Avity Investment Management Inc. increased its stake in Netflix, Inc. (NASDAQ:NFLX – Free Report) by 211.9% during the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 51,544 shares of the Internet television network’s stock after purchasing an additional 35,020 shares during the period. Avity Investment Management Inc.’s holdings in Netflix were worth $3,680,000 at the end of the most recent reporting period.
A number of other hedge funds and other institutional investors have also added to or reduced their stakes in the stock. Imprint Wealth LLC bought a new stake in Netflix in the third quarter valued at $25,000. Wealth Watch Advisors INC bought a new position in shares of Netflix during the third quarter worth about $103,000. Strategic Wealth Investment Group LLC bought a new position in shares of Netflix during the second quarter worth about $121,000. Wiser Advisor Group LLC acquired a new stake in shares of Netflix in the 3rd quarter worth about $114,000. Finally, Beaird Harris Wealth Management LLC increased its holdings in shares of Netflix by 9.6% in the 3rd quarter. Beaird Harris Wealth Management LLC now owns 114 shares of the Internet television network’s stock worth $137,000 after acquiring an additional 10 shares during the period. Institutional investors and hedge funds own 80.93% of the company’s stock.
Netflix News Roundup
Here are the key news stories impacting Netflix this week:
- Positive Sentiment: Netflix will exclusively premiere Grand Theft Auto VI: An Extended Look on August 27, six hours before its YouTube release. The high-profile Rockstar Games event could drive subscriber engagement, streaming traffic and broader attention to Netflix’s platform. GTA VI Extended Look to Debut on Netflix
- Positive Sentiment: Wall Street’s outlook remains moderately bullish despite NFLX’s weak recent performance. Analysts’ consensus rating is “Moderate Buy,” with an average price target of approximately $103.48, substantially above recent trading levels. Netflix Receives Moderate Buy Consensus
- Positive Sentiment: One valuation analysis estimates Netflix could be about 26% undervalued based on discounted-cash-flow and market-multiple models. A multiyear licensing agreement involving The Walking Dead universe may provide additional content and monetization opportunities. Netflix May Be Undervalued
- Neutral Sentiment: Netflix’s latest quarterly results were mixed: earnings per share narrowly beat estimates and revenue rose 13.4% year over year, but revenue slightly missed expectations. Investors may therefore remain focused on future growth and engagement trends.
- Negative Sentiment: CEO Gregory Peters sold 27,312 shares worth about $2.0 million, reducing his direct holdings by 18.42%. Director Richard Barton also sold 2,160 shares for approximately $162,000. Barton’s sale was made under a pre-arranged Rule 10b5-1 plan, limiting its significance, but the combined insider selling may still weigh on sentiment. Netflix Insider Selling
- Negative Sentiment: Netflix has underperformed the S&P 500 over the past year amid concerns about engagement, limited viewing-data disclosure and intensifying streaming competition. The shares also remain below their major moving averages, signaling continued technical pressure. Netflix Underperforms the S&P 500
Wall Street Analyst Weigh In
Check Out Our Latest Report on Netflix
Insider Buying and Selling at Netflix
In other Netflix news, CEO Theodore A. Sarandos sold 105,850 shares of the stock in a transaction on Monday, August 3rd. The stock was sold at an average price of $73.03, for a total transaction of $7,730,225.50. Following the completion of the transaction, the chief executive officer directly owned 206,266 shares of the company’s stock, valued at approximately $15,063,605.98. This trade represents a 33.91% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Reed Hastings sold 386,700 shares of Netflix stock in a transaction on Monday, June 1st. The shares were sold at an average price of $85.97, for a total value of $33,244,599.00. Following the transaction, the director owned 3,940 shares in the company, valued at approximately $338,721.80. This trade represents a 98.99% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 591,047 shares of company stock valued at $48,355,766. 1.24% of the stock is currently owned by company insiders.
Netflix Stock Performance
Shares of NFLX opened at $74.14 on Friday. The firm has a market capitalization of $308.71 billion, a PE ratio of 23.34, a P/E/G ratio of 0.93 and a beta of 1.52. The company has a quick ratio of 1.14, a current ratio of 1.14 and a debt-to-equity ratio of 0.39. The firm has a 50-day moving average price of $75.32 and a 200 day moving average price of $84.88. Netflix, Inc. has a 52-week low of $65.08 and a 52-week high of $126.71.
Netflix (NASDAQ:NFLX – Get Free Report) last released its quarterly earnings results on Thursday, July 16th. The Internet television network reported $0.80 EPS for the quarter, topping 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 net margin of 28.22% and a return on equity of 40.02%. Netflix’s revenue was up 13.4% on a year-over-year basis. During the same period in the previous year, the firm earned $0.72 EPS. On average, sell-side analysts anticipate that Netflix, Inc. will post 3.59 earnings per share for the current fiscal year.
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.
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