Netflix (NASDAQ:NFLX) Shares Gap Down Following Insider Selling

Netflix, Inc. (NASDAQ:NFLX - Get Free Report)'s share price gapped down prior to trading on Monday after an insider sold shares in the company. The stock had previously closed at $1,156.49, but opened at $1,114.80. Netflix shares last traded at $1,131.24, with a volume of 2,405,306 shares trading hands.

Specifically, Director Reed Hastings sold 26,977 shares of the stock in a transaction on Thursday, May 1st. The shares were sold at an average price of $1,133.05, for a total value of $30,566,289.85. Following the completion of the sale, the director now owns 394 shares of the company's stock, valued at $446,421.70. This represents a 98.56 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO Spencer Adam Neumann sold 2,601 shares of the company's stock in a transaction on Thursday, May 1st. The stock was sold at an average price of $1,132.38, for a total transaction of $2,945,320.38. Following the sale, the chief financial officer now directly owns 3,691 shares of the company's stock, valued at approximately $4,179,614.58. This trade represents a 41.34 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In other Netflix news, Director Jay C. Hoag sold 32,515 shares of the firm's stock in a transaction dated Tuesday, April 29th. The stock was sold at an average price of $1,101.97, for a total value of $35,830,554.55. Following the transaction, the director now directly owns 79,040 shares of the company's stock, valued at $87,099,708.80. This trade represents a 29.15 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink.

Analyst Ratings Changes

Several research firms recently commented on NFLX. Canaccord Genuity Group boosted their price target on Netflix from $1,150.00 to $1,200.00 and gave the stock a "buy" rating in a research report on Monday, April 21st. Guggenheim reaffirmed a "buy" rating and set a $1,150.00 price target (up from $1,100.00) on shares of Netflix in a report on Friday, April 18th. Robert W. Baird boosted their price objective on shares of Netflix from $875.00 to $1,200.00 and gave the stock an "outperform" rating in a report on Wednesday, January 22nd. Phillip Securities upgraded Netflix from a "moderate sell" rating to a "hold" rating in a research note on Monday, April 21st. Finally, Sanford C. Bernstein upgraded Netflix from a "market perform" rating to an "outperform" rating and boosted their price target for the stock from $975.00 to $1,200.00 in a research note on Friday, January 24th. Ten equities research analysts have rated the stock with a hold rating, twenty-six have issued a buy rating and two have given a strong buy rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $1,084.91.

Netflix Price Performance

The business has a fifty day moving average price of $968.34 and a 200 day moving average price of $920.97. The company has a market capitalization of $480.25 billion, a price-to-earnings ratio of 56.99, a price-to-earnings-growth ratio of 2.12 and a beta of 1.55. The company has a debt-to-equity ratio of 0.56, a current ratio of 1.22 and a quick ratio of 1.22.

Netflix (NASDAQ:NFLX - Get Free Report) last issued its quarterly earnings results on Thursday, April 17th. The Internet television network reported $6.61 earnings per share for the quarter, topping analysts' consensus estimates of $5.74 by $0.87. Netflix had a net margin of 22.34% and a return on equity of 38.32%. The company had revenue of $10.54 billion during the quarter, compared to analyst estimates of $10.51 billion. During the same period in the prior year, the business posted $8.28 EPS. On average, research analysts expect that Netflix, Inc. will post 24.58 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Netflix

Large investors have recently made changes to their positions in the business. Vanguard Group Inc. grew its position in Netflix by 0.5% in the fourth quarter. Vanguard Group Inc. now owns 37,488,005 shares of the Internet television network's stock worth $33,413,809,000 after buying an additional 171,712 shares during the last quarter. FMR LLC grew its holdings in shares of Netflix by 1.8% in the 4th quarter. FMR LLC now owns 20,887,090 shares of the Internet television network's stock worth $18,617,081,000 after acquiring an additional 375,234 shares during the last quarter. Geode Capital Management LLC grew its holdings in shares of Netflix by 1.9% in the 4th quarter. Geode Capital Management LLC now owns 9,323,952 shares of the Internet television network's stock worth $8,287,823,000 after acquiring an additional 175,596 shares during the last quarter. GAMMA Investing LLC raised its position in shares of Netflix by 109,524.3% during the first quarter. GAMMA Investing LLC now owns 8,835,722 shares of the Internet television network's stock worth $8,239,576,000 after purchasing an additional 8,827,662 shares during the period. Finally, Norges Bank purchased a new stake in shares of Netflix during the fourth quarter valued at $5,019,087,000. Institutional investors own 80.93% of the company's stock.

Netflix Company Profile

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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