Wittenberg Investment Management Inc. Raises Stake in Netflix, Inc. $NFLX

Key Points

• Wittenberg Investment Management increased its Netflix stake by 889.8% in the fourth quarter, ending with 14,530 shares valued at about $1.36 million.
• Netflix’s latest earnings beat expectations, with $1.23 EPS on $12.25 billion in revenue, and revenue rose 16.2% year over year. The company also posted strong profitability, including a 28.52% net margin.
• Despite some recent caution from analysts over a lack of near-term catalysts, the broader outlook remains constructive: Wall Street’s consensus rating is Moderate Buy, with an average price target of $114.39.

Wittenberg Investment Management Inc. boosted its position in Netflix, Inc. (NASDAQ:NFLX - Free Report) by 889.8% during the fourth quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 14,530 shares of the Internet television network's stock after buying an additional 13,062 shares during the period. Wittenberg Investment Management Inc.'s holdings in Netflix were worth $1,362,000 as of its most recent filing with the Securities & Exchange Commission.

Other large investors have also recently bought and sold shares of the company. Imprint Wealth LLC purchased a new stake in Netflix in the third quarter valued at approximately $25,000. Bare Financial Services Inc boosted its position in Netflix by 93.3% in the 3rd quarter. Bare Financial Services Inc now owns 29 shares of the Internet television network's stock worth $35,000 after purchasing an additional 14 shares in the last quarter. Horizon Financial Services LLC boosted its position in Netflix by 480.0% in the 3rd 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 in the last quarter. Redmont Wealth Advisors LLC purchased a new stake in Netflix in the 3rd quarter worth approximately $36,000. Finally, Promus Capital LLC purchased a new stake in Netflix in the 3rd quarter worth approximately $48,000. Hedge funds and other institutional investors own 80.93% of the company's stock.

Netflix News Roundup

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Jim Cramer said, “I want to buy Netflix,” which can reinforce the view that the recent weakness is a buying opportunity rather than a sign of deteriorating fundamentals. Jim Cramer Says “I Want to Buy Netflix”
• Positive Sentiment: Analyst-focused articles noted that Netflix has fallen sharply since its last earnings report, but Wall Street still sees meaningful upside, suggesting valuation support if growth reaccelerates. Here’s What Dragging Netflix (NFLX) Down
• Positive Sentiment: Omdia forecast Netflix could approach 400 million subscribers by 2031, reinforcing the company’s long-term leadership in global streaming and supporting the bull case for future revenue growth. Omdia: Netflix to Reach 400 Million Subscribers by 2031
• Positive Sentiment: Netflix’s new FIFA gaming partnership adds another engagement lever, which could help reduce churn and strengthen subscriber retention over time. FIFA Deal Tests How Netflix Uses Games To Deepen Subscriber Engagement
• Neutral Sentiment: Commentary that Netflix remains a “high-quality compounder back on sale” reflects a favorable long-term view, but it does not add a new near-term catalyst. Netflix: A High-Quality Compounder Back On Sale
• Neutral Sentiment: Multiple articles framed Netflix as one of the better long-term stock ideas in the media space, but these are mostly opinion pieces rather than hard business updates. Netflix (NFLX): 10 Best Stocks to Buy Now For Next 3 Months
• Negative Sentiment: A price-target cut due to a lack of fresh catalysts points to investor concern that Netflix may need a clearer near-term driver to regain momentum. Netflix Stock Gets Price-Target Cut On Lack Of Catalysts
• Negative Sentiment: The proposed Paramount Skydance/Warner Bros. Discovery deal could create a larger streaming competitor, which is one reason Netflix publicly opposed the transaction. DOJ Clears Paramount Skydance’s $110 Billion Warner Bros. Discovery Acquisition Without Conditions

Insider Activity

In other 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 transaction, the director owned 3,940 shares in the company, valued at $376,230.60. This trade represents a 99.07% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider David A. Hyman sold 5,722 shares of the stock in a transaction that occurred on Tuesday, May 5th. The shares were sold at an average price of $88.08, for a total value of $503,993.76. Following the transaction, the insider owned 316,100 shares in the company, valued at $27,842,088. This trade represents a 1.78% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last ninety days, insiders have sold 1,313,029 shares of company stock worth $120,315,776. Insiders own 1.24% of the company's stock.

Netflix Stock Performance

Shares of NASDAQ:NFLX opened at $80.34 on Monday. Netflix, Inc. has a 1 year low of $75.01 and a 1 year high of $134.12. The firm has a market capitalization of $338.30 billion, a price-to-earnings ratio of 25.95, a price-to-earnings-growth ratio of 1.02 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. The business's 50 day moving average price is $90.93 and its 200-day moving average price is $91.00.

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

Wall Street Analysts Forecast Growth

Several equities research analysts have commented on NFLX shares. Phillip Securities upped their price objective on Netflix from $100.00 to $110.00 in a research report on Monday, April 20th. Morgan Stanley restated an "overweight" rating on shares of Netflix in a research report on Friday, April 17th. China Renaissance upped their price objective on Netflix from $90.00 to $100.00 and gave the stock a "hold" rating in a research report on Friday, April 17th. DZ Bank restated a "buy" rating on shares of Netflix in a research report on Friday, April 17th. Finally, Wells Fargo & Company started coverage on Netflix in a research report on Monday, March 9th. They issued an "equal weight" rating and a $105.00 price objective on the stock. Two analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating and sixteen have issued a Hold rating to the company. According to MarketBeat, Netflix has an average rating of "Moderate Buy" and a consensus price target of $114.39.

Netflix 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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