Everhart Financial Group Inc. Trims Stake in Netflix, Inc. $NFLX

Everhart Financial Group Inc. cut its stake in shares of Netflix, Inc. (NASDAQ:NFLX) by 18.8% in the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 36,467 shares of the Internet television network’s stock after selling 8,435 shares during the period. Everhart Financial Group Inc.’s holdings in Netflix were worth $2,604,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also made changes to their positions in the company. Vanguard Group Inc. lifted its stake in Netflix by 912.5% during the fourth quarter. Vanguard Group Inc. now owns 390,014,981 shares of the Internet television network’s stock worth $36,567,805,000 after purchasing an additional 351,493,659 shares in the last quarter. State Street Corp boosted its position in shares of Netflix by 927.6% during the fourth quarter. State Street Corp now owns 176,780,995 shares of the Internet television network’s stock worth $16,574,986,000 after buying an additional 159,578,053 shares during the period. Geode Capital Management LLC grew its stake in shares of Netflix by 892.0% in the fourth quarter. Geode Capital Management LLC now owns 99,598,678 shares of the Internet television network’s stock valued at $9,305,336,000 after buying an additional 89,558,684 shares in the last quarter. Capital World Investors raised its holdings in shares of Netflix by 859.1% in the 4th quarter. Capital World Investors now owns 89,341,444 shares of the Internet television network’s stock valued at $8,376,656,000 after buying an additional 80,025,890 shares during the period. Finally, Price T Rowe Associates Inc. MD raised its holdings in shares of Netflix by 685.8% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 86,058,878 shares of the Internet television network’s stock valued at $8,068,882,000 after buying an additional 75,107,069 shares during the period. 80.93% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

A number of brokerages recently commented on NFLX. China Intl Cap upgraded Netflix to a “strong-buy” rating in a report on Tuesday, July 21st. Phillip Securities upgraded shares of Netflix from a “moderate buy” rating to a “strong-buy” rating in a research note on Sunday, July 19th. Sanford C. Bernstein set a $95.00 price target on shares of Netflix and gave the stock an “outperform” rating in a research report on Friday, July 17th. JPMorgan Chase & Co. lowered their price objective on shares of Netflix from $118.00 to $85.00 and set an “overweight” rating for the company in a research note on Friday, July 17th. Finally, Robert W. Baird set a $90.00 price objective on shares of Netflix and gave the company an “outperform” rating in a report on Wednesday, July 22nd. 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 assigned a Sell rating to the stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $103.48.

Key Headlines 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

Insider Buying and Selling at Netflix

In related news, insider David A. Hyman sold 5,723 shares of the company’s stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $72.85, for a total transaction of $416,920.55. Following 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 ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Reed Hastings sold 386,700 shares of the firm’s stock in a transaction that occurred on Monday, June 1st. The shares were sold at an average price of $85.97, for a total transaction of $33,244,599.00. Following the completion of the sale, the director directly owned 3,940 shares in the company, valued at approximately $338,721.80. This trade represents a 98.99% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 591,047 shares of company stock valued at $48,355,766. 1.24% of the stock is currently owned by company insiders.

Netflix Trading Up 0.6%

NFLX opened at $74.14 on Friday. Netflix, Inc. has a 12 month low of $65.08 and a 12 month high of $126.71. The stock has a market capitalization of $308.71 billion, a price-to-earnings ratio of 23.34, a PEG ratio of 0.93 and a beta of 1.52. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.14 and a quick ratio of 1.14. The business has a fifty day moving average price of $75.32 and a 200 day moving average price of $84.88.

Netflix (NASDAQ:NFLX) last issued its quarterly 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 company had revenue of $12.56 billion for the quarter, compared to the consensus estimate of $12.58 billion. Netflix had a return on equity of 40.02% and a net margin of 28.22%.Netflix’s revenue was up 13.4% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.72 EPS. Sell-side analysts expect that Netflix, Inc. will post 3.59 earnings per share for the current fiscal year.

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.