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

Netflix (NASDAQ:NFLX)‘s stock had its “neutral” rating reissued by equities research analysts at Rosenblatt Securities in a research report issued to clients and investors on Friday, Benzinga reports. They presently have a $75.00 target price on the Internet television network’s stock. Rosenblatt Securities’ price target would indicate a potential upside of 5.92% from the stock’s current price.

Several other research firms have also recently weighed in on NFLX. Wedbush cut their price objective on Netflix from $118.00 to $105.00 and set an “outperform” rating on the stock in a report on Friday, July 17th. UBS Group dropped their target price on shares of Netflix from $130.00 to $115.00 and set a “buy” rating on the stock in a report on Friday, July 17th. Daiwa Securities Group cut their price target on shares of Netflix from $102.00 to $76.00 and set an “outperform” rating on the stock in a research note on Wednesday, July 22nd. Sanford C. Bernstein started coverage on shares of Netflix in a report on Monday, September 28th. They issued a “buy” rating for the company. Finally, Citigroup reissued a “market perform” rating on shares of Netflix in a research report on Thursday. Four investment analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating, fifteen have given a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $93.82.

Netflix Trading Down 2.5%

Shares of NFLX traded down $1.80 during trading hours on Friday, reaching $70.81. The stock had a trading volume of 15,987,929 shares, compared to its average volume of 42,123,266. The company has a quick ratio of 1.14, a current ratio of 1.14 and a debt-to-equity ratio of 0.39. Netflix has a 52 week low of $65.08 and a 52 week high of $124.86. The firm has a 50-day moving average of $75.25 and a 200 day moving average of $80.73. The company has a market cap of $294.85 billion, a P/E ratio of 22.28, a P/E/G ratio of 1.00 and a beta of 1.62.

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 firm had revenue of $12.56 billion for the quarter, compared to analyst estimates of $12.58 billion. Netflix had a return on equity of 40.02% and a net margin of 28.22%. The company’s revenue for the quarter was up 13.4% on a year-over-year basis. During the same period in the previous year, the company posted $0.72 earnings per share. On average, sell-side analysts expect that Netflix will post 3.59 earnings per share for the current fiscal year.

Insider Activity at Netflix

In other news, Director Richard Barton sold 2,160 shares of the firm’s stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $75.10, for a total value of $162,216.00. Following the completion of the transaction, the director owned 246 shares in the company, valued at $18,474.60. This trade represents a 89.78% decrease in their position. The sale 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, insider David Hyman sold 5,723 shares of Netflix stock in a transaction dated Tuesday, August 4th. The shares were sold at an average price of $72.85, for a total value of $416,920.55. Following the completion of the sale, the insider directly owned 316,100 shares in the company, valued at approximately $23,027,885. This represents a 1.78% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last 90 days, insiders sold 179,045 shares of company stock worth $13,132,194. Corporate insiders own 1.24% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the stock. Merkkuri Wealth Advisors LLC acquired a new position in Netflix during the first quarter worth $31,000. Bayban raised its position in Netflix by 400.0% during the first quarter. Bayban now owns 350 shares of the Internet television network’s stock worth $34,000 after acquiring an additional 280 shares in the last quarter. Clal Insurance Enterprises Holdings Ltd acquired a new stake in Netflix in the second quarter valued at $26,000. Bank of New Hampshire lifted its stake in Netflix by 900.0% in the fourth quarter. Bank of New Hampshire now owns 380 shares of the Internet television network’s stock valued at $36,000 after acquiring an additional 342 shares during the last quarter. Finally, Compound Global Advisors LLC bought a new position in shares of Netflix in the 2nd quarter valued at about $29,000. 80.93% of the stock is currently owned by institutional investors.

Trending Headlines about Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Jefferies upgraded Netflix to “strong buy,” citing revenue support from pricing increases and advertising, while setting an $85 price target. Wedbush maintained an “outperform” rating with a revised $90 target, implying substantial upside from current levels. Netflix stock gets bullish analyst call ahead of next week’s earnings
• Positive Sentiment: Options-market positioning is bullish ahead of the earnings release, although derivatives activity also indicates traders expect a potentially large post-earnings move. Ahead of Netflix Earnings, Here’s What Barchart Data Says Comes Next for NFLX Stock
• Neutral Sentiment: Netflix reports third-quarter results on Oct. 20. Analysts are focused on revenue growth, margins, advertising commitments, pricing gains, viewing engagement and forward guidance. Consensus commentary points to expanding margins and improving monetization, but potentially the weakest revenue-growth rate since mid-2023 and a premium valuation increase the risk of a sharp reaction.
• Negative Sentiment: Netflix is eliminating roughly 1,000 jobs, or 6% of its workforce, as growth and viewing activity slow. While management says the cuts will improve efficiency and redirect resources toward strategic investments, investors may interpret the timing—immediately before earnings—as evidence of operational pressure. Netflix to lay off roughly 1,000 employees
• Negative Sentiment: Chief Content Officer Bela Bajaria is leaving after about a decade, with former Disney and Fox executive Peter Rice taking over on Oct. 26. The change is intended to produce stronger programming and engagement, but it highlights concerns about Netflix’s content pipeline, subscriber churn and intensifying competition. Netflix names former Disney executive Rice as new content chief

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.