Netflix, Inc. (NASDAQ:NFLX) Receives Average Rating of “Moderate Buy” from Analysts

Shares of Netflix, Inc. (NASDAQ:NFLX) have earned a consensus recommendation of “Moderate Buy” from the fifty-three brokerages that are presently covering the company, Marketbeat reports. Sixteen analysts have rated the stock with a hold recommendation, thirty-five have issued a buy recommendation and two have given a strong buy recommendation to the company. The average 1 year price objective among analysts that have issued ratings on the stock in the last year is $103.9707.

NFLX has been the topic of several analyst reports. JPMorgan Chase & Co. dropped their target price on Netflix from $118.00 to $85.00 and set an “overweight” rating on the stock in a research report on Friday. Bank of America reissued a “buy” rating and set a $125.00 price target on shares of Netflix in a report on Monday, May 18th. Wedbush lowered their price target on shares of Netflix from $118.00 to $105.00 and set an “outperform” rating for the company in a research report on Friday. Needham & Company LLC reaffirmed a “buy” rating on shares of Netflix in a report on Friday, April 17th. Finally, TD Cowen cut their price objective on shares of Netflix from $112.00 to $100.00 and set a “buy” rating on the stock in a research report on Friday.

Key Headlines Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Some analysts remain bullish, arguing Netflix still has strong long-term upside from margin expansion, advertising growth, and new engagement-driven content formats. Mark Mahaney Reiterates Buy on Netflix
• Positive Sentiment: Supportive commentary highlighted Netflix’s AI, ads, short-form video, and gaming strategy as potential growth catalysts for monetization and engagement. Ad Engagement & Content Opportunities Offer Bullish Edge for NFLX
• Neutral Sentiment: Several analysts cut price targets but mostly kept buy/overweight or hold ratings, signaling lower near-term expectations rather than a full thesis break. Laura Martin Maintains Buy on Netflix
• Negative Sentiment: Netflix’s weaker Q3 outlook and reduced engagement disclosure sparked concern that growth is slowing and management is becoming less transparent with investors. Netflix third-quarter earnings forecast falls shy of Wall Street expectations
• Negative Sentiment: Coverage across the market emphasized the post-earnings selloff, citing a revenue miss, soft guidance, and investor worries about future growth and competition. U.S. Chip Stocks Extend Slide; Netflix Tumbles on Growth Warning

Netflix Stock Performance

Shares of NASDAQ NFLX opened at $68.95 on Monday. The company has a quick ratio of 1.41, a current ratio of 1.41 and a debt-to-equity ratio of 0.43. The firm’s 50-day moving average price is $80.15 and its two-hundred day moving average price is $86.90. Netflix has a 52-week low of $65.08 and a 52-week high of $126.71. The stock has a market capitalization of $290.33 billion, a P/E ratio of 21.70, a P/E/G ratio of 0.95 and a beta of 1.52.

Netflix (NASDAQ:NFLX) last announced its quarterly earnings results on Thursday, July 16th. The Internet television network reported $0.80 earnings per share for the quarter, topping analysts’ consensus estimates of $0.79 by $0.01. The business had revenue of $12.56 billion for the quarter, compared to analysts’ expectations of $12.58 billion. Netflix had a return on equity of 40.83% and a net margin of 28.22%.The business’s quarterly revenue was up 13.4% on a year-over-year basis. During the same period in the prior year, the firm earned $0.72 EPS. As a group, sell-side analysts forecast that Netflix will post 3.6 earnings per share for the current year.

Insider Buying and Selling

In related news, insider David A. Hyman sold 5,722 shares of the 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 transaction, the insider directly owned 316,100 shares of the company’s stock, valued at $27,842,088. This represents a 1.78% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Spencer Adam Neumann sold 9,253 shares of the stock in a transaction that occurred on Thursday, May 7th. The stock was sold at an average price of $88.95, for a total value of $823,054.35. Following the completion of the transaction, the chief financial officer directly owned 73,787 shares of the company’s stock, valued at $6,563,353.65. This trade represents a 11.14% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 899,839 shares of company stock valued at $80,141,661 in the last ninety days. Insiders own 1.24% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the business. Imprint Wealth LLC acquired a new stake in shares of Netflix in the 3rd quarter worth approximately $25,000. Wealth Watch Advisors INC acquired a new position in shares of Netflix during the third quarter valued at approximately $103,000. Strategic Wealth Investment Group LLC bought a new stake in Netflix during the second quarter worth approximately $121,000. Wiser Advisor Group LLC bought a new stake in Netflix during the third quarter worth approximately $114,000. Finally, Beaird Harris Wealth Management LLC lifted its position in Netflix by 9.6% in the third 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 during the period. Institutional investors and hedge funds own 80.93% of the company’s stock.

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.