Rosenblatt Securities Reaffirms Neutral Rating for Netflix (NASDAQ:NFLX)

Netflix (NASDAQ:NFLX)‘s stock had its “neutral” rating reissued by analysts at Rosenblatt Securities in a research note issued to investors 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 6.38% from the stock’s current price.

Several other equities research analysts have also weighed in on NFLX. KeyCorp dropped their target price on Netflix from $92.00 to $85.00 and set an “overweight” rating on the stock in a research report on Tuesday. New Street Research raised their price target on Netflix from $96.00 to $102.00 and gave the company a “neutral” rating in a report on Friday, July 17th. Daiwa Securities Group lowered their price target on Netflix from $102.00 to $76.00 and set an “outperform” rating on the stock in a report on Wednesday, July 22nd. China Renaissance lowered their price target on Netflix from $100.00 to $80.00 and set a “hold” rating on the stock in a report on Friday, July 17th. Finally, Deutsche Bank Aktiengesellschaft raised Netflix from a “hold” rating to a “buy” rating and lowered their price target for the company from $100.00 to $95.00 in a report on Tuesday, September 29th. Four analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating, fifteen have issued a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $93.82.

Netflix Stock Performance

NASDAQ NFLX traded down $2.11 during trading hours on Friday, hitting $70.50. The company had a trading volume of 21,212,992 shares, compared to its average volume of 42,148,613. Netflix has a fifty-two week low of $65.08 and a fifty-two week high of $124.86. The company has a quick ratio of 1.14, a current ratio of 1.14 and a debt-to-equity ratio of 0.39. The business has a fifty day simple moving average of $75.25 and a 200-day simple moving average of $80.73. The firm has a market cap of $293.55 billion, a P/E ratio of 22.20, a price-to-earnings-growth ratio of 1.00 and a beta of 1.62.

Netflix (NASDAQ:NFLX) last issued its earnings results on Thursday, July 16th. The Internet television network reported $0.80 earnings per share for the quarter, topping the consensus estimate of $0.79 by $0.01. Netflix had a return on equity of 40.02% and a net margin of 28.22%. The firm had revenue of $12.56 billion for the quarter, compared to analyst estimates of $12.58 billion. During the same period last year, the company earned $0.72 earnings per share. The firm’s revenue for the quarter was up 13.4% on a year-over-year basis. Equities analysts predict that Netflix will post 3.59 EPS for the current year.

Insider Activity

In related news, Director Richard Barton sold 2,160 shares of Netflix stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $75.10, for a total transaction of $162,216.00. Following the transaction, the director directly owned 246 shares of the company’s stock, valued at $18,474.60. The trade was a 89.78% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Spencer Neumann sold 9,248 shares of Netflix stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $75.79, for a total value of $700,905.92. Following the transaction, the chief financial officer directly owned 73,787 shares in the company, valued at approximately $5,592,316.73. The trade was a 11.14% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 179,045 shares of company stock valued at $13,132,194 over the last quarter. Insiders own 1.24% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Clal Insurance Enterprises Holdings Ltd acquired a new position in shares of Netflix in the 2nd quarter valued at $26,000. Compound Global Advisors LLC acquired a new position in shares of Netflix in the 2nd quarter valued at $29,000. Burnham & Co LLC acquired a new position in shares of Netflix in the 2nd quarter valued at $29,000. Merkkuri Wealth Advisors LLC acquired a new position in shares of Netflix in the 1st quarter valued at $31,000. Finally, Bayban boosted its position in shares of Netflix by 400.0% in the 1st quarter. Bayban now owns 350 shares of the Internet television network’s stock valued at $34,000 after purchasing an additional 280 shares during the period. 80.93% of the stock is owned by institutional investors and hedge funds.

More Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Former Disney and Fox executive Peter Rice will become Netflix’s chief content officer on October 26, replacing Bela Bajaria. Rice’s experience across scripted and unscripted programming, live sports, prestige television and theatrical distribution could help Netflix improve its content pipeline and viewer engagement. Netflix appoints Peter Rice as chief content officer
• Positive Sentiment: Jefferies upgraded NFLX to “strong buy” and cited pricing power and advertising growth as potential revenue supports. Wedbush maintained an “outperform” rating, while its revised $90 price target still implies substantial upside from current levels.
• Positive Sentiment: Options positioning ahead of the October 20 earnings release is bullish and suggests traders expect a significant post-earnings move. Analysts also point to expanding margins, higher advertising commitments and recent pricing gains as favorable factors. Options traders expect a large move in Netflix stock
• Neutral Sentiment: Netflix is scheduled to report third-quarter results after the market closes on October 20. Investors will focus on revenue growth, engagement, churn, advertising progress and management guidance. Current expectations suggest the quarter could deliver the company’s slowest revenue growth since mid-2023.
• Negative Sentiment: Netflix is cutting approximately 1,000 jobs, or 6% of its workforce, across product, technology, legal and human-resources functions. Management described the move as a resource-allocation and efficiency effort, but the scale and timing of the reductions signal that growth and viewing trends are under pressure. Netflix to lay off roughly 1,000 employees
• Negative Sentiment: Bajaria’s departure after nearly a decade, immediately following the layoffs, is being interpreted as a broader content strategy reset. Investors remain concerned about declining viewer engagement, rising churn, intensifying competition from other streamers and creator platforms, and the need for another breakout hit.
• Negative Sentiment: Analyst opinion remains divided: Rosenblatt reaffirmed a “neutral” rating with a $75 target, while other commentary warns that Netflix’s premium valuation is difficult to justify if subscriber growth and viewing time continue to slow.

About Netflix

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.