Verde Capital Management Boosts Stock Position in Netflix, Inc. $NFLX

Key Points

• Verde Capital Management boosted its Netflix stake by 37.1% in the first quarter, buying 16,189 shares to bring its total to 59,807 shares worth about $5.75 million.
• Netflix continues to add content and partnerships, including an expanded video podcast deal with iHeartMedia and the acquisition of a “Hot Ones” spinoff, both aimed at strengthening its creator-driven programming.
• Despite some recent pressure on the stock and mixed sentiment around missed acquisition opportunities, Netflix reported better-than-expected quarterly earnings and revenue, while analysts currently rate the stock a Moderate Buy on average.

Verde Capital Management increased its stake in shares of Netflix, Inc. (NASDAQ:NFLX - Free Report) by 37.1% during the first quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 59,807 shares of the Internet television network's stock after buying an additional 16,189 shares during the quarter. Netflix comprises 1.2% of Verde Capital Management's holdings, making the stock its 15th largest position. Verde Capital Management's holdings in Netflix were worth $5,750,000 as of its most recent filing with the SEC.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in the stock. Imprint Wealth LLC purchased a new position in shares of Netflix during the 3rd quarter worth $25,000. Bare Financial Services Inc grew its holdings in shares of Netflix by 93.3% in the third quarter. Bare Financial Services Inc now owns 29 shares of the Internet television network's stock valued at $35,000 after purchasing an additional 14 shares during the period. Horizon Financial Services LLC increased its position in Netflix by 480.0% during the third quarter. Horizon Financial Services LLC now owns 29 shares of the Internet television network's stock worth $35,000 after purchasing an additional 24 shares during the last quarter. Promus Capital LLC acquired a new stake in Netflix during the third quarter worth about $48,000. Finally, Aviso Financial Inc. increased its position in Netflix by 40.0% during the third quarter. Aviso Financial Inc. now owns 42 shares of the Internet television network's stock worth $50,000 after purchasing an additional 12 shares during the last quarter. Institutional investors and hedge funds own 80.93% of the company's stock.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix expanded its video podcast partnership with iHeartMedia, adding more iHeartPodcasts as video shows on the platform and strengthening its content offering. Netflix Expands Video Podcast Partnership with iHeartMedia
• Positive Sentiment: Netflix bought a “Hot Ones” spinoff, a content deal that reinforces its rivalry with YouTube and supports its push into popular creator-driven programming. Netflix Buys a ‘Hot Ones’ Spinoff
• Neutral Sentiment: Some commentary argues Netflix may look undervalued after the recent selloff, with analysts still seeing upside if the business continues to execute. Is Netflix Inc (NFLX) a Bargain After 5.8% Drop? GF Value Says Undervalued
• Negative Sentiment: Investor sentiment was hurt by reports that Netflix was outbid or passed over on major acquisition targets, fueling concern that the company is missing strategic growth opportunities. After Missing Out on Roku, Netflix Claims It Won't Buy Lionsgate. Here's Why the Market Hates That Answer.
• Negative Sentiment: Analysts and market commentators warned against “catching the falling knife,” reflecting concern that NFLX could remain under pressure after breaking to new lows. Netflix Stock Slump Continues: Citizens JMP Warns Against Catching the Falling Knife

Netflix Stock Performance

Shares of Netflix stock opened at $72.88 on Tuesday. The business has a 50-day moving average of $88.30 and a 200 day moving average of $89.75. Netflix, Inc. has a 12 month low of $71.81 and a 12 month high of $134.12. The stock has a market capitalization of $306.88 billion, a price-to-earnings ratio of 23.54, a price-to-earnings-growth ratio of 0.98 and a beta of 1.50. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.41 and a quick ratio of 1.41.

Netflix (NASDAQ:NFLX - Get Free Report) last issued its quarterly earnings results on Thursday, April 16th. The Internet television network reported $1.23 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.76 by $0.47. The company had revenue of $12.25 billion for the quarter, compared to analyst estimates of $12.17 billion. Netflix had a net margin of 28.52% and a return on equity of 40.92%. The business's revenue for the quarter was up 16.2% compared to the same quarter last year. During the same period in the prior year, the firm earned $6.61 earnings per share. Netflix has set its Q2 2026 guidance at 0.780-0.780 EPS. As a group, sell-side analysts forecast that Netflix, Inc. will post 3.6 earnings per share for the current year.

Wall Street Analysts Forecast Growth

Several equities analysts have weighed in on NFLX shares. Jefferies Financial Group decreased their target price on shares of Netflix from $128.00 to $110.00 and set a "buy" rating on the stock in a report on Wednesday, June 10th. Needham & Company LLC restated a "buy" rating on shares of Netflix in a report on Friday, April 17th. Huber Research raised shares of Netflix from a "strong sell" rating to a "strong-buy" rating in a research report on Friday, February 27th. Citizens Jmp reiterated a "market perform" rating on shares of Netflix in a report on Wednesday, April 15th. Finally, President Capital increased their price objective on Netflix from $133.00 to $134.00 and gave the stock a "buy" rating in a research report on Tuesday, March 31st. Two analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, sixteen have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, Netflix currently has an average rating of "Moderate Buy" and an average target price of $114.26.

Insider Activity at Netflix

In other Netflix news, CEO Gregory K. Peters sold 27,312 shares of the stock in a transaction that occurred on Thursday, May 7th. The shares were sold at an average price of $88.69, for a total transaction of $2,422,301.28. Following the sale, the chief executive officer directly owned 120,931 shares in the company, valued at $10,725,370.39. This represents a 18.42% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, Director Bradford L. Smith sold 35,990 shares of the firm's stock in a transaction that occurred on Wednesday, June 17th. The shares were sold at an average price of $77.52, for a total transaction of $2,789,944.80. Following the completion of the transaction, the director directly owned 79,690 shares of the company's stock, valued at $6,177,568.80. This represents a 31.11% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 1,349,019 shares of company stock worth $123,105,721 over the last 90 days. 1.24% of the stock is currently owned by corporate insiders.

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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