Netflix, Inc. $NFLX Position Lessened by Gradient Investments LLC

Gradient Investments LLC decreased its position in shares of Netflix, Inc. (NASDAQ:NFLX) by 23.6% in the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 258,969 shares of the Internet television network’s stock after selling 80,052 shares during the period. Gradient Investments LLC’s holdings in Netflix were worth $18,490,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Pacific Sun Financial Corp increased its holdings in Netflix by 1.6% in the third quarter. Pacific Sun Financial Corp now owns 574 shares of the Internet television network’s stock worth $688,000 after buying an additional 9 shares during the last quarter. Beaird Harris Wealth Management LLC lifted its stake in Netflix by 9.6% in the third quarter. Beaird Harris Wealth Management LLC now owns 114 shares of the Internet television network’s stock valued at $137,000 after acquiring an additional 10 shares during the last quarter. Monograph Wealth Advisors LLC grew its position in Netflix by 1.8% in the second quarter. Monograph Wealth Advisors LLC now owns 682 shares of the Internet television network’s stock worth $913,000 after acquiring an additional 12 shares in the last quarter. Resources Management Corp CT ADV increased its stake in shares of Netflix by 2.0% during the 2nd quarter. Resources Management Corp CT ADV now owns 829 shares of the Internet television network’s stock worth $1,110,000 after purchasing an additional 16 shares during the last quarter. Finally, Sompo Asset Management Co. Ltd. increased its position in Netflix by 1.4% during the second quarter. Sompo Asset Management Co. Ltd. now owns 1,500 shares of the Internet television network’s stock worth $2,009,000 after buying an additional 20 shares during the last quarter. 80.93% of the stock is owned by hedge funds and other institutional investors.

Key Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix will exclusively premiere Grand Theft Auto VI: An Extended Look on August 27, six hours before its YouTube release. The high-profile Rockstar Games event could drive subscriber engagement, streaming traffic and broader attention to Netflix’s platform. GTA VI Extended Look to Debut on Netflix
• Positive Sentiment: Wall Street’s outlook remains moderately bullish despite NFLX’s weak recent performance. Analysts’ consensus rating is “Moderate Buy,” with an average price target of approximately $103.48, substantially above recent trading levels. Netflix Receives Moderate Buy Consensus
• Positive Sentiment: One valuation analysis estimates Netflix could be about 26% undervalued based on discounted-cash-flow and market-multiple models. A multiyear licensing agreement involving The Walking Dead universe may provide additional content and monetization opportunities. Netflix May Be Undervalued
• Neutral Sentiment: Netflix’s latest quarterly results were mixed: earnings per share narrowly beat estimates and revenue rose 13.4% year over year, but revenue slightly missed expectations. Investors may therefore remain focused on future growth and engagement trends.
• Negative Sentiment: CEO Gregory Peters sold 27,312 shares worth about $2.0 million, reducing his direct holdings by 18.42%. Director Richard Barton also sold 2,160 shares for approximately $162,000. Barton’s sale was made under a pre-arranged Rule 10b5-1 plan, limiting its significance, but the combined insider selling may still weigh on sentiment. Netflix Insider Selling
• Negative Sentiment: Netflix has underperformed the S&P 500 over the past year amid concerns about engagement, limited viewing-data disclosure and intensifying streaming competition. The shares also remain below their major moving averages, signaling continued technical pressure. Netflix Underperforms the S&P 500

Netflix Stock Up 0.6%

Shares of NASDAQ NFLX opened at $74.14 on Friday. The stock has a market cap of $308.71 billion, a PE ratio of 23.34, a PEG ratio of 0.93 and a beta of 1.52. The business has a fifty day moving average of $75.32 and a two-hundred day moving average of $84.88. Netflix, Inc. has a 52-week low of $65.08 and a 52-week high of $126.71. The company has a debt-to-equity ratio of 0.39, a quick ratio of 1.14 and a current ratio of 1.14.

Netflix (NASDAQ:NFLX) last posted 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. The business had revenue of $12.56 billion for the quarter, compared to analyst estimates 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 quarter in the prior year, the firm earned $0.72 EPS. As a group, equities research analysts expect that Netflix, Inc. will post 3.59 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

A number of brokerages recently weighed in on NFLX. Piper Sandler reissued an “overweight” rating and issued a $85.00 price objective (down from $115.00) on shares of Netflix in a research note on Friday, July 17th. Pivotal Research lowered their price target on Netflix from $96.00 to $70.00 and set a “hold” rating on the stock in a report on Friday, July 17th. Robert W. Baird set a $90.00 price target on shares of Netflix and gave the company an “outperform” rating in a research report on Wednesday, July 22nd. Citic Securities boosted their price objective on shares of Netflix from $95.00 to $107.00 and gave the stock a “hold” rating in a research note on Monday, April 27th. Finally, Wells Fargo & Company set a $80.00 price target on shares of Netflix and gave the company an “equal weight” rating in a report on Friday, July 17th. Four equities research analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, seventeen have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $103.48.

Insider Activity

In other news, Director Richard N. Barton sold 2,160 shares of the firm’s stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $75.10, for a total transaction of $162,216.00. Following the completion of the sale, the director owned 246 shares of the company’s stock, valued at approximately $18,474.60. This trade represents a 89.78% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Bradford L. Smith sold 35,990 shares of Netflix stock in a transaction that occurred on Wednesday, June 17th. The shares were sold at an average price of $77.52, for a total transaction of $2,789,944.80. Following the completion of the transaction, the director owned 79,690 shares of the company’s stock, valued at $6,177,568.80. This trade represents a 31.11% 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. In the last three months, insiders sold 591,047 shares of company stock valued at $48,355,766. Corporate insiders own 1.24% of the company’s stock.

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.