Netflix (NASDAQ:NFLX) Stock Rating Lowered by Cfra Research

Key Points

• CFRA downgraded Netflix from "strong‑buy" to "hold," and several other firms have trimmed price targets, leaving a MarketBeat consensus rating of "Moderate Buy" with a $130.45 target.
• Significant insider selling has occurred recently — insiders sold about 1.6 million shares (~$168.3M) over the last 90 days, including CEO Gregory Peters' sale of 20,270 shares.
• The company reported a large EPS beat (EPS $5.87 vs. $0.69 expected) while revenue of $11.32B slightly missed estimates; the stock opened at $91.45, well below its 12‑month high of $134.12.

Netflix (NASDAQ:NFLX - Get Free Report) was downgraded by equities researchers at Cfra Research from a "strong-buy" rating to a "hold" rating in a research report issued to clients and investors on Monday,Zacks.com reports.

Several other analysts have also commented on NFLX. Argus set a $141.00 price objective on Netflix in a report on Thursday, October 23rd. Wells Fargo & Company dropped their price target on Netflix from $156.00 to $151.00 and set an "overweight" rating for the company in a research report on Wednesday, October 22nd. Erste Group Bank lowered Netflix from a "buy" rating to a "hold" rating in a report on Friday, October 31st. Wedbush decreased their price target on shares of Netflix from $150.00 to $140.00 and set an "outperform" rating on the stock in a research note on Wednesday, October 22nd. Finally, Evercore ISI reaffirmed an "outperform" rating and set a $138.00 price objective on shares of Netflix in a research note on Friday, December 5th. One analyst has rated the stock with a Strong Buy rating, twenty-eight have issued a Buy rating, fifteen have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, Netflix presently has a consensus rating of "Moderate Buy" and a consensus target price of $130.45.

Netflix Stock Performance

Shares of NASDAQ NFLX opened at $91.45 on Monday. The stock has a market cap of $387.49 billion, a price-to-earnings ratio of 38.20 and a beta of 1.71. Netflix has a 12 month low of $82.11 and a 12 month high of $134.12. The company has a 50 day simple moving average of $102.65 and a two-hundred day simple moving average of $115.15. The company has a current ratio of 1.33, a quick ratio of 1.33 and a debt-to-equity ratio of 0.56.

Netflix (NASDAQ:NFLX - Get Free Report) last posted its earnings results on Tuesday, October 21st. The Internet television network reported $5.87 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.69 by $5.18. Netflix had a net margin of 24.05% and a return on equity of 41.86%. The company had revenue of $11.32 billion during the quarter, compared to the consensus estimate of $11.52 billion. During the same period in the previous year, the firm posted $0.54 earnings per share. The firm's quarterly revenue was up 17.2% on a year-over-year basis. Netflix has set its Q4 2025 guidance at 5.450-5.450 EPS. As a group, analysts predict that Netflix will post 24.58 earnings per share for the current year.

Insider Activity at Netflix

In related news, insider Cletus R. Willems sold 2,380 shares of the firm's stock in a transaction dated Thursday, November 6th. The stock was sold at an average price of $110.03, for a total transaction of $261,878.54. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Gregory K. Peters sold 20,270 shares of the business's stock in a transaction dated Tuesday, November 4th. The shares were sold at an average price of $109.57, for a total transaction of $2,220,943.36. Following the completion of the sale, the chief executive officer owned 127,810 shares in the company, valued at approximately $14,003,886.08. This trade represents a 13.69% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 1,598,370 shares of company stock valued at $168,251,193 over the last 90 days. Corporate insiders own 1.37% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of NFLX. Commons Capital LLC lifted its stake in Netflix by 733.7% during the 4th quarter. Commons Capital LLC now owns 4,035 shares of the Internet television network's stock worth $378,000 after acquiring an additional 3,551 shares in the last quarter. Park National Corp OH increased its stake in Netflix by 1,926.4% during the fourth quarter. Park National Corp OH now owns 421,449 shares of the Internet television network's stock worth $39,515,000 after purchasing an additional 400,651 shares during the period. Park Avenue Securities LLC increased its stake in Netflix by 915.1% during the fourth quarter. Park Avenue Securities LLC now owns 247,565 shares of the Internet television network's stock worth $23,212,000 after purchasing an additional 223,177 shares during the period. Coastline Trust Co lifted its position in shares of Netflix by 897.6% during the fourth quarter. Coastline Trust Co now owns 129,772 shares of the Internet television network's stock worth $12,167,000 after purchasing an additional 116,763 shares in the last quarter. Finally, GoalVest Advisory LLC boosted its stake in shares of Netflix by 3,205.0% in the fourth quarter. GoalVest Advisory LLC now owns 1,322 shares of the Internet television network's stock valued at $124,000 after purchasing an additional 1,282 shares during the period. 80.93% of the stock is currently owned by hedge funds and other institutional investors.

More Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: High-volume call buying suggests traders are placing bullish bets or positioning for big post-earnings moves; this can boost short-term demand for the stock. Traders Buy High Volume of Netflix Call Options NASDAQ: NFLX
• Positive Sentiment: Multiple analyst and media pieces highlight long-term upside and list NFLX as a buy for patient investors, citing content assets and potential strategic moves (including mentions of the Warner Bros. angle). That supportive narrative can attract value-oriented buyers. 2 Leading Tech Stocks to Buy in 2026
• Neutral Sentiment: Netflix reports Q4 results on Jan. 20; several articles debate whether to buy before results or wait — the event increases volatility but is a neutral catalyst until results are known. Should You Buy Netflix Stock Before Jan. 20?
• Neutral Sentiment: Fresh pieces reassessing valuation after recent weakness provide context for longer-term investors but don't create an immediate directional trade on their own. Assessing Netflix (NFLX) Valuation After Recent Share Price Weakness And Long Term Gains
• Neutral Sentiment: Editorials and streaming roundups (content calendar) are unlikely to move the stock materially but keep subscriber/revenue narrative visible to investors. Here’s what’s worth streaming in January on Netflix, Hulu, HBO Max and more
• Negative Sentiment: Director Reed Hastings disclosed a large sale of 426,290 shares (~$39.1M at ~$91.67), cutting his stake by ~99% — sizable insider selling can weigh on sentiment. Reed Hastings Insider Sale
• Negative Sentiment: Analyst/commentary pieces describe NFLX entering a "repricing" phase as consensus enthusiasm fades; that narrative can pressure multiple compression and deter momentum buyers. Netflix: From Consensus Long To Repricing Phase
• Negative Sentiment: Coverage noting continued share declines raises questions about whether the stock is a near-term value or still falling—this can keep selling pressure elevated until clearer fundamental signs appear. Netflix Stock Just Keeps Falling. Is It Finally a Buy?

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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