Avity Investment Management Inc. Trims Stake in Netflix, Inc. $NFLX

Avity Investment Management Inc. decreased its position in shares of Netflix, Inc. (NASDAQ:NFLX) by 67.7% in the 3rd quarter, Holdings Channel reports. The firm owned 16,665 shares of the Internet television network’s stock after selling 34,879 shares during the quarter. Avity Investment Management Inc.’s holdings in Netflix were worth $1,160,000 at the end of the most recent quarter.

Several other hedge funds have also recently added to or reduced their stakes in NFLX. BlackRock Inc. acquired a new stake in shares of Netflix during the second quarter worth $24,902,221,000. Invesco Ltd. lifted its holdings in Netflix by 835.9% in the fourth quarter. Invesco Ltd. now owns 43,462,696 shares of the Internet television network’s stock valued at $4,075,062,000 after buying an additional 38,818,947 shares during the period. Bank of New York Mellon Corp acquired a new position in Netflix in the second quarter valued at $1,906,482,000. Legal & General Group Plc bought a new stake in Netflix during the second quarter valued at $1,886,526,000. Finally, Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in Netflix during the second quarter valued at $1,481,303,000. Institutional investors own 80.93% of the company’s stock.

Netflix Stock Down 1.8%

Shares of NFLX traded down $1.27 during trading hours on Friday, hitting $70.30. The stock had a trading volume of 29,066,008 shares, compared to its average volume of 42,448,973. Netflix, Inc. has a 1-year low of $65.08 and a 1-year high of $124.86. The firm has a market capitalization of $292.72 billion, a P/E ratio of 22.13, a price-to-earnings-growth ratio of 0.98 and a beta of 1.62. The firm has a 50 day simple moving average of $75.48 and a 200-day simple moving average of $81.49. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.14 and a quick ratio of 1.14.

Netflix (NASDAQ:NFLX) last announced its quarterly earnings results on Thursday, July 16th. The Internet television network reported $0.80 EPS for the quarter, beating 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 during the quarter, compared to analyst estimates of $12.58 billion. During the same quarter in the previous year, the business posted $0.72 EPS. Netflix’s quarterly revenue was up 13.4% on a year-over-year basis. Sell-side analysts predict that Netflix, Inc. will post 3.59 EPS for the current fiscal year.

Analysts Set New Price Targets

Several research firms have recently weighed in on NFLX. Stephens initiated coverage on Netflix in a research report on Friday, July 17th. They issued an “overweight” rating for the company. Evercore reaffirmed an “outperform” rating and set a $110.00 target price (up from $100.00) on shares of Netflix in a research note on Monday, September 14th. Wells Fargo & Company downgraded Netflix from a “neutral” rating to an “underweight” rating and lowered their target price for the stock from $80.00 to $57.00 in a report on Friday, September 18th. China Intl Cap raised Netflix to a “strong-buy” rating in a research note on Tuesday, July 21st. Finally, Oppenheimer set a $85.00 price target on Netflix and gave the stock an “outperform” rating in a report on Friday, July 17th. Four research analysts have rated the stock with a Strong Buy rating, thirty-five have issued a Buy rating, fifteen have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, Netflix currently has a consensus rating of “Moderate Buy” and an average target price of $94.70.

Insider Buying and Selling at Netflix

In other news, CEO Theodore Sarandos sold 105,850 shares of the business’s stock in a transaction that occurred on Monday, August 3rd. The stock was sold at an average price of $73.03, for a total value of $7,730,225.50. Following the transaction, the chief executive officer owned 206,266 shares in the company, valued at $15,063,605.98. The trade was a 33.91% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Richard Barton sold 2,160 shares of the company’s stock in a transaction on Wednesday, August 5th. The shares were sold at an average price of $75.10, for a total value of $162,216.00. Following the completion of the transaction, the director owned 246 shares of the company’s stock, valued at $18,474.60. This trade represents a 89.78% 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. Insiders sold 179,045 shares of company stock valued at $13,132,194 in the last quarter. 1.24% of the stock is owned by company insiders.

Key Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Morgan Stanley maintained an “overweight” rating while trimming its price target from $83 to $80, implying meaningful upside from recent trading levels. The lower target reflects caution, but the continued bullish rating provides some support for the investment case. Morgan Stanley Netflix price target report
• Positive Sentiment: Netflix is reportedly paying $200 million for U.S. rights to the 2027 Women’s World Cup. The event could provide valuable live-programming exposure and attract new viewers, although the rights fee adds to near-term content spending. Netflix 2027 Women’s World Cup rights report
• Neutral Sentiment: Netflix’s upcoming scripted series about the FTX collapse, “The Altruists,” is scheduled for November 19. The program could generate attention and engagement, but criticism from figures connected to the crypto industry creates some reputational risk. Netflix FTX series criticism report
• Negative Sentiment: Multiple reports say Netflix plans to eliminate about 5% of its workforce—potentially roughly 800 jobs—with an announcement possibly coming next week. While the cuts could reduce operating expenses and improve margins, investors may interpret them as evidence that management is responding to weaker engagement, intensifying competition from YouTube and pressure on growth. Netflix has not confirmed the plans. Los Angeles Times Netflix layoffs report
• Negative Sentiment: A reported $2.8 billion termination fee boosted Netflix’s cash balance, but it is a one-time payment rather than recurring streaming cash flow. Investors are being cautioned not to treat the windfall as evidence of stronger underlying earnings or content-financing capacity. Netflix termination fee and cash flow report

Netflix Company Profile

Netflix, Inc (NASDAQ:NFLX) is a global entertainment company that operates a subscription-based streaming service. It offers a broad range of television series, films, documentaries, and other programming, including original productions developed under the Netflix brand and licensed content from third-party studios.

The company also provides advertising-supported viewing options in some markets and has expanded into related entertainment categories, including mobile and cloud-based games, live programming, and consumer products associated with selected titles.