Netflix’s (NFLX) Outperform Rating Reiterated at Wedbush

Wedbush reissued their outperform rating on shares of Netflix (NASDAQ:NFLX) in a research report released on Wednesday,Benzinga reports. They currently have a $115.00 price objective on the Internet television network’s stock.

Several other equities research analysts have also issued reports on the stock. Erste Group Bank lowered shares of Netflix from a “buy” rating to a “hold” rating in a research report on Friday, October 31st. Barclays reaffirmed a “neutral” rating and set a $110.00 price objective on shares of Netflix in a report on Friday, December 5th. Loop Capital reduced their target price on Netflix from $135.00 to $132.50 in a research note on Wednesday, October 22nd. KeyCorp set a $110.00 price target on Netflix and gave the company an “overweight” rating in a research report on Friday, January 16th. Finally, Cfra Research cut Netflix from a “strong-buy” rating to a “hold” rating in a report on Monday, January 5th. One investment analyst has rated the stock with a Strong Buy rating, thirty-two have assigned a Buy rating, seventeen have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Netflix currently has a consensus rating of “Moderate Buy” and a consensus price target of $118.63.

Netflix Stock Up 3.1%

NFLX opened at $86.14 on Wednesday. Netflix has a 12 month low of $81.93 and a 12 month high of $134.12. The company has a market cap of $365.01 billion, a PE ratio of 34.09, a price-to-earnings-growth ratio of 1.48 and a beta of 1.71. The company has a current ratio of 1.19, a quick ratio of 1.33 and a debt-to-equity ratio of 0.51. The company has a 50 day moving average of $96.20 and a 200 day moving average of $111.42.

Netflix (NASDAQ:NFLX) last announced its quarterly earnings results on Tuesday, January 20th. The Internet television network reported $0.56 earnings per share for the quarter, beating the consensus estimate of $0.55 by $0.01. The firm had revenue of $12.05 billion for the quarter, compared to analysts’ expectations of $11.97 billion. Netflix had a return on equity of 43.26% and a net margin of 24.30%.The company’s revenue was up 17.6% on a year-over-year basis. During the same period in the prior year, the business posted $0.43 earnings per share. Netflix has set its Q1 2026 guidance at 0.760-0.760 EPS. On average, sell-side analysts expect that Netflix will post 24.58 EPS for the current year.

Insider Transactions at Netflix

In other news, CFO Spencer Adam Neumann sold 23,600 shares of the firm’s stock in a transaction that occurred on Monday, November 3rd. The stock was sold at an average price of $109.76, for a total value of $2,590,241.60. Following the completion of the transaction, the chief financial officer owned 39,310 shares in the company, valued at $4,314,508.36. This trade represents a 37.51% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Reed Hastings sold 426,290 shares of the company’s stock in a transaction on Friday, January 2nd. The stock was sold at an average price of $91.67, for a total value of $39,078,004.30. Following the completion of the sale, the director directly owned 3,940 shares in the company, valued at approximately $361,179.80. The trade was a 99.08% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 1,653,599 shares of company stock worth $173,141,263. 1.37% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the business. First Financial Corp IN grew its stake in shares of Netflix by 900.0% in the 4th quarter. First Financial Corp IN now owns 270 shares of the Internet television network’s stock worth $25,000 after buying an additional 243 shares during the last quarter. DiNuzzo Private Wealth Inc. boosted its holdings in Netflix by 885.2% in the fourth quarter. DiNuzzo Private Wealth Inc. now owns 266 shares of the Internet television network’s stock worth $25,000 after acquiring an additional 239 shares in the last quarter. Imprint Wealth LLC bought a new stake in Netflix in the third quarter worth $25,000. Retirement Wealth Solutions LLC purchased a new stake in shares of Netflix in the third quarter worth $28,000. Finally, MB Levis & Associates LLC increased its holdings in shares of Netflix by 177.8% during the fourth quarter. MB Levis & Associates LLC now owns 300 shares of the Internet television network’s stock valued at $28,000 after acquiring an additional 192 shares in the last quarter. 80.93% of the stock is currently owned by institutional investors.

Key Stories Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Solid quarter and subscriber milestone — Netflix beat Q4 revenue/earnings estimates modestly and surpassed ~325 million paid subscribers, which supports the base streaming growth story and cash generation outlook. Netflix Just Topped 325 Million Subscribers
• Positive Sentiment: Institutional buying and options activity — Large call-volume and reported purchases by funds (e.g., ARK) show pockets of bullish positioning that can prop short-term upside amid the noise. Cathie Wood Loads Up on Netflix
• Neutral Sentiment: Mixed analyst commentary — Some firms reaffirm bullish views (e.g., Bernstein) while others trim targets; consensus remains split between “buy” and cautious views as models are re-run to account for the WBD deal and slower guidance. Analysts Share Mixed Remarks on Netflix
• Negative Sentiment: Acquisition battle and regulatory uncertainty — The takeover fight for Warner Bros. (Netflix’s ~$82.7B all-cash offer vs. Paramount/Skydance counterpressure) is escalating; that contest raises antitrust and financing risk and is the primary driver of investor caution. Netflix says Paramount bid ‘doesn’t pass sniff test’
• Negative Sentiment: All-cash structure and financing impact — Netflix amended the WBD offer to all cash and suspended buybacks, increasing near-term cash needs and removing a prior EPS support; that elevates leverage/financial risk if the deal proceeds. Netflix Just Upped Its Bid for Warner Bros. to All Cash
• Negative Sentiment: Analysts cut targets and warn on guidance — Multiple shops lowered price targets or issued cautious notes after Q4 and the WBD bid (Baird, TD Cowen, HSBC and others), pressuring sentiment and weighing on valuation. Baird Adjusts Price Target on Netflix
• Negative Sentiment: Political/regulatory spotlight — Netflix executives will face hearings (Senate testimony reported), raising the chance of regulatory hurdles and prolonging deal uncertainty. Sarandos to Testify in Senate Hearing
• Negative Sentiment: Market-level re-rating — Despite solid results, the stock remains well below its 2025 highs as investors price in slower growth and deal risk; that macro re-pricing is keeping volatility elevated. Netflix Stock Drops 35%+ After Q4 as WBD Deal Risk Rises

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.