Netflix (NASDAQ:NFLX) Hits New 12-Month Low After Insider Selling

Shares of Netflix, Inc. (NASDAQ:NFLX) hit a new 52-week low on Wednesday following insider selling activity. The stock traded as low as $81.53 and last traded at $82.5810, with a volume of 7963215 shares traded. The stock had previously closed at $87.26.

Specifically, insider David A. Hyman sold 23,439 shares of the business’s stock in a transaction that occurred on Friday, January 16th. The shares were sold at an average price of $88.11, for a total value of $2,065,210.29. Following the completion of the transaction, the insider owned 316,100 shares of the company’s stock, valued at $27,851,571. The trade was a 6.90% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Bradford L. Smith sold 31,790 shares of Netflix stock in a transaction dated Thursday, January 15th. The stock was sold at an average price of $88.86, for a total value of $2,824,859.40. Following the sale, the director directly owned 79,690 shares of the company’s stock, valued at approximately $7,081,253.40. This trade represents a 28.52% decrease in their position. The disclosure for this sale is available in the SEC filing.

Wall Street Analysts Forecast Growth

A number of analysts recently commented on the company. Cfra Research lowered Netflix from a “strong-buy” rating to a “hold” rating in a research note on Monday, January 5th. Citigroup restated a “neutral” rating and set a $129.50 price objective (up from $128.00) on shares of Netflix in a research note on Friday, October 3rd. Moffett Nathanson decreased their price target on Netflix from $140.00 to $115.00 and set a “buy” rating for the company in a research note on Wednesday. Loop Capital lowered their price target on Netflix from $135.00 to $132.50 in a report on Wednesday, October 22nd. Finally, William Blair reiterated an “outperform” rating on shares of Netflix in a research report on Wednesday. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-one have assigned a Buy rating, fourteen have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $121.52.

More Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Q4 beat and subscriber strength — Netflix reported EPS slightly above consensus and revenue roughly in line while topping ~325M paid subscribers, showing the core streaming business still growing. Article Title
• Positive Sentiment: Ad revenue momentum — Management said advertising revenue exceeded ~$1.5B in 2025, supporting a diversified monetization path beyond subscriptions. Article Title
• Neutral Sentiment: All‑cash WBD amendment — Netflix converted its WBD bid to an all‑cash structure (same headline price), which can speed shareholder voting and removes stock‑contingent risk, but concentrates cash needs on Netflix. Article Title
• Neutral Sentiment: Analyst views mixed with lowered targets — Several firms kept Buy/Overweight ratings but trimmed price targets, reflecting confidence in long‑term fundamentals alongside deal and margin uncertainty. Article Title
• Negative Sentiment: Disappointing near‑term guidance — Q1 EPS guidance came in below many Street forecasts, which triggered selling despite the quarter’s beat. Article Title
• Negative Sentiment: Share‑buyback paused to fund WBD — Management paused repurchases to conserve cash for the Warner transaction, removing a shareholder‑friendly use of cash and raising near‑term return concerns. Article Title
• Negative Sentiment: Higher content spend & margin pressure — Netflix plans to increase program spending (~10% in 2026), which could compress near‑term margins as it pushes growth and integration of WBD assets. Article Title
• Negative Sentiment: Capital structure and insider activity concerns — Reports of additional debt financing for the WBD bid and recent insider sales added to investor wariness, amplified by broader market risk‑off headlines. Article Title • Insider Trade

Netflix Price Performance

The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.33 and a current ratio of 1.33. The firm has a market cap of $349.92 billion, a PE ratio of 34.49 and a beta of 1.71. The firm has a fifty day simple moving average of $97.95 and a two-hundred day simple moving average of $112.22.

Netflix (NASDAQ:NFLX) last issued its quarterly earnings results on Tuesday, January 20th. The Internet television network reported $0.56 EPS for the quarter, beating the consensus estimate of $0.55 by $0.01. The company had revenue of $12.05 billion for the quarter, compared to the consensus estimate of $11.97 billion. Netflix had a net margin of 24.05% and a return on equity of 41.86%. The firm’s revenue was up 17.6% compared to the same quarter last year. During the same period in the prior year, the firm posted $4.27 EPS. Netflix has set its Q1 2026 guidance at 0.760-0.760 EPS. Equities analysts predict that Netflix, Inc. will post 24.58 EPS for the current fiscal year.

Institutional Trading of Netflix

Several large investors have recently added to or reduced their stakes in the company. Imprint Wealth LLC purchased a new stake in shares of Netflix during the 3rd quarter valued at approximately $25,000. Retirement Wealth Solutions LLC acquired a new position in Netflix during the third quarter worth $28,000. Legacy Investment Solutions LLC purchased a new position in shares of Netflix during the second quarter worth $31,000. Stephens Consulting LLC raised its holdings in shares of Netflix by 150.0% in the 2nd quarter. Stephens Consulting LLC now owns 25 shares of the Internet television network’s stock valued at $33,000 after buying an additional 15 shares during the period. Finally, Rossby Financial LCC acquired a new stake in Netflix during the 2nd quarter worth approximately $35,000. Hedge funds and other institutional investors own 80.93% of the company’s stock.

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.