Netflix (NASDAQ:NFLX) Director Bradford Smith Sells 17,980 Shares of Company Stock

Netflix, Inc. (NASDAQ:NFLX) Director Bradford Smith sold 17,980 shares of the firm’s stock in a transaction dated Monday, October 26th. The stock was sold at an average price of $64.03, for a total value of $1,151,259.40. Following the sale, the director owned 79,690 shares of the company’s stock, valued at $5,102,550.70. The trade was a 18.41% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Netflix Stock Down 2.2%

NASDAQ:NFLX traded down $1.38 on Tuesday, hitting $62.52. 48,378,465 shares of the company’s stock traded hands, compared to its average volume of 42,783,723. The firm has a 50-day moving average price of $74.27 and a 200-day moving average price of $82.27. Netflix, Inc. has a 1 year low of $62.48 and a 1 year high of $116.73. The company has a market cap of $256.73 billion, a PE ratio of 18.07, a price-to-earnings-growth ratio of 0.96 and a beta of 1.62. The company has a current ratio of 1.07, a quick ratio of 1.07 and a debt-to-equity ratio of 0.43.

Netflix (NASDAQ:NFLX) last released its quarterly earnings data 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 for the quarter, compared to analyst estimates of $12.87 billion. During the same quarter in the prior year, the business earned $0.59 EPS. The company’s revenue for the quarter was up 11.9% compared to the same quarter last year. Equities analysts anticipate that Netflix, Inc. will post 3.59 EPS for the current fiscal year.

Analysts Set New Price Targets

A number of equities research analysts have recently weighed in on NFLX shares. Jefferies Financial Group set a $85.00 price target on Netflix and gave the stock a “buy” rating in a research note on Thursday, October 15th. Deutsche Bank Aktiengesellschaft set a $93.00 price target on Netflix in a research note on Wednesday, October 21st. Needham & Company LLC cut shares of Netflix from a “buy” rating to a “hold” rating in a report on Wednesday, October 21st. Rosenblatt Securities set a $71.00 price objective on Netflix and gave the stock a “neutral” rating in a research report on Wednesday, October 21st. Finally, President Capital decreased their price target on shares of Netflix from $134.00 to $83.00 and set a “buy” rating on the stock in a research report on Monday, July 20th. Two analysts have rated the stock with a Strong Buy rating, thirty-five have assigned a Buy rating, seventeen have given a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $89.59.

Hedge Funds Weigh In On Netflix

Hedge funds have recently modified their holdings of the stock. Clal Insurance Enterprises Holdings Ltd acquired a new position in Netflix during the second quarter worth $26,000. Sawyer & Company Inc acquired a new position in shares of Netflix in the 3rd quarter worth approximately $27,000. Compound Global Advisors LLC acquired a new position in shares of Netflix in the 2nd quarter worth approximately $29,000. Burnham & Co LLC bought a new stake in Netflix during the 2nd quarter worth approximately $29,000. Finally, Bayban grew its position in Netflix by 400.0% during the 1st quarter. Bayban now owns 350 shares of the Internet television network’s stock worth $34,000 after acquiring an additional 280 shares during the last quarter. 80.93% of the stock is owned by institutional investors and hedge funds.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Q3 results exceeded expectations. Netflix beat consensus earnings estimates, reporting $0.87 per share versus $0.82 expected. Revenue of $12.87 billion was in line with forecasts and increased 11.9% year over year, while margins reportedly reached a record level. Netflix Just Posted a Record Margin
• Positive Sentiment: Profitability remains a strength. Analysts and investors note that Netflix’s margins have widened and that its subscription business continues to generate substantial economics, potentially providing support if management can improve engagement and sustain international growth. Netflix: Not Winning On Attention, Winning On Economics
• Neutral Sentiment: Investors are watching international revenue and the advertising business. International markets remain important to Netflix’s growth outlook, while the company’s advertising strategy could become a larger contributor over time. However, recent commentary indicates the 2026 advertising-revenue outlook was reduced to approximately $2 billion. International Revenue Trends
• Negative Sentiment: Forward guidance disappointed. Netflix’s fourth-quarter revenue outlook came in below Wall Street expectations, implying roughly 13% annual revenue growth. The slower pace overshadowed the Q3 earnings beat and led UBS, Piper Sandler and Rosenblatt to reduce price targets. Netflix Is Making Big Changes
• Negative Sentiment: Engagement and market-share concerns are driving the selling. Reports that viewers are watching less, particularly in the mature U.S. market, have raised concerns about competition from short-form video, artificial intelligence and rival streaming services. Analysts also point to Netflix losing share of total watch hours despite strong financial results. Why Wall Street Is Worried
• Negative Sentiment: Analyst sentiment has weakened. Needham downgraded Netflix to Hold and Wolfe Research lowered its rating to Peer Perform from Outperform. The downgrades reinforce concerns that the stock’s previous valuation assumed stronger growth than the company is currently delivering. Needham Downgrades Netflix

Netflix Company Profile

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.