Netflix (NASDAQ:NFLX) Stock Price Down 1.3% on Insider Selling

Key Points

• Netflix shares fell 1.3% to $65.56 in mid-day trading, with volume about 15% above its average.
• Insider David Hyman sold 5,727 shares for about $370,000 to cover tax withholding on vested equity awards; he retained 166,100 shares.
• Analysts’ consensus rating was “Moderate Buy,” with an average price target of $89.14. Netflix’s latest quarterly EPS beat estimates, while revenue rose about 11.9% year over year.

Shares of Netflix, Inc. (NASDAQ:NFLX - Get Free Report) dropped 1.3% during mid-day trading on Thursday following insider selling activity. The stock traded as low as $64.67 and last traded at $65.56. Approximately 49,081,485 shares traded hands during trading, an increase of 15% from the average session volume of 42,802,348 shares. The stock had previously closed at $66.39.

Specifically, insider David Hyman sold 5,727 shares of the firm's stock in a transaction dated Wednesday, November 4th. The stock was sold at an average price of $64.55, for a total value of $369,677.85. Following the completion of the transaction, the insider directly owned 166,100 shares in the company, valued at $10,721,755. This trade represents a 3.33% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Analysts Set New Price Targets

Several brokerages recently weighed in on NFLX. President Capital cut their price target on shares of Netflix from $134.00 to $83.00 and set a "buy" rating on the stock in a report on Monday, July 20th. Canaccord Genuity Group set a $110.00 price target on shares of Netflix in a research report on Wednesday, October 21st. Citigroup restated a "buy" rating and set a $85.00 price objective (down from $100.00) on shares of Netflix in a research note on Wednesday, October 21st. Rothschild & Co Redburn dropped their price objective on shares of Netflix from $120.00 to $93.00 and set a "buy" rating on the stock in a report on Tuesday, July 21st. Finally, Argus set a $95.00 price objective on shares of Netflix and gave the stock a "buy" rating in a research note on Thursday, October 22nd. Two analysts have rated the stock with a Strong Buy rating, thirty-five have assigned a Buy rating, seventeen have assigned a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $89.14.

More Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Investor Bill Ackman called Netflix “incredibly cheap” after its shares fell about 55% from their June 2025 peak. The article also reports year-over-year improvement in third-quarter churn, a potential sign of better customer retention. Article: Bill Ackman on Netflix valuation
• Positive Sentiment: Media executive Barry Diller argued that competitors should stop trying to match Netflix’s scale, reinforcing the view that the company has a durable competitive advantage in streaming. Article: Barry Diller's advice for Hollywood
• Neutral Sentiment: Netflix insider David Hyman sold 5,727 shares, but the filing says the sale covered tax withholding on vested equity awards. He retained 166,100 shares, so the transaction may not signal a change in his view of the company. SEC filing
• Negative Sentiment: Netflix’s third-quarter revenue growth cooled to 11.8%, and a $2.8 billion one-time termination fee boosted first-quarter earnings. Those factors raise questions about the pace and underlying quality of growth, tempering the bullish valuation case. Article: Bill Ackman and Netflix's valuation
• Negative Sentiment: ETFs were net sellers of Netflix shares on November 3, selling about $13.1 million more than they bought. This points to some institutional selling pressure, though the reported amount was relatively modest. Article: ETFs are net sellers of Netflix

Netflix Stock Performance

The firm has a 50-day moving average of $71.68 and a two-hundred day moving average of $81.20. The company has a quick ratio of 1.07, a current ratio of 1.07 and a debt-to-equity ratio of 0.43. The company has a market capitalization of $269.21 billion, a PE ratio of 18.95, a PEG ratio of 0.93 and a beta of 1.62.

Netflix (NASDAQ:NFLX - Get Free Report) last released its quarterly earnings data on Tuesday, October 20th. The Internet television network reported $0.87 EPS for the quarter, topping the consensus estimate of $0.82 by $0.05. The business had revenue of $12.87 billion for the quarter, compared to analyst estimates of $12.87 billion. Netflix had a return on equity of 42.69% and a net margin of 29.69%. The business's quarterly revenue was up 11.9% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.59 EPS. Research analysts anticipate that Netflix, Inc. will post 3.59 EPS for the current year.

Institutional Trading of Netflix

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. BlackRock Inc. purchased a new stake in Netflix during the second quarter valued at about $24,902,221,000. Bank of New York Mellon Corp purchased a new position in shares of Netflix in the 2nd quarter worth about $1,906,482,000. Legal & General Group Plc purchased a new position in shares of Netflix in the 2nd quarter worth about $1,886,526,000. Mitsubishi UFJ Asset Management Co. Ltd. purchased a new position in shares of Netflix in the 2nd quarter worth about $1,481,303,000. Finally, Assenagon Asset Management S.A. lifted its stake in shares of Netflix by 194.9% in the 3rd quarter. Assenagon Asset Management S.A. now owns 16,111,438 shares of the Internet television network's stock valued at $1,121,034,000 after purchasing an additional 10,647,803 shares in the last quarter. Institutional investors and hedge funds own 80.93% of the company's stock.

About Netflix

Netflix, Inc NASDAQ: NFLX is a global entertainment company that provides subscription-based streaming services. Its platform offers a broad selection of television series, films, documentaries, stand-up specials and other programming, including content produced by Netflix and licensed from third-party studios and creators.

The company also develops and distributes original productions under the Netflix brand and has expanded into additional entertainment offerings, including mobile and cloud-based games in select markets and live programming.

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