Wealth Effects LLC Takes $481,000 Position in Netflix, Inc. $NFLX

Wealth Effects LLC acquired a new position in Netflix, Inc. (NASDAQ:NFLX) during the second quarter, HoldingsChannel.com reports. The fund acquired 6,734 shares of the Internet television network’s stock, valued at approximately $481,000.

Other large investors have also recently modified their holdings of the company. Vanguard Group Inc. boosted its stake in Netflix by 912.5% in the fourth quarter. Vanguard Group Inc. now owns 390,014,981 shares of the Internet television network’s stock valued at $36,567,805,000 after acquiring an additional 351,493,659 shares in the last quarter. State Street Corp increased its position in shares of Netflix by 927.6% during the fourth quarter. State Street Corp now owns 176,780,995 shares of the Internet television network’s stock worth $16,574,986,000 after purchasing an additional 159,578,053 shares in the last quarter. Geode Capital Management LLC increased its position in shares of Netflix by 892.0% during the fourth quarter. Geode Capital Management LLC now owns 99,598,678 shares of the Internet television network’s stock worth $9,305,336,000 after purchasing an additional 89,558,684 shares in the last quarter. Capital World Investors lifted its holdings in shares of Netflix by 859.1% during the 4th quarter. Capital World Investors now owns 89,341,444 shares of the Internet television network’s stock valued at $8,376,656,000 after purchasing an additional 80,025,890 shares during the last quarter. Finally, Morgan Stanley lifted its holdings in shares of Netflix by 903.0% during the 4th quarter. Morgan Stanley now owns 85,349,973 shares of the Internet television network’s stock valued at $8,002,414,000 after purchasing an additional 76,840,318 shares during the last quarter. Institutional investors own 80.93% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research analysts recently weighed in on NFLX shares. CLSA began coverage on Netflix in a research note on Monday, July 20th. They set an “outperform” rating on the stock. Rosenblatt Securities set a $75.00 price target on Netflix and gave the company a “neutral” rating in a research note on Friday, July 17th. Wells Fargo & Company set a $80.00 price target on Netflix and gave the stock an “equal weight” rating in a report on Friday, July 17th. China Intl Cap upgraded shares of Netflix to a “strong-buy” rating in a report on Tuesday, July 21st. Finally, Erste Group Bank lowered shares of Netflix from a “buy” rating to a “hold” rating in a research report on Monday, April 27th. Four investment analysts have rated the stock with a Strong Buy rating, thirty-three 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, Netflix presently has a consensus rating of “Moderate Buy” and a consensus target price of $103.48.

Insider Activity

In other Netflix news, CEO Gregory K. Peters sold 27,312 shares of the firm’s stock in a transaction that occurred on Thursday, August 6th. The shares were sold at an average price of $73.54, for a total transaction of $2,008,524.48. Following the completion of the transaction, the chief executive officer directly owned 120,931 shares of the company’s stock, valued at approximately $8,893,265.74. This trade represents a 18.42% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, insider David A. Hyman sold 5,723 shares of the firm’s stock in a transaction that occurred on Tuesday, August 4th. The stock was sold at an average price of $72.85, for a total transaction of $416,920.55. Following the transaction, the insider directly owned 316,100 shares of the company’s stock, valued at $23,027,885. This represents a 1.78% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders have sold 600,295 shares of company stock valued at $49,056,671. 1.24% of the stock is owned by insiders.

Trending Headlines about Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Bill Ackman’s Pershing Square disclosed a new Netflix position of approximately 3.15 million shares, representing about 4.9% of the fund’s portfolio. Ackman said Netflix has effectively “won the streaming wars,” renewing investor interest after the stock’s major sell-off. Reuters article
• Positive Sentiment: Analysts and investing commentators point to Netflix’s resilient fundamentals: second-quarter revenue rose 13.4% year over year to $12.6 billion, earnings per share slightly exceeded estimates, and profitability remained strong. The advertising business, expanding margins and a valuation viewed as reasonable relative to growth are supporting the bullish case. Zacks article
• Positive Sentiment: Netflix’s continued push into live sports—including an MLB “Field of Dreams” game—and the extension of its Seinfeld agreement could strengthen engagement, advertising opportunities and content retention. MLB live sports article
• Neutral Sentiment: Institutional positioning is mixed: some large investors added shares while others reduced holdings. Analysts’ reported price targets remain above the current market level, but investors still must weigh valuation and slowing growth expectations.
• Negative Sentiment: Netflix closed its Hollywood-based Night School gaming studio and plans to close Helsinki-based Moonloot. The closures may improve focus and reduce costs, but they also raise questions about the company’s gaming strategy and ability to expand beyond streaming. Los Angeles Times article
• Negative Sentiment: Reported insider trading shows 30 Netflix open-market sales and no purchases over the past six months. While such sales may reflect compensation or diversification, the one-sided pattern can weigh on sentiment and contrasts with Ackman’s new bullish position. Quiver Quantitative article

Netflix Stock Performance

Shares of NFLX stock opened at $78.16 on Monday. The business has a fifty day moving average of $74.67 and a 200 day moving average of $84.53. Netflix, Inc. has a 1 year low of $65.08 and a 1 year high of $126.71. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.14 and a quick ratio of 1.14. The firm has a market capitalization of $325.45 billion, a price-to-earnings ratio of 24.60, a price-to-earnings-growth ratio of 0.98 and a beta of 1.52.

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

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.