Westover Capital Advisors LLC Increases Position in Netflix, Inc. $NFLX

Key Points

• Westover Capital Advisors sharply increased its Netflix stake by 835.4% in the fourth quarter, ending with 95,482 shares valued at about $8.95 million.
• Several other institutional investors also boosted holdings, and 80.93% of Netflix stock is owned by hedge funds and other institutions, underscoring strong institutional interest in the company.
• Netflix reported better-than-expected quarterly results, with $1.23 EPS versus $0.76 expected and $12.25 billion in revenue, while analysts currently rate the stock a Moderate Buy with an average price target of $114.82.

Westover Capital Advisors LLC lifted its position in Netflix, Inc. (NASDAQ:NFLX - Free Report) by 835.4% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 95,482 shares of the Internet television network's stock after purchasing an additional 85,274 shares during the period. Netflix comprises 1.6% of Westover Capital Advisors LLC's portfolio, making the stock its 17th largest holding. Westover Capital Advisors LLC's holdings in Netflix were worth $8,952,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Vanguard Group Inc. increased its stake in shares of Netflix by 0.4% in the third quarter. Vanguard Group Inc. now owns 38,521,322 shares of the Internet television network's stock worth $46,183,983,000 after purchasing an additional 142,238 shares in the last quarter. Checchi Capital Advisers LLC grew its stake in Netflix by 875.7% during the fourth quarter. Checchi Capital Advisers LLC now owns 31,143 shares of the Internet television network's stock valued at $2,920,000 after acquiring an additional 27,951 shares in the last quarter. Contravisory Investment Management Inc. grew its stake in Netflix by 837.2% during the fourth quarter. Contravisory Investment Management Inc. now owns 111,380 shares of the Internet television network's stock valued at $10,443,000 after acquiring an additional 99,496 shares in the last quarter. BNC Wealth Management LLC grew its stake in Netflix by 991.3% during the fourth quarter. BNC Wealth Management LLC now owns 41,229 shares of the Internet television network's stock valued at $3,866,000 after acquiring an additional 37,451 shares in the last quarter. Finally, Crew Capital Management Ltd grew its stake in Netflix by 1,021.9% during the fourth quarter. Crew Capital Management Ltd now owns 9,031 shares of the Internet television network's stock valued at $847,000 after acquiring an additional 8,226 shares in the last quarter. 80.93% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling at Netflix

In other Netflix news, Director Reed Hastings sold 420,550 shares of the stock in a transaction on Wednesday, April 1st. The shares were sold at an average price of $95.49, for a total transaction of $40,158,319.50. Following the completion of the transaction, the director owned 3,940 shares in the company, valued at $376,230.60. This trade represents a 99.07% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Spencer Adam Neumann sold 57,260 shares of the stock in a transaction on Friday, February 27th. The shares were sold at an average price of $95.50, for a total transaction of $5,468,330.00. Following the transaction, the chief financial officer owned 73,787 shares of the company's stock, valued at $7,046,658.50. This trade represents a 43.69% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 1,422,769 shares of company stock valued at $135,144,073 over the last ninety days. Corporate insiders own 1.24% of the company's stock.

Netflix Price Performance

NFLX stock opened at $88.60 on Monday. Netflix, Inc. has a 52 week low of $75.01 and a 52 week high of $134.12. The company has a quick ratio of 1.41, a current ratio of 1.41 and a debt-to-equity ratio of 0.43. The company has a fifty day simple moving average of $93.88 and a two-hundred day simple moving average of $93.93. The firm has a market capitalization of $373.08 billion, a P/E ratio of 28.62, a price-to-earnings-growth ratio of 1.13 and a beta of 1.55.

Netflix (NASDAQ:NFLX - Get Free Report) last released its quarterly earnings data on Thursday, April 16th. The Internet television network reported $1.23 EPS for the quarter, beating the consensus estimate of $0.76 by $0.47. Netflix had a net margin of 28.52% and a return on equity of 40.92%. The business had revenue of $12.25 billion during the quarter, compared to analyst estimates of $12.17 billion. During the same quarter last year, the business earned $6.61 earnings per share. Netflix's quarterly revenue was up 16.2% compared to the same quarter last year. Netflix has set its Q2 2026 guidance at 0.780-0.780 EPS. Analysts anticipate that Netflix, Inc. will post 3.6 earnings per share for the current fiscal year.

Key Headlines Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix’s ad-supported tier has surpassed 250 million monthly viewers, reinforcing the company’s advertising growth story and supporting the bull case for future revenue expansion. Netflix ad-supported tier tops 250M monthly viewers as sports push deepens
• Positive Sentiment: Netflix is deepening its partnership with iHeartMedia by streaming “The Breakfast Club” live daily, a sign it is pushing further into live and podcast-style programming that could broaden engagement and ad inventory. iHeartMedia and Netflix Deepen Partnership with Daily Live Video Stream of The Breakfast Club
• Positive Sentiment: CNBC highlighted Netflix as a “final trade,” suggesting some short-term trading interest from market watchers. IBM, ServiceNow, Netflix And A Basic Materials Stock: CNBC's 'Final Trades'
• Neutral Sentiment: BetterInvesting questioned whether Netflix is fairly valued after its recent report, which keeps the stock in “show-me” territory even after strong earnings and revenue growth. BetterInvesting™ Magazine Update on Netflix NASDAQ: NFLX and ExlService Holdings Inc. NASDAQ: EXLS
• Neutral Sentiment: Analyst commentary noted Netflix as a possible suitor if IMAX is sold, but this is speculative and not a confirmed deal driver. IMAX Potential Suitors Include Netflix, Apple, Wedbush Says
• Negative Sentiment: Canada’s new streaming rules would require Netflix to contribute a larger share of domestic revenue to Canadian content, raising compliance costs for the business. Canada Raises Streaming Content Requirement to 15% for Netflix, Disney, Amazon
• Negative Sentiment: Separate reporting also flagged higher costs from the same Canadian policy change, adding a modest regulatory headwind for Netflix and other streamers. Netflix, Spotify to face higher costs as CRTC changes rules

Wall Street Analysts Forecast Growth

Several equities analysts recently weighed in on NFLX shares. Bank of America reaffirmed a "buy" rating and set a $125.00 target price on shares of Netflix in a research note on Monday, May 18th. Citigroup started coverage on shares of Netflix in a research note on Thursday, April 16th. They set a "market perform" rating for the company. Wells Fargo & Company started coverage on shares of Netflix in a research note on Monday, March 9th. They set an "equal weight" rating and a $105.00 target price for the company. UBS Group set a $104.00 target price on shares of Netflix in a research note on Tuesday, January 27th. Finally, Weiss Ratings raised shares of Netflix from a "hold (c)" rating to a "hold (c+)" rating in a research note on Monday, May 4th. Two investment analysts have rated the stock with a Strong Buy rating, thirty-four have assigned a Buy rating and sixteen have assigned a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $114.82.

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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