 50-day simple moving average is $77.32 and its 200-day simple moving average is $85.62. The company has a debt-to-equity ratio of 0.39, a quick ratio of 1.14 and a current ratio of 1.14.

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

Insider Buying and Selling

In other news, CEO Gregory K. Peters sold 27,312 shares of the business's stock in a transaction that occurred on Thursday, May 7th. The stock was sold at an average price of $88.69, for a total value of $2,422,301.28. Following the completion of the sale, the chief executive officer directly owned 120,931 shares in the company, valued at approximately $10,725,370.39. The trade was a 18.42% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Spencer Adam Neumann sold 9,253 shares of the company's stock in a transaction that occurred on Thursday, May 7th. The shares were sold at an average price of $88.95, for a total value of $823,054.35. Following the sale, the chief financial officer directly owned 73,787 shares in the company, valued at approximately $6,563,353.65. This represents a 11.14% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 899,839 shares of company stock worth $80,141,661. 1.24% of the stock is currently owned by insiders.

Wall Street Analysts Forecast Growth

NFLX has been the topic of several analyst reports. UBS Group dropped their target price on Netflix from $130.00 to $115.00 and set a "buy" rating on the stock in a report on Friday, July 17th. HSBC upped their price target on Netflix from $106.00 to $114.00 and gave the stock a "buy" rating in a report on Friday, April 10th. CLSA assumed coverage on shares of Netflix in a research report on Monday, July 20th. They issued an "outperform" rating for the company. Citizens Jmp reiterated a "market perform" rating on shares of Netflix in a research note on Wednesday, April 15th. Finally, Oppenheimer set a $85.00 target price on shares of Netflix and gave the company an "outperform" rating in a research note on Friday, July 17th. Four equities research analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, seventeen have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $103.48.

About Netflix

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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