Netflix (NASDAQ:NFLX) Rating Increased to Strong-Buy at China Intl Cap

China Intl Cap upgraded shares of Netflix (NASDAQ:NFLX) to a strong-buy rating in a research note released on Tuesday morning,Zacks.com reports.

NFLX has been the topic of a number of other research reports. Moffett Nathanson cut their price target on Netflix from $120.00 to $115.00 and set a “buy” rating on the stock in a report on Wednesday, June 17th. New Street Research increased their price objective on Netflix from $96.00 to $102.00 in a report on Friday, April 17th. Weiss Ratings cut Netflix from a “hold (c+)” rating to a “hold (c)” rating in a research report on Friday, June 26th. President Capital lifted their target price on Netflix from $133.00 to $134.00 and gave the company a “buy” rating in a research note on Tuesday, March 31st. Finally, UBS Group reduced their price target on Netflix from $130.00 to $115.00 and set a “buy” rating for the company in a research report 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 issued a Sell rating to the stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $104.21.

Netflix Stock Up 1.6%

Netflix stock opened at $68.67 on Tuesday. The company has a debt-to-equity ratio of 0.39, a quick ratio of 1.41 and a current ratio of 1.14. Netflix has a one year low of $65.08 and a one year high of $126.71. The company has a 50-day simple moving average of $79.42 and a 200-day simple moving average of $86.49. The firm has a market capitalization of $285.94 billion, a P/E ratio of 21.61, a P/E/G ratio of 0.85 and a beta of 1.52.

Netflix (NASDAQ:NFLX) last issued its quarterly earnings data 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 firm had revenue of $12.56 billion for the quarter, compared to the consensus estimate of $12.58 billion. Netflix had a net margin of 28.22% and a return on equity of 40.02%. Netflix’s quarterly revenue was up 13.4% compared to the same quarter last year. During the same period last year, the firm posted $0.72 EPS. As a group, equities analysts expect that Netflix will post 3.6 earnings per share for the current year.

Insider Activity at Netflix

In related news, Director Reed Hastings sold 407,550 shares of Netflix stock in a transaction dated Friday, May 1st. The stock was sold at an average price of $93.13, for a total transaction of $37,955,131.50. Following the transaction, the director directly owned 3,940 shares of the company’s stock, valued at $366,932.20. The trade was a 99.04% 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, CEO Gregory K. Peters sold 27,312 shares of the business’s stock in a transaction dated Thursday, May 7th. The stock was sold at an average price of $88.69, for a total transaction of $2,422,301.28. Following the completion of the sale, the chief executive officer owned 120,931 shares in the company, valued at approximately $10,725,370.39. This trade represents a 18.42% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 899,839 shares of company stock worth $80,141,661 in the last quarter. Company insiders own 1.24% of the company’s stock.

Hedge Funds Weigh In On Netflix

Large investors have recently made changes to their positions in the business. Vanguard Group Inc. lifted its stake in Netflix by 912.5% during 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 purchasing an additional 351,493,659 shares during the last quarter. State Street Corp grew its position in Netflix by 927.6% in 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 buying an additional 159,578,053 shares during the last quarter. Geode Capital Management LLC increased its holdings in shares of Netflix by 892.0% in the fourth quarter. Geode Capital Management LLC now owns 99,598,678 shares of the Internet television network’s stock valued at $9,305,336,000 after buying an additional 89,558,684 shares in the last quarter. Capital World Investors increased its holdings in shares of Netflix by 859.1% in the fourth quarter. Capital World Investors now owns 89,341,444 shares of the Internet television network’s stock valued at $8,376,656,000 after buying an additional 80,025,890 shares in the last quarter. Finally, Morgan Stanley lifted its position 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 acquiring an additional 76,840,318 shares during the last quarter. Institutional investors own 80.93% of the company’s stock.

More Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix delivered an earnings beat and continues to post double-digit revenue growth, while bulls argue the selloff has made the stock look inexpensive on earnings and cash flow. Netflix “Is Not a Broken Company” and Trades At Just 19x Earnings. Jim Cramer Says Start Buying
• Positive Sentiment: Several analysts and commentators say the post-earnings drop may have created a buying opportunity, citing Netflix’s ad business, live content ambitions, international growth, and strong free-cash-flow potential. Netflix (NFLX) Stock Still Looks Cheap On Cash Flow And Earnings
• Positive Sentiment: Phillip Securities upgraded Netflix from “moderate buy” to “strong-buy,” with one analyst saying engagement shows no signs of slowing and setting a higher price target than the current trading level. Netflix, Inc. (NFLX) is Attracting Investor Attention: Here is What You Should Know
• Neutral Sentiment: Wall Street coverage remains active and largely mixed-to-bullish, with some reports pointing to meaningful upside in consensus price targets even after the recent slide. Netflix Fell 45% Over 12 Months But This Ratings House Sees A Doubling Share Price
• Negative Sentiment: Investors are worried about softer revenue guidance, slowing growth momentum, and Netflix making viewership metrics harder to track, which raises questions about transparency and future monetization. Netflix (NFLX) Could Be 18% Undervalued After Soft Guidance Raised Fresh Growth Questions
• Negative Sentiment: Multiple articles described the stock’s recent action as a sharp post-earnings crash or “miserable stretch,” reflecting concern that the latest quarter did not convince investors that growth will reaccelerate soon. Netflix just made its slowdown harder to measure

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.