Netflix (NASDAQ:NFLX) Stock Price Up 1.8% – What’s Next?

Netflix, Inc. (NASDAQ:NFLX – Get Free Report) was up 1.8% during mid-day trading on Tuesday. The stock traded as high as $68.78 and last traded at $68.69. Approximately 34,340,695 shares traded hands during mid-day trading, a decline of 19% from the average session volume of 42,558,652 shares. The stock had previously closed at $67.50.

Trending Headlines about Netflix

Here are the key news stories impacting Netflix this week:

  • Positive Sentiment: Netflix may be undervalued after declining substantially in 2026 despite revenue growth, healthy margins and strong free cash flow. A bullish Q3 preview argues that the shares offer an attractive risk/reward profile. Is Netflix Undervalued After a Lackluster 2026? Netflix Q3 Preview
  • Positive Sentiment: Analysts see overlooked growth potential, particularly from advertising and other newer business segments. Rising ad revenue could help diversify Netflix’s model and support future earnings growth. Netflix’s Next Growth Engine
  • Positive Sentiment: Paramount reportedly paid Netflix $2.8 billion to abandon its proposed Warner Bros. Discovery transaction. The payment removes deal-related execution risk and highlights Netflix’s negotiating leverage, while the completed Skydance transaction leaves the new rival carrying a very large debt burden. Paramount Paid Netflix to Walk Away
  • Positive Sentiment: Disney’s licensing of titles to Netflix reinforces Netflix’s distribution strength and could provide additional content at a time when traditional media companies are under financial pressure. Disney Is Opening the Door to Netflix
  • Neutral Sentiment: Morgan Stanley reduced its price target from $83 to $80 but maintained an Overweight rating, suggesting lower expectations while still seeing meaningful upside.
  • Negative Sentiment: Bearish coverage points to moderating revenue growth, elevated content and live-sports costs, fierce streaming competition and a valuation that may still require strong execution. Netflix’s latest reported revenue growth was 13.4%, with further slowing expected. Three Reasons to Stay Away
  • Negative Sentiment: The enlarged Paramount-Skydance and Warner Bros. group creates a powerful new competitor with greater scale and roughly $80 billion of debt. Although leverage could constrain its spending, its combined content library and revenue base intensify the competitive threat. Netflix’s Newest Rival

Wall Street Analyst Weigh In

NFLX has been the subject of several analyst reports. New Street Research raised their price target on shares of Netflix from $96.00 to $102.00 and gave the company a “neutral” rating in a research report on Friday, July 17th. Robert W. Baird set a $90.00 target price on Netflix and gave the stock an “outperform” rating in a report on Wednesday, July 22nd. Rothschild & Co Redburn decreased their price target on Netflix from $120.00 to $93.00 and set a “buy” rating for the company in a research note on Tuesday, July 21st. KeyCorp reaffirmed an “overweight” rating and set a $92.00 price target (down from $115.00) on shares of Netflix in a report on Monday, July 13th. Finally, UBS Group dropped their price objective on Netflix from $130.00 to $115.00 and set a “buy” rating on the stock in a research 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 issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $94.70.

Check Out Our Latest Report on NFLX

Netflix Trading Up 2.4%

The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 0.39. The stock has a market capitalization of $297.29 billion, a PE ratio of 22.47, a P/E/G ratio of 0.97 and a beta of 1.62. The stock has a 50 day moving average price of $75.52 and a 200-day moving average price of $81.64.

Netflix (NASDAQ:NFLX – Get Free Report) last posted its earnings results on Thursday, July 16th. The Internet television network reported $0.80 earnings per share for the quarter, beating analysts’ consensus estimates of $0.79 by $0.01. The company had revenue of $12.56 billion for the quarter, compared to the consensus estimate of $12.58 billion. Netflix had a return on equity of 40.02% and a net margin of 28.22%.Netflix’s revenue was up 13.4% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.72 earnings per share. Sell-side analysts expect that Netflix, Inc. will post 3.59 earnings per share for the current year.

Insider Buying and Selling at Netflix

In related news, Director Richard N. Barton sold 720 shares of the firm’s stock in a transaction on Thursday, September 10th. The stock was sold at an average price of $75.27, for a total value of $54,194.40. Following the transaction, the director directly owned 2,460 shares of the company’s stock, valued at approximately $185,164.20. This trade represents a 22.64% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider David A. Hyman sold 5,723 shares of the business’s stock in a transaction dated Tuesday, August 4th. The shares were sold at an average price of $72.85, for a total value of $416,920.55. Following the sale, the insider directly owned 316,100 shares of the company’s stock, valued at $23,027,885. This represents a 1.78% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 179,045 shares of company stock valued at $13,132,194 in the last quarter. Insiders own 1.24% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. American Capital Advisory LLC lifted its stake in shares of Netflix by 0.8% in the first 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 in the last quarter. CWS Financial Advisors LLC increased its holdings 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 purchasing an additional 112 shares during the last quarter. Warner Group LLC increased its holdings 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 purchasing an additional 114 shares during the last quarter. Financial Avengers Inc. lifted its position in Netflix by 9.8% during the first quarter. Financial Avengers Inc. now owns 1,290 shares of the Internet television network’s stock worth $124,000 after buying an additional 115 shares in the last quarter. Finally, PAX Financial Group LLC lifted 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 buying an additional 116 shares in the last quarter. 80.93% of the stock is currently owned by institutional investors.

About Netflix

(Get Free Report)

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.

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