Netflix (NASDAQ:NFLX) Trading 3% Higher – Should You Buy?

Shares of Netflix, Inc. (NASDAQ:NFLX) rose 3% during mid-day trading on Monday . The stock traded as high as $89.82 and last traded at $89.65. Approximately 34,270,953 shares changed hands during mid-day trading, a decline of 26% from the average daily volume of 46,159,480 shares. The stock had previously closed at $87.02.

More Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Bank of America reaffirmed its Buy rating on Netflix and kept a $125 price target, pointing to the company’s expanding ad business and growing monthly ad-tier audience as reasons for long-term revenue growth. Netflix Stock Gains as BofA Maintains $125 Price Target
• Positive Sentiment: Additional coverage noted that analysts remain constructive on Netflix’s ad-supported model and live sports strategy, with Citi and JPMorgan also cited as bullish on the company’s growth outlook. Jim Cramer Discusses Netflix (NFLX), JPMorgan & Risk-Reward
• Positive Sentiment: Recent commentary emphasized that Netflix’s ad tier has reached meaningful scale, with more than 250 million monthly viewers, and investors are watching for monetization gains around high-profile live events like NFL games. Netflix Has 250 Million Ad Viewers. Now It Has To Prove Their Value
• Neutral Sentiment: Several articles focused on long-term upside scenarios and valuation arguments, including forecasts that Netflix could recover sharply if earnings momentum and analyst confidence continue. 3 Stocks That Have Turned $15,000 Into $4 Million in 20 Years
• Neutral Sentiment: Netflix’s recent share-price weakness remains a backdrop, but today’s move appears driven more by analyst support than by any new operating update or earnings release. A Look At Netflix (NFLX) Valuation As Long Term Gains Contrast With Recent Share Price Weakness
• Negative Sentiment: The stock is still working through broader concerns about slower growth and weaker recent performance, with some commentary highlighting that shares remain well below prior highs and are under pressure versus the broader market. NFLX Stock Collapsed. The Fundamentals Did Not

Wall Street Analysts Forecast Growth

A number of research firms have commented on NFLX. HSBC raised their price objective on Netflix from $106.00 to $114.00 and gave the stock a “buy” rating in a research note on Friday, April 10th. Needham & Company LLC reissued a “buy” rating on shares of Netflix in a report on Friday, April 17th. Pivotal Research set a $96.00 price target on Netflix and gave the company a “hold” rating in a research note on Friday, April 17th. Citizens Jmp reaffirmed a “market perform” rating on shares of Netflix in a research report on Wednesday, April 15th. Finally, Cfra upgraded shares of Netflix from a “hold” rating to a “buy” rating and set a $115.00 price objective on the stock in a research note on Friday, March 6th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating and sixteen have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $114.82.

Netflix Price Performance

The company has a market cap of $377.50 billion, a price-to-earnings ratio of 28.96, a PEG ratio of 1.11 and a beta of 1.55. The company has a debt-to-equity ratio of 0.43, a quick ratio of 1.41 and a current ratio of 1.41. The business has a fifty day moving average price of $94.74 and a 200 day moving average price of $94.67.

Netflix (NASDAQ:NFLX) last posted its quarterly earnings results on Thursday, April 16th. The Internet television network reported $1.23 earnings per share for the quarter, beating analysts’ consensus estimates of $0.76 by $0.47. The company had revenue of $12.25 billion for the quarter, compared to the consensus estimate of $12.17 billion. Netflix had a net margin of 28.52% and a return on equity of 40.92%. The firm’s quarterly revenue was up 16.2% compared to the same quarter last year. During the same period last year, the company posted $6.61 EPS. Netflix has set its Q2 2026 guidance at 0.780-0.780 EPS. As a group, research analysts anticipate that Netflix, Inc. will post 3.6 earnings per share for the current year.

Insiders Place Their Bets

In related news, CFO Spencer Adam Neumann sold 57,260 shares of the company’s stock in a transaction dated Friday, February 27th. The stock was sold at an average price of $95.50, for a total transaction of $5,468,330.00. Following the sale, the chief financial officer owned 73,787 shares in the company, valued at $7,046,658.50. This represents a 43.69% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, insider David A. Hyman sold 5,722 shares of Netflix stock in a transaction that occurred on Tuesday, May 5th. The stock was sold at an average price of $88.08, for a total value of $503,993.76. Following the completion of the sale, the insider owned 316,100 shares of the company’s stock, valued at approximately $27,842,088. The trade was a 1.78% decrease in their ownership of the stock. 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. Insiders have sold 1,422,769 shares of company stock valued at $135,144,073 over the last quarter. Company insiders own 1.24% of the company’s stock.

Institutional Trading of Netflix

Large investors have recently modified their holdings of the stock. Brighton Jones LLC grew its position in Netflix by 5.0% in the 4th quarter. Brighton Jones LLC now owns 5,390 shares of the Internet television network’s stock worth $4,804,000 after purchasing an additional 257 shares in the last quarter. Revolve Wealth Partners LLC boosted its stake in shares of Netflix by 16.4% in the 4th quarter. Revolve Wealth Partners LLC now owns 1,023 shares of the Internet television network’s stock worth $912,000 after buying an additional 144 shares during the last quarter. Sivia Capital Partners LLC grew its holdings in shares of Netflix by 21.2% in the second quarter. Sivia Capital Partners LLC now owns 1,406 shares of the Internet television network’s stock valued at $1,883,000 after acquiring an additional 246 shares in the last quarter. Strategic Investment Advisors MI increased its position in shares of Netflix by 18.9% during the second quarter. Strategic Investment Advisors MI now owns 774 shares of the Internet television network’s stock valued at $1,036,000 after acquiring an additional 123 shares during the last quarter. Finally, Schnieders Capital Management LLC. lifted its holdings in Netflix by 12.1% during the second quarter. Schnieders Capital Management LLC. now owns 2,115 shares of the Internet television network’s stock worth $2,832,000 after acquiring an additional 228 shares during the period. Institutional investors and hedge funds own 80.93% 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.