WCG Wealth Advisors LLC Takes $19 Million Position in Netflix, Inc. $NFLX

Key Points

• WCG Wealth Advisors opened a new position in Netflix during the fourth quarter, buying 202,693 shares valued at about $19 million.
• Institutional interest in Netflix remains strong overall, with large investors like Vanguard, Geode Capital, Norges Bank, and Baillie Gifford all reporting significant stakes; 80.93% of the stock is owned by institutions and hedge funds.
• Netflix recently beat quarterly expectations with $1.23 EPS on $12.25 billion in revenue, but the stock was down about 2.2% to $81.52 amid mixed analyst views and recent insider selling.

WCG Wealth Advisors LLC bought a new stake in Netflix, Inc. (NASDAQ:NFLX - Free Report) in the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm bought 202,693 shares of the Internet television network's stock, valued at approximately $19,004,000.

Several other hedge funds and other institutional investors also recently made changes to their positions in NFLX. Vanguard Group Inc. increased its stake in shares of 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 buying an additional 351,493,659 shares during the period. Geode Capital Management LLC increased its stake in shares of Netflix by 892.0% in the 4th quarter. Geode Capital Management LLC now owns 99,598,678 shares of the Internet television network's stock valued at $9,305,336,000 after buying an additional 89,558,684 shares during the period. Norges Bank acquired a new stake in shares of Netflix in the 4th quarter valued at $5,803,248,000. Baillie Gifford & Co. increased its stake in shares of Netflix by 912.3% in the 4th quarter. Baillie Gifford & Co. now owns 36,940,035 shares of the Internet television network's stock valued at $3,463,498,000 after buying an additional 33,290,988 shares during the period. Finally, Jennison Associates LLC increased its stake in shares of Netflix by 639.9% in the 4th quarter. Jennison Associates LLC now owns 34,871,951 shares of the Internet television network's stock valued at $3,269,594,000 after buying an additional 30,158,900 shares during the period. 80.93% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of equities research analysts recently commented on the company. TD Cowen reaffirmed a "buy" rating on shares of Netflix in a research note on Thursday, May 14th. Citizens Jmp reaffirmed a "market perform" rating on shares of Netflix in a research note on Wednesday, April 15th. Daiwa Securities Group lifted their price objective on Netflix from $97.00 to $102.00 and gave the stock an "outperform" rating in a research note on Thursday, April 23rd. Wolfe Research reaffirmed an "outperform" rating and set a $107.00 price objective on shares of Netflix in a research note on Friday, April 17th. Finally, Erste Group Bank lowered Netflix from a "buy" rating to a "hold" rating in a report on Monday, April 27th. Two analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating and sixteen have assigned a Hold rating to the company. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $114.82.

Netflix Stock Down 2.2%

NFLX stock opened at $81.52 on Thursday. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.41 and a quick ratio of 1.41. The stock has a market capitalization of $343.26 billion, a P/E ratio of 26.33, a P/E/G ratio of 1.06 and a beta of 1.50. The business has a 50-day moving average of $92.59 and a 200-day moving average of $92.67. Netflix, Inc. has a fifty-two week low of $75.01 and a fifty-two week high of $134.12.

Netflix (NASDAQ:NFLX - Get Free Report) last posted its quarterly earnings data on Thursday, April 16th. The Internet television network reported $1.23 earnings per share for the quarter, topping the consensus estimate of $0.76 by $0.47. The company had revenue of $12.25 billion during the quarter, compared to analysts' expectations of $12.17 billion. Netflix had a return on equity of 40.92% and a net margin of 28.52%.Netflix'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. On average, sell-side analysts anticipate that Netflix, Inc. will post 3.6 earnings per share for the current fiscal year.

Insider Activity at Netflix

In related news, Director Reed Hastings sold 420,550 shares of the stock in a transaction that occurred on Wednesday, April 1st. The stock was sold at an average price of $95.49, for a total transaction of $40,158,319.50. Following the sale, the director owned 3,940 shares of the company's stock, valued at $376,230.60. This represents a 99.07% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Spencer Adam Neumann sold 28,630 shares of the stock in a transaction on Thursday, April 2nd. The shares were sold at an average price of $98.00, for a total value of $2,805,740.00. Following the completion of the transaction, the chief financial officer owned 73,787 shares of the company's stock, valued at $7,231,126. The trade was a 27.95% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 1,313,029 shares of company stock valued at $120,315,776 in the last 90 days. Corporate insiders own 1.24% of the company's stock.

Key Stories Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix is expanding beyond core streaming with live-content initiatives, including live daily streaming of The Breakfast Club, plus franchise-based consumer product deals that could add new revenue streams over time.
• Positive Sentiment: Some commentary says the pullback may make Netflix look more attractive, pointing to stronger free cash flow guidance and a scaling advertising business as longer-term supports.
• Neutral Sentiment: Analyst and media discussion is increasingly focused on whether Netflix is evolving from a pure growth story into a more mature, value-like stock, which may affect how investors price it going forward.
• Negative Sentiment: Netflix stock has been falling despite generally positive business updates, suggesting weaker investor sentiment and concerns about valuation and near-term momentum.
• Negative Sentiment: Director and co-founder Reed Hastings sold 386,700 shares in a pre-planned 10b5-1 transaction, which can weigh on sentiment even though the sale was scheduled in advance. Reed Hastings Sells 386,700 Shares of Netflix NASDAQ: NFLX Stock

Netflix Company Profile

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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