William Blair Has Positive Forecast for Netflix Q4 Earnings

Key Points

• William Blair raised its Q4 2025 earnings per share estimate for Netflix to $5.45, up from $5.18, while also providing estimates for earnings in subsequent quarters of 2026.
• Netflix's stock has recently faced a decline of 10.1%, with shares opening at $1,116.37, despite a strong market cap of $474.38 billion.
• Brokerages have mixed opinions on Netflix, with ratings ranging from "Strong Buy" to "Strong Sell," indicating divided sentiments on the stock's future performance.

Netflix, Inc. (NASDAQ:NFLX - Free Report) - William Blair boosted their Q4 2025 earnings per share (EPS) estimates for Netflix in a research report issued to clients and investors on Wednesday, October 22nd. William Blair analyst R. Schackart now expects that the Internet television network will post earnings per share of $5.45 for the quarter, up from their previous forecast of $5.18. The consensus estimate for Netflix's current full-year earnings is $24.58 per share. William Blair also issued estimates for Netflix's Q1 2026 earnings at $8.00 EPS, Q2 2026 earnings at $8.48 EPS, Q3 2026 earnings at $8.45 EPS, Q4 2026 earnings at $6.87 EPS and FY2026 earnings at $31.79 EPS.

Several other brokerages have also commented on NFLX. Piper Sandler reissued an "overweight" rating and issued a $1,400.00 price objective (down from $1,500.00) on shares of Netflix in a report on Wednesday. Phillip Securities lowered Netflix from a "hold" rating to a "strong sell" rating in a report on Monday, July 21st. BMO Capital Markets reaffirmed an "outperform" rating and issued a $1,425.00 price target (up from $1,200.00) on shares of Netflix in a research note on Tuesday, July 15th. Jefferies Financial Group reaffirmed a "buy" rating and issued a $1,500.00 price target on shares of Netflix in a research note on Wednesday. Finally, Itau BBA Securities began coverage on Netflix in a research note on Tuesday, October 7th. They issued an "outperform" rating and a $1,514.00 price target on the stock. Two research analysts have rated the stock with a Strong Buy rating, twenty-seven have given a Buy rating, eight have issued a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, Netflix has an average rating of "Moderate Buy" and an average price target of $1,341.22.

Netflix Stock Down 10.1%

Shares of NFLX opened at $1,116.37 on Thursday. The company has a current ratio of 1.34, a quick ratio of 1.34 and a debt-to-equity ratio of 0.58. Netflix has a 12 month low of $744.26 and a 12 month high of $1,341.15. The stock's 50 day moving average is $1,212.43 and its two-hundred day moving average is $1,182.04. The firm has a market cap of $474.38 billion, a P/E ratio of 46.63, a PEG ratio of 2.09 and a beta of 1.59.

Netflix (NASDAQ:NFLX - Get Free Report) last posted its earnings results on Tuesday, October 21st. The Internet television network reported $5.87 EPS for the quarter, missing the consensus estimate of $6.88 by ($1.01). Netflix had a return on equity of 42.45% and a net margin of 24.05%.The company had revenue of $11.51 billion for the quarter, compared to analyst estimates of $11.52 billion. During the same period last year, the business earned $5.40 earnings per share. The firm's revenue was up 17.2% on a year-over-year basis. Netflix has set its FY 2025 guidance at EPS. Q4 2025 guidance at 5.450-5.450 EPS.

Institutional Investors Weigh In On Netflix

Several institutional investors and hedge funds have recently modified their holdings of the company. Integral Investment Advisors Inc. raised its holdings in shares of Netflix by 28.7% in the 3rd quarter. Integral Investment Advisors Inc. now owns 636 shares of the Internet television network's stock valued at $762,000 after buying an additional 142 shares during the period. MassMutual Private Wealth & Trust FSB raised its holdings in shares of Netflix by 0.5% in the 3rd quarter. MassMutual Private Wealth & Trust FSB now owns 2,469 shares of the Internet television network's stock valued at $2,960,000 after buying an additional 13 shares during the period. DSM Capital Partners LLC raised its holdings in shares of Netflix by 60.6% in the 3rd quarter. DSM Capital Partners LLC now owns 133,580 shares of the Internet television network's stock valued at $160,152,000 after buying an additional 50,405 shares during the period. Cerity Partners LLC raised its holdings in shares of Netflix by 8.7% in the 3rd quarter. Cerity Partners LLC now owns 144,157 shares of the Internet television network's stock valued at $168,084,000 after buying an additional 11,566 shares during the period. Finally, Crews Bank & Trust raised its holdings in shares of Netflix by 5.8% in the 3rd quarter. Crews Bank & Trust now owns 164 shares of the Internet television network's stock valued at $197,000 after buying an additional 9 shares during the period. Hedge funds and other institutional investors own 80.93% of the company's stock.

Insider Activity

In other Netflix news, insider David A. Hyman sold 424 shares of Netflix stock in a transaction on Tuesday, August 5th. The stock was sold at an average price of $1,158.67, for a total value of $491,276.08. Following the sale, the insider owned 31,610 shares in the company, valued at $36,625,558.70. The trade was a 1.32% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Reed Hastings sold 42,176 shares of Netflix stock in a transaction on Wednesday, October 1st. The shares were sold at an average price of $1,171.92, for a total value of $49,426,897.92. Following the completion of the sale, the director owned 394 shares in the company, valued at $461,736.48. This represents a 99.07% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 104,100 shares of company stock valued at $122,710,980 in the last 90 days. 1.37% of the stock is owned by insiders.

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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