Netflix (NASDAQ:NFLX) Stock Rating Reaffirmed as “Hold” by Needham & Company LLC

by · The Cerbat Gem

Netflix (NASDAQ:NFLX – Get Free Report)‘s stock had its “hold” rating restated by equities researchers at Needham & Company LLC in a research report issued to clients and investors on Wednesday, MarketBeat Ratings reports.

NFLX has been the topic of a number of other reports. China Intl Cap raised shares of Netflix to a “strong-buy” rating in a report on Tuesday, July 21st. JPMorgan Chase & Co. restated a “buy” rating on shares of Netflix in a research note on Thursday, August 20th. Pivotal Research reduced their target price on Netflix from $96.00 to $70.00 and set a “hold” rating for the company in a research note on Friday, July 17th. Barclays set a $70.00 price target on Netflix and gave the stock an “equal weight” rating in a research report on Wednesday, October 7th. Finally, Moffett Nathanson dropped their price target on Netflix from $115.00 to $100.00 and set a “buy” rating on the stock in a research note on Friday, July 17th. Three analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, seventeen have issued a Hold rating and three have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $91.85.

Read Our Latest Stock Analysis on NFLX

Netflix Stock Down 1.7%

NFLX stock opened at $68.69 on Wednesday. The stock has a market capitalization of $286.02 billion, a PE ratio of 21.62, a price-to-earnings-growth ratio of 0.99 and a beta of 1.62. Netflix has a 52 week low of $65.08 and a 52 week high of $124.86. 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 of $74.92 and a 200 day moving average of $80.20.

Netflix (NASDAQ:NFLX – Get Free Report) last issued its quarterly earnings results on Tuesday, October 20th. The Internet television network reported $0.87 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.82 by $0.05. The business had revenue of $12.87 billion for the quarter, compared to analyst estimates of $12.87 billion. Netflix had a net margin of 28.22% and a return on equity of 40.02%. Netflix’s revenue for the quarter was up 11.9% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.59 EPS. Sell-side analysts forecast that Netflix will post 3.59 earnings per share for the current year.

Insider Activity

In other Netflix news, CEO Theodore A. Sarandos sold 27,312 shares of the business’s stock in a transaction that occurred on Tuesday, August 4th. The stock was sold at an average price of $73.35, for a total value of $2,003,335.20. Following the completion of the transaction, the chief executive officer directly owned 178,954 shares of the company’s stock, valued at approximately $13,126,275.90. The trade was a 13.24% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. 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, insider David A. Hyman sold 5,723 shares of the company’s stock in a transaction that occurred on Tuesday, August 4th. The stock was sold at an average price of $72.85, for a total value of $416,920.55. Following the completion of the sale, the insider owned 316,100 shares in the company, valued at approximately $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 over the last 90 days. Company insiders own 1.24% of the company’s stock.

Hedge Funds Weigh In On Netflix

Several institutional investors have recently made changes to their positions in NFLX. American Capital Advisory LLC raised its holdings in Netflix by 0.8% in the 1st quarter. American Capital Advisory LLC now owns 13,990 shares of the Internet television network’s stock worth $1,345,000 after purchasing an additional 109 shares during the period. CWS Financial Advisors LLC grew its holdings in 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 period. Warner Group LLC grew its holdings in 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 period. Financial Avengers Inc. increased its position in shares of Netflix by 9.8% in the first quarter. Financial Avengers Inc. now owns 1,290 shares of the Internet television network’s stock valued at $124,000 after buying an additional 115 shares in the last quarter. Finally, PAX Financial Group LLC increased its position in shares of Netflix by 2.5% in the first quarter. PAX Financial Group LLC now owns 4,847 shares of the Internet television network’s stock valued at $466,000 after buying an additional 116 shares in the last quarter. 80.93% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Netflix

Here are the key news stories impacting Netflix this week:

  • Positive Sentiment: Q3 results exceeded profit expectations: Netflix reported $0.87 in diluted EPS versus roughly $0.82 expected. Revenue rose 12% year over year to $12.87 billion, while net income increased 44% to approximately $3.66 billion and operating margin reached 34.6%. Netflix Q3 earnings results
  • Positive Sentiment: Management remains confident in long-term revenue growth: CFO Spencer Neumann said Netflix could deliver double-digit revenue growth into 2027 through pricing, advertising and a broad content slate, even if viewing-hour growth remains modest. Netflix CFO revenue growth outlook
  • Positive Sentiment: Content and engagement initiatives are planned: Netflix is targeting stronger U.S. execution and expects upcoming films, series and live programming—including projects involving Brad Pitt, Narnia and NFL games—to improve viewing and membership trends. Netflix content and engagement strategy

Netflix Company Profile

(Get Free Report)

Netflix, Inc (NASDAQ:NFLX) is a global entertainment company that provides subscription-based streaming services. Its platform offers a broad selection of television series, films, documentaries, stand-up specials and other programming, including content produced by Netflix and licensed from third-party studios and creators.

The company also develops and distributes original productions under the Netflix brand and has expanded into additional entertainment offerings, including mobile and cloud-based games in select markets and live programming.

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