Gables Capital Management Inc. Takes Position in Netflix, Inc. $NFLX

Gables Capital Management Inc. bought a new position in Netflix, Inc. (NASDAQ:NFLXFree Report) during the 2nd quarter, Holdings Channel reports. The institutional investor bought 27,440 shares of the Internet television network’s stock, valued at approximately $1,959,000.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in NFLX. Vanguard Group Inc. lifted its stake in shares of Netflix by 912.5% in the 4th quarter. Vanguard Group Inc. now owns 390,014,981 shares of the Internet television network’s stock valued at $36,567,805,000 after purchasing an additional 351,493,659 shares in the last quarter. BlackRock Inc. purchased a new stake in shares of Netflix during the 2nd quarter worth about $24,902,221,000. State Street Corp increased its position in Netflix by 927.6% during the 4th quarter. State Street Corp now owns 176,780,995 shares of the Internet television network’s stock worth $16,574,986,000 after purchasing an additional 159,578,053 shares in the last quarter. Geode Capital Management LLC increased its position in Netflix by 892.0% during the 4th quarter. Geode Capital Management LLC now owns 99,598,678 shares of the Internet television network’s stock worth $9,305,336,000 after purchasing an additional 89,558,684 shares in the last quarter. Finally, Capital World Investors raised its holdings in Netflix by 859.1% in the fourth 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. Institutional investors and hedge funds own 80.93% of the company’s stock.

Netflix Trading Up 2.3%

Shares of NFLX opened at $77.77 on Wednesday. Netflix, Inc. has a one year low of $65.08 and a one year high of $126.71. The stock has a 50-day moving average price of $74.46 and a 200 day moving average price of $84.41. The company has a debt-to-equity ratio of 0.39, a quick ratio of 1.14 and a current ratio of 1.14. The company has a market capitalization of $323.83 billion, a P/E ratio of 24.48, a P/E/G ratio of 0.98 and a beta of 1.52.

Netflix (NASDAQ:NFLXGet Free Report) last posted its quarterly earnings data on Thursday, July 16th. The Internet television network reported $0.80 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.79 by $0.01. Netflix had a return on equity of 40.02% and a net margin of 28.22%.The company had revenue of $12.56 billion for the quarter, compared to the consensus estimate of $12.58 billion. During the same period in the previous year, the business earned $0.72 EPS. Netflix’s revenue for the quarter was up 13.4% compared to the same quarter last year. Sell-side analysts forecast that Netflix, Inc. will post 3.59 EPS for the current fiscal year.

Insider Buying and Selling at Netflix

In related news, CFO Spencer Adam Neumann sold 9,248 shares of Netflix stock in a transaction on Monday, August 10th. The shares were sold at an average price of $75.79, for a total value of $700,905.92. Following the completion of the sale, the chief financial officer owned 73,787 shares in the company, valued at approximately $5,592,316.73. The trade was a 11.14% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Gregory K. Peters sold 27,312 shares of the company’s stock in a transaction 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 directly owned 120,931 shares in the company, valued at $8,893,265.74. This represents a 18.42% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 600,295 shares of company stock valued at $49,056,671. Corporate insiders own 1.24% of the company’s stock.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

  • Positive Sentiment: Bill Ackman’s return provided the main catalyst. Pershing Square disclosed a new Netflix position after previously exiting the stock at a substantial loss. Ackman’s renewed interest signals confidence in Netflix’s valuation, earnings growth, margins and long-term streaming position. Netflix Climbs 4% on Ackman’s Return
  • Positive Sentiment: Investors are rotating toward beaten-down software and technology shares. Netflix benefited as capital moved out of semiconductor stocks and some AI-related trades, supporting a wider rebound in software and internet companies. Netflix, Salesforce, and Adobe Rally
  • Positive Sentiment: Analysts and bullish investors see valuation upside. Recent commentary highlights Netflix’s margin expansion, buybacks and double-digit revenue growth, while several reports argue that the sharp decline from its peak creates an attractive entry point. The company also recently delivered a small quarterly EPS beat and year-over-year revenue growth.
  • Neutral Sentiment: Technical momentum has improved, but the recovery is incomplete. Netflix has extended a recent rebound and is attempting to reclaim key moving averages, although the shares remain well below the 200-day average and are still down materially for the year. Is the Bottom in for Netflix Stock?
  • Neutral Sentiment: Hedge-fund positioning was mixed. Q2 portfolio reshuffling showed that some institutional investors remain cautious even as Ackman re-entered the stock, limiting the strength of the bullish signal. Netflix Draws Mixed Signals
  • Negative Sentiment: Slowing sales and guidance concerns continue to weigh on sentiment. Investors remain focused on moderating revenue growth and whether third-quarter revenue and earnings expectations can support the current valuation.
  • Negative Sentiment: Insider selling added a cautionary signal. Netflix’s CFO reportedly sold nearly $5.6 million of company stock, potentially reinforcing investor concerns despite the transaction not necessarily indicating a change in business fundamentals. Netflix CFO Dumps Nearly $5.6 Million in Stock

Analyst Ratings Changes

A number of research analysts have weighed in on NFLX shares. TD Cowen reduced their price target on shares of Netflix from $112.00 to $100.00 and set a “buy” rating on the stock in a research report on Friday, July 17th. Rosenblatt Securities set a $75.00 price objective on shares of Netflix and gave the stock a “neutral” rating in a research report on Friday, July 17th. JPMorgan Chase & Co. cut their target price on shares of Netflix from $118.00 to $85.00 and set an “overweight” rating on the stock in a research note on Friday, July 17th. Robert W. Baird set a $90.00 target price on shares of Netflix and gave the company an “outperform” rating in a report on Wednesday, July 22nd. Finally, Pivotal Research decreased their price target on shares of Netflix from $96.00 to $70.00 and set a “hold” rating for the company in a research report on Friday, July 17th. Four research analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, seventeen have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $103.48.

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Netflix Profile

(Free Report)

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.

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Institutional Ownership by Quarter for Netflix (NASDAQ:NFLX)

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