Netflix (NASDAQ:NFLX) Stock Keeps “Neutral” Rating at Rosenblatt Securities

Netflix (NASDAQ:NFLX)‘s stock had its “neutral” rating reissued by Rosenblatt Securities in a research report issued on Friday, Benzinga reports. They presently have a $75.00 price target on the Internet television network’s stock. Rosenblatt Securities’ price target indicates a potential upside of 5.31% from the company’s current price.

Several other equities analysts have also recently issued reports on the stock. KeyCorp decreased their price target on shares of Netflix from $92.00 to $85.00 and set an “overweight” rating for the company in a research report on Tuesday. Daiwa Securities Group decreased their price target on shares of Netflix from $102.00 to $76.00 and set an “outperform” rating for the company in a research report on Wednesday, July 22nd. Stephens initiated coverage on shares of Netflix in a research report on Friday, July 17th. They issued an “overweight” rating for the company. DZ Bank restated a “buy” rating on shares of Netflix in a research report on Monday, July 20th. Finally, Evercore restated an “outperform” rating and issued a $110.00 price target (up from $100.00) on shares of Netflix in a research report on Monday, September 14th. Four investment analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating, fifteen have given a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $93.82.

Netflix Price Performance

NFLX stock traded down $1.39 during trading on Friday, reaching $71.22. 12,374,081 shares of the company were exchanged, compared to its average volume of 42,088,227. The company has a 50-day moving average of $75.25 and a two-hundred day moving average of $80.73. The company has a market capitalization of $296.56 billion, a price-to-earnings ratio of 22.37, a P/E/G ratio of 1.00 and a beta of 1.62. Netflix has a twelve month low of $65.08 and a twelve month high of $124.86. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.14 and a quick ratio of 1.14.

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

Insider Buying and Selling

In other news, insider David A. Hyman sold 5,723 shares of the company’s stock in a transaction on Tuesday, August 4th. The shares were sold at an average price of $72.85, for a total value of $416,920.55. Following the sale, the insider directly owned 316,100 shares of the company’s stock, valued at approximately $23,027,885. This represents a 1.78% decrease in their position. The transaction 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. Also, CEO Gregory K. Peters sold 27,312 shares of the company’s stock in a transaction 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 sale, the chief executive officer directly owned 120,931 shares in the company, valued at approximately $8,893,265.74. This represents a 18.42% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 179,045 shares of company stock worth $13,132,194. Corporate insiders own 1.24% of the company’s stock.

Institutional Investors Weigh In On Netflix

A number of institutional investors have recently modified their holdings of NFLX. BlackRock Inc. bought a new stake in shares of Netflix in the 2nd quarter valued at $24,902,221,000. Invesco Ltd. boosted its stake in shares of Netflix by 835.9% in the 4th quarter. Invesco Ltd. now owns 43,462,696 shares of the Internet television network’s stock valued at $4,075,062,000 after purchasing an additional 38,818,947 shares during the last quarter. Bank of New York Mellon Corp bought a new stake in shares of Netflix in the 2nd quarter valued at $1,906,482,000. Legal & General Group Plc bought a new stake in shares of Netflix in the 2nd quarter valued at $1,886,526,000. Finally, Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in shares of Netflix in the 2nd quarter valued at $1,481,303,000. 80.93% of the stock is owned by institutional investors.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Jefferies upgraded Netflix (NFLX) to “strong buy,” citing potential support from pricing increases and advertising revenue, while maintaining an $85 price target. Netflix stock gets bullish analyst call ahead of next week’s earnings
• Positive Sentiment: Netflix appointed former Disney and Fox executive Peter Rice as chief content officer, potentially bringing new strategic direction and industry experience as the company seeks stronger film and television hits. Netflix names former Disney executive Rice as new content chief
• Neutral Sentiment: Netflix reports third-quarter results after the market closes on October 20. Options markets imply a potentially large post-earnings move, increasing near-term volatility as investors assess revenue growth, churn and management’s outlook. Netflix will report earnings on Oct. 20
• Negative Sentiment: Netflix is eliminating roughly 1,000 jobs, or 6% of its workforce, in its largest reduction since 2022. Although the move may lower costs, its timing highlights management’s concerns about slowing growth and intensifying competition. Netflix is laying off roughly 6% of its workforce
• Negative Sentiment: Investors viewed the replacement of longtime content chief Bela Bajaria immediately after the layoffs as evidence of pressure to improve Netflix’s programming, particularly as viewer engagement slows and reported U.S. app churn rises. Netflix stock falls as content shake-up fails to ease investor worries
• Negative Sentiment: Wedbush lowered its price target from $105 to $90, while Rosenblatt reaffirmed a neutral rating with a $75 target. Analysts remain divided over whether Netflix’s still-positive revenue growth can offset weaker engagement and churn concerns.

Netflix Company Profile

Netflix, Inc (NASDAQ:NFLX) is a global entertainment company that operates a subscription-based streaming service. It offers a broad range of television series, films, documentaries, and other programming, including original productions developed under the Netflix brand and licensed content from third-party studios.

The company also provides advertising-supported viewing options in some markets and has expanded into related entertainment categories, including mobile and cloud-based games, live programming, and consumer products associated with selected titles.