Netflix (NASDAQ:NFLX) Price Target Lowered to $1,425.00 at TD Cowen

Key Points

• TD Cowen has lowered its price target for Netflix from $1,450.00 to $1,425.00, maintaining a "buy" rating, which indicates a potential upside of 20.14% from the current stock price.
• Netflix reported earnings of $7.19 EPS for the last quarter, exceeding analysts' expectations and showing a 15.9% year-over-year revenue increase to $11.08 billion.
• Insider sales included CEO Theodore A. Sarandos selling 2,026 shares and Director Reed Hastings selling 42,176 shares, representing significant decreases in their respective positions in the company.

Netflix (NASDAQ:NFLX - Get Free Report) had its price target reduced by TD Cowen from $1,450.00 to $1,425.00 in a research note issued on Tuesday,MarketScreener reports. The brokerage currently has a "buy" rating on the Internet television network's stock. TD Cowen's price objective would indicate a potential upside of 20.14% from the stock's current price.

A number of other equities research analysts have also issued reports on NFLX. KeyCorp boosted their target price on Netflix from $1,070.00 to $1,390.00 and gave the stock an "overweight" rating in a research report on Thursday, July 10th. Weiss Ratings restated a "buy (b)" rating on shares of Netflix in a report on Saturday, September 27th. Morgan Stanley reaffirmed an "equal weight" rating on shares of Netflix in a research note on Monday, July 21st. JPMorgan Chase & Co. lifted their target price on shares of Netflix from $1,230.00 to $1,300.00 and gave the stock a "neutral" rating in a research report on Friday, July 18th. Finally, Needham & Company LLC restated a "buy" rating and set a $1,500.00 price target on shares of Netflix in a report on Wednesday, September 10th. One analyst has rated the stock with a Strong Buy rating, twenty-five have assigned a Buy rating, nine have given a Hold rating and three have issued a Sell rating to the company. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus price target of $1,337.63.

Netflix Price Performance

Shares of NASDAQ NFLX opened at $1,186.09 on Tuesday. Netflix has a twelve month low of $677.88 and a twelve month high of $1,341.15. The company has a current ratio of 1.34, a quick ratio of 1.34 and a debt-to-equity ratio of 0.58. The firm has a 50-day moving average of $1,207.13 and a two-hundred day moving average of $1,163.23. The company has a market capitalization of $504.00 billion, a price-to-earnings ratio of 50.02, a PEG ratio of 1.94 and a beta of 1.59.

Netflix (NASDAQ:NFLX - Get Free Report) last released its earnings results on Thursday, July 17th. The Internet television network reported $7.19 EPS for the quarter, topping analysts' consensus estimates of $7.07 by $0.12. The business had revenue of $11.08 billion for the quarter, compared to the consensus estimate of $11.04 billion. Netflix had a net margin of 24.58% and a return on equity of 42.50%. The business's revenue for the quarter was up 15.9% on a year-over-year basis. During the same period in the previous year, the firm earned $4.88 EPS. Netflix has set its FY 2025 guidance at EPS. Q3 2025 guidance at 6.870-6.870 EPS. As a group, analysts expect that Netflix will post 24.58 earnings per share for the current fiscal year.

Insider Activity

In other Netflix news, CEO Theodore A. Sarandos sold 2,026 shares of the company's stock in a transaction that occurred on Tuesday, August 5th. The shares were sold at an average price of $1,160.62, for a total value of $2,351,416.12. Following the transaction, the chief executive officer owned 15,168 shares in the company, valued at approximately $17,604,284.16. This represents a 11.78% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Reed Hastings sold 42,176 shares of Netflix stock in a transaction on Wednesday, October 1st. The shares were sold at an average price of $1,171.92, for a total transaction of $49,426,897.92. Following the sale, the director directly owned 394 shares of the company's stock, valued at $461,736.48. This trade represents a 99.07% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 104,100 shares of company stock valued at $122,710,980 in the last three months. 1.37% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Optima Capital LLC boosted its position in shares of Netflix by 3.5% in the 2nd quarter. Optima Capital LLC now owns 239 shares of the Internet television network's stock worth $320,000 after purchasing an additional 8 shares during the last quarter. Unified Investment Management lifted its stake in Netflix by 1.7% in the second quarter. Unified Investment Management now owns 474 shares of the Internet television network's stock valued at $635,000 after buying an additional 8 shares during the period. Plancorp LLC boosted its holdings in Netflix by 0.6% during the second quarter. Plancorp LLC now owns 1,278 shares of the Internet television network's stock worth $1,711,000 after buying an additional 8 shares during the last quarter. Five Oceans Advisors boosted its holdings in Netflix by 1.1% during the second quarter. Five Oceans Advisors now owns 751 shares of the Internet television network's stock worth $1,006,000 after buying an additional 8 shares during the last quarter. Finally, Old Port Advisors grew its position in shares of Netflix by 1.3% during the 2nd quarter. Old Port Advisors now owns 624 shares of the Internet television network's stock worth $836,000 after buying an additional 8 shares during the period. 80.93% of the stock is owned by institutional investors and hedge funds.

About Netflix

Netflix, Inc provides entertainment services. It offers TV series, documentaries, feature films, and games across various genres and languages. The company also provides members the ability to receive streaming content through a host of internet-connected devices, including TVs, digital video players, TV set-top boxes, and mobile devices.

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