Tocqueville Asset Management L.P. Buys New Position in Netflix, Inc. $NFLX

Tocqueville Asset Management L.P. bought a new stake in shares of Netflix, Inc. (NASDAQ:NFLX) in the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor bought 326,320 shares of the Internet television network’s stock, valued at approximately $23,299,000.

Several other institutional investors have also added to or reduced their stakes in NFLX. Pacific Sun Financial Corp grew its position in shares of Netflix by 1.6% during the 3rd quarter. Pacific Sun Financial Corp now owns 574 shares of the Internet television network’s stock valued at $688,000 after acquiring an additional 9 shares during the period. Beaird Harris Wealth Management LLC increased its stake in shares of Netflix by 9.6% in the 3rd quarter. Beaird Harris Wealth Management LLC now owns 114 shares of the Internet television network’s stock worth $137,000 after purchasing an additional 10 shares in the last quarter. Monograph Wealth Advisors LLC raised its holdings in Netflix by 1.8% in the 2nd quarter. Monograph Wealth Advisors LLC now owns 682 shares of the Internet television network’s stock worth $913,000 after purchasing an additional 12 shares during the period. Resources Management Corp CT ADV raised its holdings in Netflix by 2.0% in 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 period. Finally, Sompo Asset Management Co. Ltd. lifted 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 valued at $2,009,000 after purchasing an additional 20 shares in the last quarter. 80.93% of the stock is currently owned by institutional investors.

Netflix Price Performance

Shares of Netflix stock opened at $80.22 on Thursday. The company has a market capitalization of $334.03 billion, a price-to-earnings ratio of 25.25, a PEG ratio of 0.98 and a beta of 1.52. 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 stock’s 50-day simple moving average is $74.43 and its 200-day simple moving average is $84.39. Netflix, Inc. has a 52 week low of $65.08 and a 52 week high of $126.71.

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

Wall Street Analysts Forecast Growth

Several research firms have issued reports on NFLX. Piper Sandler reissued an “overweight” rating and set a $85.00 price target (down from $115.00) on shares of Netflix in a report on Friday, July 17th. Wedbush decreased their price objective on Netflix from $118.00 to $105.00 and set an “outperform” rating on the stock in a research note on Friday, July 17th. TD Cowen lowered their price objective on Netflix from $112.00 to $100.00 and set a “buy” rating on the stock in a research report on Friday, July 17th. CLSA began coverage on Netflix in a research note on Monday, July 20th. They set an “outperform” rating for the company. Finally, Phillip Securities raised shares of Netflix from a “moderate buy” rating to a “strong-buy” rating in a report on Sunday, July 19th. Four analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, seventeen have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Netflix currently has an average rating of “Moderate Buy” and a consensus price target of $103.48.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Bill Ackman returns: Pershing Square disclosed a roughly 4.9% portfolio position in Netflix, reversing its earlier exit at a reported loss of about $400 million. Ackman’s renewed conviction reflects expectations for double-digit revenue growth, margin expansion and continued streaming leadership. What’s Going On With Netflix Stock Wednesday?
• Positive Sentiment: Advertising remains a growth catalyst: Analysts highlighted Netflix’s rapidly scaling ad-supported business, including new advertising tools and live programming that could help generate billions in ad revenue and support longer-term revenue expansion. NFLX’s Ad Business Focus
• Positive Sentiment: Valuation attracts bargain hunters: With the stock down about 43% from its peak and trading near 21 times forward earnings, investors are comparing Netflix’s valuation with prior major pullbacks and arguing that the risk-reward profile has improved. Several commentators and CNBC’s Jason Snipe also endorsed the shares. Netflix Trades at 21 Times Forward Earnings
• Neutral Sentiment: Broader market rotation helped: Netflix participated in a shift away from semiconductor stocks and toward beaten-down software and technology shares. This suggests part of the move reflected sector positioning rather than a new company-specific operating announcement. Netflix, Salesforce, and Adobe Rally
• Negative Sentiment: Copyright lawsuit adds risk: The band Demon Hunter sued Netflix over the title and alleged intellectual-property issues involving KPop Demon Hunters. The legal action introduces potential costs and reputational risk, although its financial impact is currently unclear. Netflix sued by band Demon Hunter

Insiders Place Their Bets

In other news, Director Reed Hastings sold 386,700 shares of Netflix stock in a transaction that occurred on Monday, June 1st. The shares were sold at an average price of $85.97, for a total transaction of $33,244,599.00. Following the sale, the director owned 3,940 shares in the company, valued at $338,721.80. This trade represents a 98.99% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Spencer Adam Neumann sold 9,248 shares of the business’s stock in a transaction on Monday, August 10th. The stock was sold at an average price of $75.79, for a total transaction of $700,905.92. Following the completion of the transaction, the chief financial officer directly owned 73,787 shares in the company, valued at $5,592,316.73. This trade represents a 11.14% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 600,295 shares of company stock worth $49,056,671 over the last ninety days. 1.24% of the stock is owned by company insiders.

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.