One Wealth Advisors LLC bought a new position in shares of Netflix, Inc. (NASDAQ:NFLX – Free Report) during the second quarter, HoldingsChannel.com reports. The firm bought 7,061 shares of the Internet television network’s stock, valued at approximately $504,000.
A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in the stock. Imprint Wealth LLC acquired a new position in Netflix during the third quarter valued at approximately $25,000. Turning Point Benefit Group Inc. increased its stake in Netflix by 13,400.0% in the fourth quarter. Turning Point Benefit Group Inc. now owns 270 shares of the Internet television network’s stock valued at $25,000 after purchasing an additional 268 shares in the last quarter. Atlas Capital Advisors Inc. acquired a new stake in Netflix in the fourth quarter worth $26,000. Cornerstone Financial Management LLC acquired a new stake in Netflix in the fourth quarter worth $26,000. Finally, Jessup Wealth Management Inc bought a new position in shares of Netflix during the fourth quarter worth $27,000. Institutional investors own 80.93% of the company’s stock.
Key Headlines Impacting Netflix
Here are the key news stories impacting Netflix this week:
- Positive Sentiment: Bill Ackman’s Pershing Square disclosed a new Netflix position of approximately 3.15 million shares, representing about 4.9% of the fund’s portfolio. Ackman said Netflix has effectively “won the streaming wars,” renewing investor interest after the stock’s major sell-off. Reuters article
- Positive Sentiment: Analysts and investing commentators point to Netflix’s resilient fundamentals: second-quarter revenue rose 13.4% year over year to $12.6 billion, earnings per share slightly exceeded estimates, and profitability remained strong. The advertising business, expanding margins and a valuation viewed as reasonable relative to growth are supporting the bullish case. Zacks article
- Positive Sentiment: Netflix’s continued push into live sports—including an MLB “Field of Dreams” game—and the extension of its Seinfeld agreement could strengthen engagement, advertising opportunities and content retention. MLB live sports article
- Neutral Sentiment: Institutional positioning is mixed: some large investors added shares while others reduced holdings. Analysts’ reported price targets remain above the current market level, but investors still must weigh valuation and slowing growth expectations.
- Negative Sentiment: Netflix closed its Hollywood-based Night School gaming studio and plans to close Helsinki-based Moonloot. The closures may improve focus and reduce costs, but they also raise questions about the company’s gaming strategy and ability to expand beyond streaming. Los Angeles Times article
- Negative Sentiment: Reported insider trading shows 30 Netflix open-market sales and no purchases over the past six months. While such sales may reflect compensation or diversification, the one-sided pattern can weigh on sentiment and contrasts with Ackman’s new bullish position. Quiver Quantitative article
Netflix Trading Down 0.1%
Netflix (NASDAQ:NFLX – Get Free Report) last released its earnings results on Thursday, July 16th. The Internet television network reported $0.80 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.79 by $0.01. Netflix had a return on equity of 40.02% and a net margin of 28.22%.The firm had revenue of $12.56 billion during the quarter, compared to analysts’ expectations of $12.58 billion. During the same quarter in the prior year, the company earned $0.72 EPS. The company’s revenue was up 13.4% on a year-over-year basis. As a group, research analysts anticipate that Netflix, Inc. will post 3.59 EPS for the current fiscal year.
Analyst Upgrades and Downgrades
Several brokerages have recently issued reports on NFLX. Erste Group Bank lowered shares of Netflix from a “buy” rating to a “hold” rating in a report on Monday, April 27th. Guggenheim set a $75.00 target price on Netflix and gave the stock a “buy” rating in a report on Friday, July 17th. Seaport Research Partners lowered Netflix from a “buy” rating to a “neutral” rating in a report on Monday, July 20th. Bank of America reissued a “buy” rating and issued a $125.00 target price on shares of Netflix in a research note on Monday, May 18th. Finally, Pivotal Research decreased their price objective on 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-four have given a Buy rating, sixteen have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $103.48.
View Our Latest Stock Report on Netflix
Insider Activity at Netflix
In related news, CEO Theodore A. Sarandos sold 105,850 shares of the stock in a transaction dated 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 in the company, valued at approximately $15,063,605.98. This trade represents a 33.91% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, 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, CFO Spencer Adam Neumann sold 9,248 shares of the stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $75.79, for a total value of $700,905.92. Following the transaction, the chief financial officer owned 73,787 shares of the company’s stock, valued at approximately $5,592,316.73. The trade was a 11.14% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 600,295 shares of company stock valued at $49,056,671 over the last ninety days. Company insiders own 1.24% of the company’s stock.
Netflix Company Profile
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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