Netflix (NASDAQ:NFLX) Shares Gap Down - Here's What Happened

Netflix, Inc. (NASDAQ:NFLX - Get Free Report)'s share price gapped down prior to trading on Friday . The stock had previously closed at $1,274.17, but opened at $1,241.96. Netflix shares last traded at $1,215.70, with a volume of 2,122,219 shares trading hands.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on NFLX. Citigroup reissued a "neutral" rating and set a $1,250.00 price objective (up previously from $1,020.00) on shares of Netflix in a report on Thursday, May 29th. Barclays reissued a "sell" rating and issued a $1,100.00 price objective (up previously from $1,000.00) on shares of Netflix in a research note on Wednesday, July 9th. BMO Capital Markets reissued an "outperform" rating and set a $1,425.00 target price (up previously from $1,200.00) on shares of Netflix in a research report on Tuesday. Wedbush restated an "outperform" rating and issued a $1,500.00 price target (up previously from $1,400.00) on shares of Netflix in a research report on Monday. Finally, Morgan Stanley increased their price objective on shares of Netflix from $1,450.00 to $1,500.00 and gave the stock an "overweight" rating in a research report on Friday. One investment analyst has rated the stock with a sell rating, eleven have given a hold rating, twenty-five have issued a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, Netflix has a consensus rating of "Moderate Buy" and an average target price of $1,269.09.

Netflix Price Performance

The company has a current ratio of 1.20, a quick ratio of 1.20 and a debt-to-equity ratio of 0.58. The company has a market capitalization of $516.08 billion, a P/E ratio of 57.40, a P/E/G ratio of 2.26 and a beta of 1.59. The business's fifty day moving average price is $1,231.20 and its 200-day moving average price is $1,058.57.

Netflix (NASDAQ:NFLX - Get Free Report) last released its quarterly earnings data on Thursday, July 17th. The Internet television network reported $7.19 earnings per share for the quarter, beating analysts' consensus estimates of $7.07 by $0.12. Netflix had a return on equity of 39.61% and a net margin of 23.07%. The firm had revenue of $11.08 billion during the quarter, compared to analyst estimates of $11.04 billion. During the same quarter in the prior year, the firm posted $4.88 earnings per share. The business's quarterly revenue was up 15.9% compared to the same quarter last year. As a group, sell-side analysts predict that Netflix, Inc. will post 24.58 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Netflix news, Director Strive Masiyiwa sold 290 shares of the company's stock in a transaction on Tuesday, July 1st. The shares were sold at an average price of $1,336.54, for a total value of $387,596.60. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Spencer Adam Neumann sold 2,601 shares of the firm's stock in a transaction that occurred on Tuesday, July 1st. The shares were sold at an average price of $1,307.22, for a total value of $3,400,079.22. Following the completion of the transaction, the chief financial officer owned 3,691 shares of the company's stock, valued at approximately $4,824,949.02. The trade was a 41.34% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 186,723 shares of company stock worth $223,307,201. Insiders own 1.37% of the company's stock.

Institutional Investors Weigh In On Netflix

A number of institutional investors have recently made changes to their positions in NFLX. Halbert Hargrove Global Advisors LLC boosted its stake in shares of Netflix by 100.0% in the 1st quarter. Halbert Hargrove Global Advisors LLC now owns 26 shares of the Internet television network's stock worth $25,000 after buying an additional 13 shares during the last quarter. Brown Shipley& Co Ltd purchased a new stake in shares of Netflix during the fourth quarter worth about $27,000. Transce3nd LLC purchased a new position in shares of Netflix in the fourth quarter worth $32,000. Copia Wealth Management purchased a new position in shares of Netflix during the fourth quarter valued at about $37,000. Finally, Flaharty Asset Management LLC bought a new position in shares of Netflix during the 1st quarter valued at approximately $37,000. Hedge funds and other 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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