Parallel Advisors LLC Increases Stock Position in Netflix, Inc. $NFLX

Parallel Advisors LLC grew its holdings in shares of Netflix, Inc. (NASDAQ:NFLX) by 3.2% during the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 328,156 shares of the Internet television network’s stock after buying an additional 10,290 shares during the period. Netflix accounts for approximately 0.6% of Parallel Advisors LLC’s holdings, making the stock its 29th biggest position. Parallel Advisors LLC’s holdings in Netflix were worth $31,552,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also recently modified their holdings of the business. Turning Point Benefit Group Inc. boosted its stake in Netflix by 13,400.0% during the fourth quarter. Turning Point Benefit Group Inc. now owns 270 shares of the Internet television network’s stock worth $25,000 after acquiring an additional 268 shares in the last quarter. Imprint Wealth LLC bought a new position in shares of Netflix during the third quarter valued at approximately $25,000. Cornerstone Financial Management LLC bought a new position in shares of Netflix during the fourth quarter valued at approximately $26,000. Atlas Capital Advisors Inc. purchased a new position in shares of Netflix during the fourth quarter valued at approximately $26,000. Finally, Jessup Wealth Management Inc purchased a new position in shares of Netflix during the fourth quarter valued at approximately $27,000. 80.93% of the stock is owned by hedge funds and other institutional investors.

Netflix Stock Performance

NFLX stock opened at $73.57 on Wednesday. The stock’s 50 day simple moving average is $76.08 and its 200 day simple moving average is $85.15. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 0.39. Netflix, Inc. has a 12-month low of $65.08 and a 12-month high of $126.71. The stock has a market capitalization of $306.34 billion, a PE ratio of 23.16, a price-to-earnings-growth ratio of 0.92 and a beta of 1.52.

Netflix (NASDAQ:NFLX) last posted its earnings results on Thursday, July 16th. The Internet television network reported $0.80 EPS for the quarter, topping analysts’ consensus estimates of $0.79 by $0.01. Netflix had a return on equity of 40.02% and a net margin of 28.22%.The business had revenue of $12.56 billion during the quarter, compared to analyst estimates of $12.58 billion. During the same quarter last year, the company earned $0.72 EPS. The company’s quarterly revenue was up 13.4% compared to the same quarter last year. As a group, research analysts forecast that Netflix, Inc. will post 3.59 earnings per share for the current fiscal year.

Key Headlines Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix’s cloud-gaming initiative is showing strong early traction: monthly players have increased 11-fold since October, potentially creating a new engagement and growth engine beyond traditional streaming and mobile games. Can NFLX Stock Compound Its Way Higher?
• Positive Sentiment: Some analysts and investors view NFLX as increasingly attractive after its recent decline, citing Netflix’s scale, brand strength, content library and competitive moat. Longer-term shareholder returns also remain positive despite recent weakness. NFLX Stock Looks Attractive Even as Growth Slows Rivals’ Loss Signals Netflix’s Strong Moat
• Positive Sentiment: Commentary on Netflix’s buybacks and business economics provides potential valuation support, particularly with the shares trading well below their 52-week high and at a lower earnings multiple than earlier in the year. Netflix’s Stock Buybacks: History & Impact Explained
• Neutral Sentiment: Netflix’s latest reported quarter slightly exceeded earnings expectations, but revenue was just below consensus. Sales still grew 13.4% year over year, indicating continued expansion while also confirming that growth is moderating.
• Negative Sentiment: Wall Street is concerned that Netflix may have an engagement problem, especially as the company releases less viewing and engagement data. Reduced transparency could make it harder for investors to evaluate content performance and user momentum. Wall Street Is Worried Netflix Has an Engagement Problem
• Negative Sentiment: YouTube Premium’s planned bundle with Peacock and NBCUniversal sports highlights the growing competition for streaming subscribers, viewing time and entertainment budgets. This could pressure Netflix’s perceived growth rate and valuation. Is YouTube Going After Netflix?

Insider Activity at Netflix

In other Netflix news, Director Reed Hastings sold 386,700 shares of the business’s stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $85.97, for a total value of $33,244,599.00. Following the completion of the transaction, the director owned 3,940 shares of the company’s stock, valued at approximately $338,721.80. The trade was a 98.99% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Theodore A. Sarandos sold 27,312 shares of the company’s stock in a transaction dated Tuesday, August 4th. The shares were sold at an average price of $73.35, for a total transaction of $2,003,335.20. Following the transaction, the chief executive officer owned 178,954 shares in the company, valued at $13,126,275.90. This represents a 13.24% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 598,140 shares of company stock valued at $49,430,381 over the last three months. 1.24% of the stock is owned by insiders.

Analyst Ratings Changes

A number of research analysts have issued reports on NFLX shares. KeyCorp reiterated an “overweight” rating and set a $92.00 price objective (down from $115.00) on shares of Netflix in a research note on Monday, July 13th. CLSA initiated coverage on Netflix in a research note on Monday, July 20th. They issued an “outperform” rating on the stock. Bank of America restated a “buy” rating and set a $125.00 price target on shares of Netflix in a report on Monday, May 18th. China Renaissance lifted their price target on Netflix from $90.00 to $100.00 and gave the stock a “hold” rating in a research report on Friday, April 17th. Finally, Wedbush dropped their price target on shares of Netflix from $118.00 to $105.00 and set an “outperform” rating on the stock in a research note on Friday, July 17th. Four investment analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, seventeen have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, Netflix has an average rating of “Moderate Buy” and an average price target of $103.48.

Netflix Profile

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.