Netflix (NASDAQ:NFLX) Director Sells $162,216.00 in Stock

Netflix, Inc. (NASDAQ:NFLX) Director Richard Barton sold 2,160 shares of the company’s stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $75.10, for a total transaction of $162,216.00. Following the completion of the sale, the director directly owned 246 shares of the company’s stock, valued at $18,474.60. The trade was a 89.78% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Netflix Stock Performance

NASDAQ:NFLX opened at $74.14 on Friday. The company has a 50-day moving average of $75.32 and a 200-day moving average of $84.88. The firm has a market cap of $308.71 billion, a price-to-earnings ratio of 23.34, a price-to-earnings-growth ratio of 0.93 and a beta of 1.52. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 0.39. Netflix, Inc. has a twelve month low of $65.08 and a twelve month high of $126.71.

Netflix (NASDAQ:NFLX) last released its earnings results on Thursday, July 16th. The Internet television network reported $0.80 EPS for the quarter, topping analysts’ consensus estimates of $0.79 by $0.01. Netflix had a net margin of 28.22% and a return on equity of 40.02%. The business had revenue of $12.56 billion for the quarter, compared to the consensus estimate of $12.58 billion. During the same period in the previous year, the firm earned $0.72 EPS. The business’s revenue for the quarter was up 13.4% on a year-over-year basis. Analysts forecast that Netflix, Inc. will post 3.59 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

NFLX has been the subject of a number of recent research reports. CLSA started coverage on Netflix in a research report on Monday, July 20th. They set an “outperform” rating for the company. Citic Securities lifted their target price on Netflix from $95.00 to $107.00 and gave the stock a “hold” rating in a report on Monday, April 27th. Citigroup downgraded Netflix from a “buy” rating to a “positive” rating in a report on Monday, July 20th. Robert W. Baird set a $90.00 price target on Netflix and gave the company an “outperform” rating in a research report on Wednesday, July 22nd. Finally, Jefferies Financial Group decreased their price target on Netflix from $128.00 to $110.00 and set a “buy” rating for the company in a research report on Wednesday, June 10th. Four investment analysts have rated the stock with a Strong Buy rating, thirty-three have given a Buy rating, seventeen have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $103.48.

Institutional Trading of Netflix

Several large investors have recently added to or reduced their stakes in NFLX. Turning Point Benefit Group Inc. lifted its stake in Netflix by 13,400.0% in the 4th 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 in the last quarter. Imprint Wealth LLC acquired a new stake in Netflix during the 3rd quarter worth about $25,000. Cornerstone Financial Management LLC purchased a new position in Netflix during the 4th quarter valued at about $26,000. Atlas Capital Advisors Inc. purchased a new position in Netflix during the 4th quarter valued at about $26,000. Finally, Jessup Wealth Management Inc acquired a new position in shares of Netflix in the 4th quarter valued at about $27,000. 80.93% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix will exclusively premiere Grand Theft Auto VI: An Extended Look on August 27, six hours before its YouTube release. The high-profile Rockstar Games event could drive subscriber engagement, streaming traffic and broader attention to Netflix’s platform. GTA VI Extended Look to Debut on Netflix
• Positive Sentiment: Wall Street’s outlook remains moderately bullish despite NFLX’s weak recent performance. Analysts’ consensus rating is “Moderate Buy,” with an average price target of approximately $103.48, substantially above recent trading levels. Netflix Receives Moderate Buy Consensus
• Positive Sentiment: One valuation analysis estimates Netflix could be about 26% undervalued based on discounted-cash-flow and market-multiple models. A multiyear licensing agreement involving The Walking Dead universe may provide additional content and monetization opportunities. Netflix May Be Undervalued
• Neutral Sentiment: Netflix’s latest quarterly results were mixed: earnings per share narrowly beat estimates and revenue rose 13.4% year over year, but revenue slightly missed expectations. Investors may therefore remain focused on future growth and engagement trends.
• Negative Sentiment: CEO Gregory Peters sold 27,312 shares worth about $2.0 million, reducing his direct holdings by 18.42%. Director Richard Barton also sold 2,160 shares for approximately $162,000. Barton’s sale was made under a pre-arranged Rule 10b5-1 plan, limiting its significance, but the combined insider selling may still weigh on sentiment. Netflix Insider Selling
• Negative Sentiment: Netflix has underperformed the S&P 500 over the past year amid concerns about engagement, limited viewing-data disclosure and intensifying streaming competition. The shares also remain below their major moving averages, signaling continued technical pressure. Netflix Underperforms the S&P 500

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.