Netflix (NASDAQ:NFLX) Stock Gets Price Target Cut from JPMorgan Chase & Co.

Netflix (NASDAQ:NFLX) had its price objective trimmed by JPMorgan Chase & Co. from $85.00 to $81.00 in a research report released on Wednesday morning,Benzinga reports. The firm currently has an overweight rating on the Internet television network’s stock.

Several other research firms have also recently issued reports on NFLX. Jefferies Financial Group set a $85.00 price target on shares of Netflix and gave the stock a “buy” rating in a research note on Thursday, October 15th. Guggenheim lowered their price target on shares of Netflix from $80.00 to $78.00 and set a “buy” rating for the company in a report on Wednesday. CLSA initiated coverage on shares of Netflix in a research report on Monday, July 20th. They issued an “outperform” rating for the company. Robert W. Baird set a $90.00 price objective on shares of Netflix and gave the company an “outperform” rating in a research note on Wednesday, July 22nd. Finally, Seaport Research Partners reissued a “buy” rating and set a $90.00 price objective on shares of Netflix in a research note on Monday. Three investment analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating, seventeen have issued a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $89.59.

Netflix Stock Down 1.8%

NFLX opened at $65.85 on Wednesday. The firm has a market cap of $270.40 billion, a P/E ratio of 22.88, a PEG ratio of 0.98 and a beta of 1.62. The business’s fifty day simple moving average is $74.27 and its 200 day simple moving average is $79.64. Netflix has a 52 week low of $64.10 and a 52 week high of $116.73. The company has a quick ratio of 1.14, a current ratio of 1.07 and a debt-to-equity ratio of 0.43.

Netflix (NASDAQ:NFLX) last announced its earnings results on Tuesday, October 20th. The Internet television network reported $0.87 earnings per share for the quarter, beating the consensus estimate of $0.82 by $0.05. Netflix had a net margin of 29.69% and a return on equity of 42.69%. The firm had revenue of $12.87 billion during the quarter, compared to the consensus estimate of $12.87 billion. During the same quarter in the previous year, the company posted $0.59 EPS. The firm’s revenue for the quarter was up 11.9% on a year-over-year basis. As a group, equities research analysts anticipate that Netflix will post 3.59 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, insider David Hyman sold 5,723 shares of the business’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 value of $416,920.55. Following the completion of the sale, the insider directly owned 316,100 shares in the company, valued at approximately $23,027,885. The trade was a 1.78% decrease in their ownership of the stock. The transaction 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, CEO Gregory Peters sold 27,312 shares of the business’s stock in a transaction that occurred on Thursday, August 6th. The shares were sold at an average price of $73.54, for a total transaction of $2,008,524.48. Following the completion of the sale, the chief executive officer owned 120,931 shares of the company’s stock, valued at approximately $8,893,265.74. The trade was a 18.42% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 179,045 shares of company stock valued at $13,132,194. 1.24% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Netflix

A number of hedge funds have recently made changes to their positions in NFLX. American Capital Advisory LLC increased its position in Netflix by 0.8% during the 1st quarter. American Capital Advisory LLC now owns 13,990 shares of the Internet television network’s stock worth $1,345,000 after buying an additional 109 shares during the period. CWS Financial Advisors LLC grew its stake in shares of Netflix by 3.2% in the first quarter. CWS Financial Advisors LLC now owns 3,612 shares of the Internet television network’s stock valued at $347,000 after acquiring an additional 112 shares in the last quarter. Warner Group LLC grew its stake in shares of Netflix by 2.2% in the first quarter. Warner Group LLC now owns 5,230 shares of the Internet television network’s stock valued at $503,000 after acquiring an additional 114 shares in the last quarter. Financial Avengers Inc. grew its stake in shares of Netflix by 9.8% in the first quarter. Financial Avengers Inc. now owns 1,290 shares of the Internet television network’s stock valued at $124,000 after acquiring an additional 115 shares in the last quarter. Finally, PAX Financial Group LLC increased its position in Netflix by 2.5% during the first quarter. PAX Financial Group LLC now owns 4,847 shares of the Internet television network’s stock worth $466,000 after acquiring an additional 116 shares during the period. Institutional investors and hedge funds own 80.93% of the company’s stock.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix reported third-quarter EPS of $0.87, ahead of the $0.82 consensus estimate, while revenue reached $12.87 billion. Operating margin rose to 34.6%, supporting the argument that the core streaming business remains highly profitable. Can Netflix Stock Hold Margin Gains as Content Spending Keeps Growing?
• Positive Sentiment: Longer-term bulls argue that Netflix’s profitability, systematic share repurchases, local-language content, and continued subscriber retention could create meaningful upside after the sell-off. Bill Ackman has also returned to the stock and expects annualized returns above 20%. Bill Ackman Lost $400 Million on Netflix
• Positive Sentiment: Ark Invest’s Cathie Wood bought 18,000 Netflix shares, signaling that some growth-oriented investors view the two-year-low valuation as an opportunity. Cathie Wood Just Bought Netflix Stock
• Neutral Sentiment: Netflix is reportedly planning layoffs at its Bay Area headquarters. The cuts could reduce costs, but they also raise questions about operating priorities and employee productivity. Netflix Stock Slips as Layoffs Hit Bay Area Headquarters
• Neutral Sentiment: Paramount Skydance’s completed merger highlights intensifying competition for scale and content across the entertainment industry, potentially increasing pressure on Netflix to sustain its content advantage. Could Skydance Be Bigger Than Disney?
• Negative Sentiment: Management reduced its 2026 advertising-revenue outlook to approximately $2.7 billion from about $3 billion. Softer ad growth undermines a major part of Netflix’s expansion thesis and overshadowed the earnings beat. Netflix Cut Its 2026 Ad Forecast by $300 Million
• Negative Sentiment: Disappointing fourth-quarter revenue guidance and decelerating growth have led investors to discount the strong quarterly results. Netflix’s reduced 2026 free-cash-flow outlook is another concern as content spending continues to rise. Netflix Has Lower FCF Guidance
• Negative Sentiment: Several analysts lowered their price targets or ratings after the report. One fair-value estimate fell from $92.62 to $86.24, while UBS, Guggenheim, and Needham adopted more cautious views. Netflix Stock Fair Value Falls After Cautious Q3 Analyst Revisions
• Negative Sentiment: Reports indicate viewing time is declining even though subscribers are staying, suggesting weaker engagement. YouTube and lower-cost streaming alternatives may also be contributing to slower revenue growth. Netflix Is Losing Viewers

About Netflix

Netflix, Inc (NASDAQ:NFLX) is a global entertainment company that provides subscription-based streaming services. Its platform offers a broad selection of television series, films, documentaries, stand-up specials and other programming, including content produced by Netflix and licensed from third-party studios and creators.

The company also develops and distributes original productions under the Netflix brand and has expanded into additional entertainment offerings, including mobile and cloud-based games in select markets and live programming.