Netflix (NASDAQ:NFLX) Trading Down 2.9% - Should You Sell?

Netflix, Inc. (NASDAQ:NFLX - Get Free Report) was down 2.9% on Thursday . The stock traded as low as $1,247.00 and last traded at $1,250.46. Approximately 1,281,969 shares traded hands during mid-day trading, a decline of 66% from the average daily volume of 3,755,306 shares. The stock had previously closed at $1,288.28.

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on NFLX shares. Evercore ISI reiterated an "outperform" rating on shares of Netflix in a report on Thursday, May 15th. Benchmark reiterated a "hold" rating on shares of Netflix in a report on Monday, April 21st. Pivotal Research reiterated a "buy" rating on shares of Netflix in a report on Thursday. Morgan Stanley increased their price target on Netflix from $1,150.00 to $1,200.00 and gave the stock an "overweight" rating in a report on Monday, April 21st. Finally, Bank of America increased their price target on Netflix from $1,175.00 to $1,490.00 and gave the stock a "buy" rating in a report on Friday, May 30th. One investment analyst has rated the stock with a sell rating, eleven have assigned a hold rating, twenty-five have issued a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $1,214.52.

Netflix Trading Down 0.4%

The stock has a market capitalization of $529.88 billion, a price-to-earnings ratio of 58.84, a P/E/G ratio of 2.27 and a beta of 1.59. The company has a debt-to-equity ratio of 0.58, a quick ratio of 1.20 and a current ratio of 1.20. The firm has a fifty day moving average of $1,221.70 and a 200-day moving average of $1,049.04.

Netflix (NASDAQ:NFLX - Get Free Report) last announced its quarterly earnings results on Thursday, April 17th. The Internet television network reported $6.61 earnings per share (EPS) for the quarter, beating the consensus estimate of $5.74 by $0.87. Netflix had a return on equity of 39.61% and a net margin of 23.07%. The firm had revenue of $10.54 billion during the quarter, compared to the consensus estimate of $10.51 billion. During the same period in the prior year, the firm earned $8.28 EPS. As a group, equities analysts predict that Netflix, Inc. will post 24.58 earnings per share for the current fiscal year.

Insider Activity at Netflix

In other news, Director Jay C. Hoag sold 32,515 shares of Netflix stock in a transaction that occurred on Tuesday, April 29th. The stock was sold at an average price of $1,101.97, for a total transaction of $35,830,554.55. Following the sale, the director owned 79,040 shares of the company's stock, valued at approximately $87,099,708.80. The trade was a 29.15% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Director Reed Hastings sold 26,977 shares of the firm's stock in a transaction that occurred on Thursday, May 1st. The shares were sold at an average price of $1,133.05, for a total transaction of $30,566,289.85. Following the transaction, the director owned 394 shares in the company, valued at $446,421.70. This represents a 98.56% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders sold 186,723 shares of company stock worth $223,307,201. 1.37% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Netflix

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in NFLX. Petredis Investment Advisors LLC lifted its stake in shares of Netflix by 0.8% in the 2nd quarter. Petredis Investment Advisors LLC now owns 8,057 shares of the Internet television network's stock valued at $10,789,000 after purchasing an additional 61 shares during the last quarter. Quantum Financial Advisors LLC lifted its stake in shares of Netflix by 7.9% in the 2nd quarter. Quantum Financial Advisors LLC now owns 383 shares of the Internet television network's stock valued at $513,000 after purchasing an additional 28 shares during the last quarter. Trinity Wealth Management LLC acquired a new stake in shares of Netflix in the 2nd quarter valued at $266,000. Ullmann Wealth Partners Group LLC raised its holdings in Netflix by 6.9% in the 2nd quarter. Ullmann Wealth Partners Group LLC now owns 416 shares of the Internet television network's stock worth $558,000 after acquiring an additional 27 shares during the period. Finally, Oak Asset Management LLC raised its holdings in Netflix by 3.9% in the 2nd quarter. Oak Asset Management LLC now owns 816 shares of the Internet television network's stock worth $1,093,000 after acquiring an additional 31 shares during the period. Institutional investors and hedge funds own 80.93% of the company's stock.

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.