Neumann Capital Management LLC Acquires 10,720 Shares of Netflix, Inc. $NFLX

Neumann Capital Management LLC acquired a new position in shares of Netflix, Inc. (NASDAQ:NFLX) in the third quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund acquired 10,720 shares of the Internet television network’s stock, valued at approximately $746,000.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in the stock. Nykredit A S bought a new stake in Netflix during the 2nd quarter valued at $105,697,000. Rockland Trust Co. boosted its holdings in shares of Netflix by 27.5% during the third quarter. Rockland Trust Co. now owns 219,221 shares of the Internet television network’s stock worth $15,253,000 after purchasing an additional 47,339 shares during the period. Ritholtz Wealth Management boosted its holdings in shares of Netflix by 25.0% during the first quarter. Ritholtz Wealth Management now owns 106,451 shares of the Internet television network’s stock worth $10,235,000 after purchasing an additional 21,260 shares during the period. Welch & Forbes LLC boosted its holdings in shares of Netflix by 3,464.5% during the first quarter. Welch & Forbes LLC now owns 118,448 shares of the Internet television network’s stock worth $11,389,000 after purchasing an additional 115,125 shares during the period. Finally, USS Investment Management Ltd grew its stake in shares of Netflix by 31.8% in the first quarter. USS Investment Management Ltd now owns 886,527 shares of the Internet television network’s stock worth $85,244,000 after purchasing an additional 213,972 shares during the last quarter. 80.93% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity at Netflix

In related news, CEO Theodore Sarandos sold 105,850 shares of the business’s stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $73.03, for a total transaction of $7,730,225.50. Following the sale, the chief executive officer owned 206,266 shares of the company’s stock, valued at $15,063,605.98. The trade was a 33.91% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Spencer Neumann sold 9,248 shares of the company’s stock in a transaction dated 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 sale, the chief financial officer owned 73,787 shares in the company, valued at approximately $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 179,045 shares of company stock worth $13,132,194 over the last 90 days. 1.24% of the stock is currently owned by insiders.

Analysts Set New Price Targets

Several research firms have weighed in on NFLX. Guggenheim reiterated a “buy” rating and issued a $80.00 price objective (up from $75.00) on shares of Netflix in a report on Thursday, October 1st. Phillip Securities raised Netflix from a “moderate buy” rating to a “strong-buy” rating and set a $110.00 target price on the stock in a research note on Sunday, July 19th. Seaport Research Partners downgraded Netflix from a “buy” rating to a “neutral” rating in a report on Monday, July 20th. Pivotal Research dropped their price target on Netflix from $96.00 to $70.00 and set a “hold” rating for the company in a research note on Friday, July 17th. Finally, Stephens started coverage on shares of Netflix in a research report on Friday, July 17th. They issued an “overweight” rating for the company. Three equities research analysts have rated the stock with a Strong Buy rating, thirty-five have given a Buy rating, fifteen have assigned a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $94.41.

Netflix News Roundup

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Jefferies initiated coverage with a Buy rating and an $85 price target, citing potential revenue support from subscription-price increases and advertising. Netflix stock gets bullish analyst call ahead of next week’s earnings
• Positive Sentiment: Netflix named former Disney and Fox executive Peter Rice as chief content officer, replacing Bela Bajaria. Rice’s experience could help Netflix improve its content strategy and viewer engagement as competition intensifies. Netflix names former Disney executive Rice as new content chief
• Neutral Sentiment: Netflix will release third-quarter results on October 20. Wall Street estimates for revenue, earnings and operating metrics may drive volatility as investors look for evidence that pricing, advertising and content investments are offsetting weaker engagement. Ahead of Netflix Q3 earnings
• Negative Sentiment: Netflix is eliminating roughly 1,000 positions, or 6% of its workforce, its largest reduction since 2022. Management described the move as a resource-allocation and efficiency effort, but investors may view it as evidence of slowing growth and pressure to control costs. Netflix is laying off roughly 6% of its workforce
• Negative Sentiment: Reports citing app data indicate U.S. churn has risen and viewing engagement has weakened. Those trends raise questions about Netflix’s ability to retain subscribers amid competition from other streaming services, YouTube and creator-led video. Netflix warning signs ahead of Q3 earnings

Netflix Stock Performance

Shares of Netflix stock opened at $72.61 on Friday. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 0.39. The firm has a market capitalization of $302.34 billion, a P/E ratio of 22.85, a P/E/G ratio of 1.00 and a beta of 1.62. The business has a fifty day simple moving average of $75.25 and a two-hundred day simple moving average of $80.73. Netflix, Inc. has a 12 month low of $65.08 and a 12 month high of $124.86.

Netflix (NASDAQ:NFLX) last announced its earnings results on Thursday, July 16th. The Internet television network reported $0.80 EPS for the quarter, beating analysts’ consensus estimates of $0.79 by $0.01. The firm had revenue of $12.56 billion for 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 company’s quarterly revenue was up 13.4% on a year-over-year basis. During the same quarter in the previous year, the business posted $0.72 EPS. On average, equities analysts forecast that Netflix, Inc. will post 3.59 earnings per share for the current fiscal year.

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.