Netflix (NASDAQ:NFLX) Trading Up 1.6% - Still a Buy?

Key Points

• Netflix's share price rose by 1.6% to last trade at $1,226.97, with a trading volume increase of 23% over the average daily volume.
• Analysts have given Netflix a consensus rating of "Moderate Buy", with a target price of $1,328.87, while notable ratings include 23 Buy, 9 Hold, and 3 Sell.
• In the most recent quarter, Netflix reported an EPS of $7.19, exceeding expectations, along with a revenue of $11.08 billion, reflecting a year-over-year growth of 15.9%.

Netflix, Inc. (NASDAQ:NFLX - Get Free Report)'s share price was up 1.6% during trading on Friday . The stock traded as high as $1,229.95 and last traded at $1,226.97. Approximately 4,919,953 shares traded hands during mid-day trading, an increase of 23% from the average daily volume of 4,001,925 shares. The stock had previously closed at $1,207.78.

Analyst Upgrades and Downgrades

Several equities analysts recently commented on NFLX shares. Morgan Stanley reaffirmed an "equal weight" rating on shares of Netflix in a research report on Monday, July 21st. Pivotal Research reaffirmed a "buy" rating on shares of Netflix in a research report on Thursday, July 10th. Piper Sandler increased their price objective on shares of Netflix from $1,400.00 to $1,500.00 and gave the company an "overweight" rating in a research report on Friday, July 18th. UBS Group reissued a "market underperform" rating on shares of Netflix in a research report on Saturday, July 19th. Finally, Wedbush reissued an "outperform" rating and set a $1,500.00 price target (up from $1,400.00) on shares of Netflix in a research report on Monday, July 14th. One research analyst has rated the stock with a Strong Buy rating, twenty-three have issued a Buy rating, nine have given a Hold rating and three have given a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $1,328.87.

Netflix Stock Up 1.6%

The firm has a market cap of $521.38 billion, a price-to-earnings ratio of 52.28, a PEG ratio of 2.07 and a beta of 1.60. The business's 50 day moving average price is $1,212.85 and its 200 day moving average price is $1,137.88. The company has a debt-to-equity ratio of 0.58, a quick ratio of 1.34 and a current ratio of 1.34.

Netflix (NASDAQ:NFLX - Get Free Report) last issued its quarterly earnings data on Thursday, July 17th. The Internet television network reported $7.19 EPS for the quarter, topping analysts' consensus estimates of $7.07 by $0.12. The business had revenue of $11.08 billion for the quarter, compared to analysts' expectations of $11.04 billion. Netflix had a net margin of 24.58% and a return on equity of 42.50%. The business's revenue was up 15.9% on a year-over-year basis. During the same quarter last year, the company earned $4.88 EPS. Netflix has set its FY 2025 guidance at EPS. Q3 2025 guidance at 6.870-6.870 EPS. On average, equities analysts forecast that Netflix, Inc. will post 24.58 EPS for the current year.

Insider Transactions at Netflix

In related news, insider Cletus R. Willems sold 238 shares of Netflix stock in a transaction on Wednesday, August 6th. The shares were sold at an average price of $1,153.52, for a total value of $274,537.76. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Gregory K. Peters sold 2,026 shares of Netflix stock in a transaction on Tuesday, August 5th. The shares were sold at an average price of $1,157.44, for a total transaction of $2,344,973.44. Following the completion of the sale, the chief executive officer directly owned 12,781 shares in the company, valued at $14,793,240.64. This represents a 13.68% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 89,348 shares of company stock worth $109,498,489 in the last ninety days. Company insiders own 1.37% of the company's stock.

Institutional Investors Weigh In On Netflix

A number of institutional investors have recently added to or reduced their stakes in NFLX. GAMMA Investing LLC grew its stake in Netflix by 109,524.3% in the 1st quarter. GAMMA Investing LLC now owns 8,835,722 shares of the Internet television network's stock valued at $8,239,576,000 after acquiring an additional 8,827,662 shares during the period. Norges Bank acquired a new stake in Netflix during the 2nd quarter worth $7,929,645,000. Laurel Wealth Advisors LLC boosted its stake in Netflix by 128,553.9% during the 2nd quarter. Laurel Wealth Advisors LLC now owns 4,881,129 shares of the Internet television network's stock worth $6,536,466,000 after purchasing an additional 4,877,335 shares during the last quarter. Nuveen LLC acquired a new stake in Netflix during the 1st quarter worth $2,385,585,000. Finally, Kingstone Capital Partners Texas LLC boosted its stake in Netflix by 343,058.2% during the 2nd quarter. Kingstone Capital Partners Texas LLC now owns 2,463,876 shares of the Internet television network's stock worth $3,299,450,000 after purchasing an additional 2,463,158 shares during the last quarter. 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.

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