Netflix (NASDAQ:NFLX) Receives Buy Rating from JPMorgan Chase & Co.

Key Points

• JPMorgan Chase & Co. reissued a Buy rating on Netflix and analysts' consensus sits at a Moderate Buy with an average price target of $114.85.
• Netflix beat expectations in the latest quarter with EPS of $1.23 versus $0.76 expected and revenue of $12.25 billion, and it set Q2 guidance at $0.78 EPS.
• Near-term headwinds — softer guidance, Reed Hastings' board exit, an Italian court ordering refunds and notable insider selling — have pressured the stock, though institutional buying and a potential Radford Studio Center purchase offer some offsetting support.

Netflix (NASDAQ:NFLX - Get Free Report)'s stock had its "buy" rating reissued by investment analysts at JPMorgan Chase & Co. in a research report issued to clients and investors on Wednesday,MarketScreener reports.

A number of other equities research analysts have also issued reports on NFLX. Erste Group Bank raised shares of Netflix from a "hold" rating to a "buy" rating in a research note on Tuesday, March 24th. New Street Research boosted their target price on Netflix from $96.00 to $102.00 in a research note on Friday, April 17th. Susquehanna raised Netflix to a "positive" rating and set a $112.00 target price on the stock in a research report on Wednesday, January 21st. Citic Securities reduced their price target on Netflix from $109.00 to $95.00 and set a "hold" rating for the company in a report on Monday, January 26th. Finally, Guggenheim set a $120.00 price objective on Netflix and gave the stock a "buy" rating in a report on Friday. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating and fourteen have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $114.85.

Netflix Price Performance

NFLX opened at $93.38 on Wednesday. The firm has a market capitalization of $393.19 billion, a P/E ratio of 30.04, a PEG ratio of 1.25 and a beta of 1.67. The stock has a fifty day moving average of $92.68 and a 200-day moving average of $98.06. The company has a quick ratio of 1.19, a current ratio of 1.41 and a debt-to-equity ratio of 0.43. Netflix has a 12-month low of $75.01 and a 12-month high of $134.12.

Netflix (NASDAQ:NFLX - Get Free Report) last issued its earnings results on Thursday, April 16th. The Internet television network reported $1.23 earnings per share for the quarter, beating analysts' consensus estimates of $0.76 by $0.47. The company had revenue of $12.25 billion for the quarter, compared to the consensus estimate of $12.17 billion. Netflix had a return on equity of 40.92% and a net margin of 28.52%.The firm's quarterly revenue was up 16.2% on a year-over-year basis. During the same quarter in the prior year, the company earned $6.61 EPS. Netflix has set its Q2 2026 guidance at 0.780-0.780 EPS. Equities analysts forecast that Netflix will post 3.19 EPS for the current fiscal year.

Insider Transactions at Netflix

In other Netflix news, insider Cletus R. Willems sold 3,136 shares of the company's stock in a transaction that occurred on Tuesday, February 10th. The stock was sold at an average price of $82.67, for a total transaction of $259,253.12. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider David A. Hyman sold 5,727 shares of the stock in a transaction that occurred on Monday, February 9th. The shares were sold at an average price of $81.06, for a total value of $464,230.62. Following the transaction, the insider owned 316,100 shares in the company, valued at approximately $25,623,066. This trade represents a 1.78% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 1,487,794 shares of company stock worth $136,255,772. 1.37% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Netflix

Hedge funds have recently bought and sold shares of the company. First Financial Corp IN lifted its holdings in shares of Netflix by 900.0% during the fourth quarter. First Financial Corp IN now owns 270 shares of the Internet television network's stock worth $25,000 after buying an additional 243 shares during the last quarter. DiNuzzo Private Wealth Inc. increased its position in Netflix by 885.2% during the fourth quarter. DiNuzzo Private Wealth Inc. now owns 266 shares of the Internet television network's stock worth $25,000 after acquiring an additional 239 shares during the period. Turning Point Benefit Group Inc. raised its stake in Netflix by 13,400.0% during the 4th quarter. Turning Point Benefit Group Inc. now owns 270 shares of the Internet television network's stock valued at $25,000 after purchasing an additional 268 shares during the last quarter. Imprint Wealth LLC bought a new stake in Netflix in the 3rd quarter valued at $25,000. Finally, Cornerstone Financial Management LLC bought a new stake in Netflix in the 4th quarter valued at $26,000. 80.93% of the stock is currently owned by institutional investors.

Netflix News Roundup

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Analysts and buy-the-dip calls are supporting the stock: JPMorgan and other shops have urged buying the pullback and some firms (Seaport, Phillip Securities) have raised price targets or reiterated buys, helping limit downside. Read More.
• Positive Sentiment: Netflix is pursuing cost and capacity gains by negotiating to buy Radford Studio Center — this could consolidate production real estate, lower long‑run content costs and improve margin profile if the deal closes. Read More.
• Positive Sentiment: Institutional buying (ARK/Cathie Wood) during the dip signals conviction among some large investors, providing technical support and liquidity. Read More.
• Positive Sentiment: Strategic pivot to profit — strong free cash flow, an ad business ramp and margin targets are cited as a durable long-term thesis that could justify higher valuation over time. Read More.
• Neutral Sentiment: Retail/education pieces (beginner‑investor guides, buy‑the‑dip articles) are increasing retail interest; helpful for volume but not a direct fundamental driver. Read More.
• Negative Sentiment: Primary near‑term driver of today’s weakness: management gave softer Q2 guidance and there's a board‑level change (Reed Hastings exiting the board), prompting uncertainty and a post‑earnings selloff. Read More.
• Negative Sentiment: Regulatory/legal headwinds in Europe: an Italian court ruled historical price increases unlawful and ordered refunds — a direct hit to regional pricing power and potential one‑time liabilities. Read More.
• Negative Sentiment: Content risk: the Obamas’ production company signaling no exclusivity for Netflix could reduce access to high‑profile projects and raises questions about future content pipelines. Read More.

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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