Netflix (NASDAQ:NFLX) Trading Down 6.3% Following Insider Selling

by · The Markets Daily

Netflix, Inc. (NASDAQ:NFLX – Get Free Report) shares dropped 6.3% during mid-day trading on Wednesday following insider selling activity. The stock traded as low as $102.64 and last traded at $102.49. Approximately 12,013,294 shares changed hands during trading, a decline of 70% from the average daily volume of 39,650,656 shares. The stock had previously closed at $109.35.

Specifically, Director Reed Hastings sold 375,470 shares of the stock in a transaction that occurred on Monday, December 1st. The shares were sold at an average price of $108.43, for a total value of $40,712,212.10. Following the completion of the sale, the director owned 3,940 shares of the company’s stock, valued at $427,214.20. This represents a 98.96% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink.

Analyst Upgrades and Downgrades

A number of research analysts recently commented on NFLX shares. Guggenheim reiterated a “buy” rating and issued a $145.00 price objective on shares of Netflix in a report on Wednesday, October 22nd. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Netflix in a research note on Wednesday, October 8th. Arete increased their price target on Netflix from $83.30 to $108.40 and gave the stock a “neutral” rating in a report on Tuesday, October 28th. Seaport Res Ptn upgraded shares of Netflix from a “hold” rating to a “strong-buy” rating in a report on Monday, October 6th. Finally, Itau BBA Securities initiated coverage on shares of Netflix in a research note on Tuesday, October 7th. They set an “outperform” rating and a $151.40 target price for the company. Two analysts have rated the stock with a Strong Buy rating, thirty have given a Buy rating, twelve have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $133.90.

Check Out Our Latest Stock Report on Netflix

Netflix Stock Performance

The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.33 and a current ratio of 1.33. The company has a market capitalization of $438.83 billion, a price-to-earnings ratio of 43.20, a P/E/G ratio of 1.62 and a beta of 1.71. The firm has a 50-day simple moving average of $113.95 and a two-hundred day simple moving average of $119.46.

Netflix (NASDAQ:NFLX – Get Free Report) last posted its quarterly earnings data on Tuesday, October 21st. The Internet television network reported $5.87 EPS for the quarter, beating the consensus estimate of $0.69 by $5.18. Netflix had a net margin of 24.05% and a return on equity of 41.86%. The business had revenue of $11.32 billion during the quarter, compared to analyst estimates of $11.52 billion. During the same quarter last year, the firm posted $0.54 earnings per share. The business’s revenue for the quarter was up 17.2% compared to the same quarter last year. Netflix has set its Q4 2025 guidance at 5.450-5.450 EPS. On average, sell-side analysts anticipate that Netflix, Inc. will post 24.58 EPS for the current fiscal year.

Hedge Funds Weigh In On Netflix

Institutional investors have recently modified their holdings of the business. Norges Bank acquired a new stake in Netflix in the second quarter valued at approximately $7,929,645,000. Laurel Wealth Advisors LLC increased its position in shares of Netflix by 128,553.9% in the 2nd quarter. Laurel Wealth Advisors LLC now owns 4,881,129 shares of the Internet television network’s stock valued at $6,536,466,000 after purchasing an additional 4,877,335 shares during the last quarter. Nuveen LLC acquired a new stake in shares of Netflix in the 1st quarter valued at $2,385,585,000. Kingstone Capital Partners Texas LLC raised its holdings in shares of Netflix by 343,058.2% in the 2nd quarter. Kingstone Capital Partners Texas LLC now owns 2,463,876 shares of the Internet television network’s stock valued at $3,299,450,000 after purchasing an additional 2,463,158 shares in the last quarter. Finally, Goldman Sachs Group Inc. lifted its position in shares of Netflix by 57.3% during the 1st quarter. Goldman Sachs Group Inc. now owns 3,393,064 shares of the Internet television network’s stock worth $3,164,134,000 after purchasing an additional 1,236,251 shares during the last quarter. Institutional investors and hedge funds own 80.93% of the company’s stock.

Netflix Company Profile

(Get Free Report)

Netflix, Inc provides entertainment services. It offers TV series, documentaries, feature films, and games across various genres and languages. The company also provides members the ability to receive streaming content through a host of internet-connected devices, including TVs, digital video players, TV set-top boxes, and mobile devices.

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