FY2026 EPS Estimates for Netflix Raised by Erste Group Bank

Key Points

• Erste Group raised its FY2026 EPS estimate for Netflix to $3.15 (from $3.14) and maintained a Buy rating, while forecasting FY2027 EPS of $3.86.
• Operational catalysts cited include advertising revenue accelerating roughly 2.5x to about $1.5B, a BTS livestream drawing 18.4 million viewers, and expanding ad products—factors analysts say are supporting the recent stock uptick.
• Risks remain from valuation and insider activity: Netflix trades at a P/E of about 36.5 (and roughly 7.3x price/sales), and insiders sold ~1.52 million shares (~$137M) in the past 90 days, which could weigh on the stock if growth or ad momentum slows.

Netflix, Inc. (NASDAQ:NFLX - Free Report) - Equities research analysts at Erste Group Bank raised their FY2026 EPS estimates for shares of Netflix in a research note issued to investors on Tuesday, March 24th. Erste Group Bank analyst H. Engel now expects that the Internet television network will post earnings of $3.15 per share for the year, up from their previous estimate of $3.14. Erste Group Bank currently has a "Buy" rating on the stock. The consensus estimate for Netflix's current full-year earnings is $24.58 per share. Erste Group Bank also issued estimates for Netflix's FY2027 earnings at $3.86 EPS.

NFLX has been the topic of several other research reports. Citic Securities decreased their price objective on Netflix from $109.00 to $95.00 and set a "hold" rating on the stock in a report on Monday, January 26th. Sanford C. Bernstein restated a "buy" rating on shares of Netflix in a research note on Wednesday, February 18th. Benchmark reaffirmed a "hold" rating on shares of Netflix in a research report on Tuesday, January 13th. Wedbush reiterated an "outperform" rating and set a $115.00 price target on shares of Netflix in a research note on Friday, February 20th. Finally, UBS Group set a $104.00 price target on shares of Netflix in a report on Tuesday, January 27th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-six have assigned a Buy rating and twelve have given a Hold rating to the company. According to data from MarketBeat.com, Netflix has a consensus rating of "Moderate Buy" and a consensus price target of $114.35.

Netflix Trading Up 1.5%

Shares of NFLX opened at $92.28 on Thursday. The stock's 50-day moving average price is $87.04 and its 200 day moving average price is $101.04. The company has a quick ratio of 1.19, a current ratio of 1.19 and a debt-to-equity ratio of 0.51. The firm has a market capitalization of $389.62 billion, a price-to-earnings ratio of 36.52, a P/E/G ratio of 1.39 and a beta of 1.68. Netflix has a 12-month low of $75.01 and a 12-month high of $134.12.

Netflix (NASDAQ:NFLX - Get Free Report) last released its earnings results on Tuesday, January 20th. The Internet television network reported $0.56 earnings per share for the quarter, beating the consensus estimate of $0.55 by $0.01. Netflix had a net margin of 24.30% and a return on equity of 43.26%. The business had revenue of $12.05 billion during the quarter, compared to analysts' expectations of $11.97 billion. During the same quarter last year, the company earned $0.43 earnings per share. The firm's revenue was up 17.6% on a year-over-year basis. Netflix has set its Q1 2026 guidance at 0.760-0.760 EPS.

Hedge Funds Weigh In On Netflix

Several institutional investors have recently bought and sold shares of NFLX. Imprint Wealth LLC bought a new position in shares of Netflix in the third quarter valued at about $25,000. Retirement Wealth Solutions LLC bought a new stake in Netflix during the 3rd quarter worth about $28,000. Steph & Co. increased its position in Netflix by 188.9% in the 3rd quarter. Steph & Co. now owns 26 shares of the Internet television network's stock valued at $31,000 after acquiring an additional 17 shares in the last quarter. Bare Financial Services Inc raised its stake 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 worth $35,000 after acquiring an additional 14 shares during the last quarter. Finally, Horizon Financial Services LLC raised its stake in shares of Netflix by 480.0% in the third quarter. Horizon Financial Services LLC now owns 29 shares of the Internet television network's stock worth $35,000 after acquiring an additional 24 shares during the last quarter. Institutional investors own 80.93% of the company's stock.

Insider Transactions at Netflix

In other news, Director Reed Hastings sold 426,290 shares of Netflix stock in a transaction that occurred on Friday, January 2nd. The shares were sold at an average price of $91.67, for a total value of $39,078,004.30. Following the completion of the transaction, the director owned 3,940 shares in the company, valued at approximately $361,179.80. The trade was a 99.08% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Bradford L. Smith sold 31,790 shares of the business's stock in a transaction that occurred on Thursday, January 15th. The stock was sold at an average price of $88.86, for a total value of $2,824,859.40. Following the completion of the transaction, the director directly owned 79,690 shares in the company, valued at $7,081,253.40. The trade was a 28.52% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 1,520,133 shares of company stock valued at $137,259,786. 1.37% of the stock is owned by company insiders.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Ad business accelerating — reports show Netflix’s advertising revenue jumped roughly 2.5x to about $1.5B, driven by AI targeting and global scale, supporting the company’s monetization thesis and near-term revenue upside. Netflix Rides on Strong Advertising Revenues: More Upside Ahead?
• Positive Sentiment: Huge live-audience engagement — Netflix said the BTS Seoul concert livestream drew 18.4 million global viewers, signaling strong reach for live and event-based programming that can boost subscriptions and ad inventory value. BTS Seoul concert livestream draws 18.4 million global viewers, Netflix says
• Positive Sentiment: Ad product expansion — Joey Ai announced premium advertising opportunities on Netflix Canada, indicating continued third‑party interest in Netflix’s ad platform and potential to expand ad revenue internationally. Joey Ai Expands Netflix Advertising Opportunities in Canada
• Positive Sentiment: Analyst backing — recent upgrades and reiterated Outperform ratings (including Erste Group and Bernstein coverage) provide short-term buy-side support and may underpin today’s upward move. Sentiment Shifts on These Beaten Down Stocks: NFLX, ORCL
• Neutral Sentiment: Marketing tie-ins widen reach — a McDonald’s tie-in with the Netflix film “KPop Demon Hunters” is expected to drive mass awareness (analyst suggests big sales for McDonald’s), offering promotional upside for Netflix but limited direct revenue impact. Gonna be golden: These ‘KPop Demon Hunters’ meals could make McDonald’s $100 million
• Neutral Sentiment: Strategic content moves — partnerships like the Warner Music first‑look deal and Netflix walking away from a Warner Bros. acquisition both reshape content strategy; they affect medium‑term growth mix but are mixed for near-term stock direction. Is Netflix’s (NFLX) Warner Music Deal a Clue to Its Next Advertising Growth Lever?
• Negative Sentiment: Valuation concerns — analysts note Netflix trades at ~7.3x price/sales and caution that slowing core growth plus heavy early‑2026 content spending could make the multiple look stretched, leaving the stock vulnerable if ad or subscriber momentum softens. Is Netflix Stock's 7.3X PS Still Worth it? Buy, Sell, or Hold?
• Negative Sentiment: Investor sentiment and Q4 concerns — investor letters and coverage flag lingering sentiment pressure from recent quarters and strategic uncertainty, which can weigh on multiples despite operational progress. Investors’ Concerns Hurt Netflix (NFLX) in Q4

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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