Moffett Nathanson Issues Pessimistic Forecast for Netflix (NASDAQ:NFLX) Stock Price

Netflix (NASDAQ:NFLX) had its price objective decreased by equities researchers at Moffett Nathanson from $120.00 to $115.00 in a report released on Wednesday,MarketScreener reports. The firm presently has a “buy” rating on the Internet television network’s stock. Moffett Nathanson’s price objective indicates a potential upside of 46.09% from the stock’s current price.

Several other analysts have also weighed in on NFLX. Daiwa Securities Group lifted their price objective on Netflix from $97.00 to $102.00 and gave the stock an “outperform” rating in a report on Thursday, April 23rd. Rosenblatt Securities lowered their target price on Netflix from $96.00 to $95.00 and set a “neutral” rating for the company in a research note on Friday, April 17th. TD Cowen reiterated a “buy” rating on shares of Netflix in a report on Thursday, May 14th. HSBC upped their price target on Netflix from $106.00 to $114.00 and gave the company a “buy” rating in a research note on Friday, April 10th. Finally, Needham & Company LLC restated a “buy” rating on shares of Netflix in a research report on Friday, April 17th. Two research analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating and sixteen have issued a Hold rating to the company. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $114.26.

Netflix Price Performance

Shares of Netflix stock opened at $78.72 on Wednesday. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.41 and a quick ratio of 1.41. The company has a market cap of $331.47 billion, a PE ratio of 25.43, a price-to-earnings-growth ratio of 1.04 and a beta of 1.50. The firm has a fifty day moving average price of $90.19 and a two-hundred day moving average price of $90.65. Netflix has a fifty-two week low of $75.01 and a fifty-two week high of $134.12.

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

Insider Activity at Netflix

In other news, CEO Theodore A. Sarandos sold 27,312 shares of the company’s stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $87.97, for a total value of $2,402,636.64. Following the sale, the chief executive officer directly owned 284,804 shares of the company’s stock, valued at approximately $25,054,207.88. This represents a 8.75% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider David A. Hyman sold 5,722 shares of Netflix stock in a transaction dated Tuesday, May 5th. The stock was sold at an average price of $88.08, for a total value of $503,993.76. Following the transaction, the insider owned 316,100 shares of the company’s stock, valued at $27,842,088. The trade was a 1.78% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 1,313,029 shares of company stock worth $120,315,776 over the last ninety days. Company insiders own 1.24% of the company’s stock.

Institutional Investors Weigh In On Netflix

Several hedge funds have recently added to or reduced their stakes in NFLX. First Financial Corp IN boosted its holdings in shares of Netflix by 900.0% during the 4th quarter. First Financial Corp IN now owns 270 shares of the Internet television network’s stock worth $25,000 after buying an additional 243 shares during the period. DiNuzzo Private Wealth Inc. raised its holdings in Netflix by 885.2% in the 4th quarter. DiNuzzo Private Wealth Inc. now owns 266 shares of the Internet television network’s stock valued at $25,000 after acquiring an additional 239 shares during the period. Turning Point Benefit Group Inc. lifted its position in Netflix by 13,400.0% during the fourth quarter. Turning Point Benefit Group Inc. now owns 270 shares of the Internet television network’s stock worth $25,000 after acquiring an additional 268 shares during the last quarter. Imprint Wealth LLC bought a new stake in shares of Netflix during the third quarter worth approximately $25,000. Finally, Cornerstone Financial Management LLC acquired a new position in shares of Netflix in the fourth quarter valued at approximately $26,000. Institutional investors and hedge funds own 80.93% of the company’s stock.

Trending Headlines about Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix continues to expand its content strategy, including a deeper partnership with iHeartMedia that adds celebrity-led video podcasts and live programming, which could support engagement and subscriber retention. Reuters article on iHeartMedia partnership
• Neutral Sentiment: Management has also reiterated that Netflix’s volume is not slowing, suggesting the core streaming business remains healthy despite the market’s focus on takeover rumors. MediaPost article on Netflix volume
• Negative Sentiment: Netflix’s stock is reacting to the market’s view that it missed out on a major strategic move, as Fox’s Roku acquisition and reports of a failed or abandoned bid process raise concerns that Netflix may be on the sidelines in a consolidating streaming industry. Benzinga article on Lionsgate reaction
• Negative Sentiment: The broader media consolidation backdrop, highlighted by the Paramount-Skydance/Warner Bros. Discovery deal, is increasing investor attention on M&A and making Netflix’s lack of a deal more noticeable in comparison. MarketBeat article on Paramount-Warner deal

Netflix Company Profile

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.