Netflix (NASDAQ:NFLX) Shares Up 2.4% – Still a Buy?

30 Aug 2026, 13:08 by Sarita Garza · The Markets Daily

Shares of Netflix, Inc. (NASDAQ:NFLX – Get Free Report) were up 2.4% during trading on Friday . The company traded as high as $82.35 and last traded at $81.72. 26,998,847 shares traded hands during trading, a decline of 38% from the average session volume of 43,886,848 shares. The stock had previously closed at $79.84.

Key Stories Impacting Netflix

Here are the key news stories impacting Netflix this week:

Positive Sentiment: Bill Ackman’s Pershing Square reportedly added approximately 13.1 million Netflix shares, making NFLX one of the hedge fund’s new concentrated holdings. The move may bolster investor confidence in Netflix’s valuation and long-term earnings potential. Bill Ackman portfolio overhaul article
Positive Sentiment: Analysts and market commentators point to Netflix’s rapidly expanding advertising business, a potential $3 billion advertising revenue opportunity, continued global expansion and margin growth as catalysts for a possible recovery toward $100 and beyond. Record share buybacks could further support earnings per share. Netflix stock price prediction article
Positive Sentiment: Netflix is being described as an undervalued long-term holding, with bullish arguments centered on double-digit revenue growth, free-cash-flow generation and the ability to monetize live events and lower-priced ad-supported plans. Netflix five-year outlook article
Neutral Sentiment: The Netflix preview of Grand Theft Auto VI attracted significant online attention and traffic, but the immediate stock-market beneficiary appears to be Take-Two Interactive, the game’s publisher, rather than Netflix. GTA 6 Netflix preview article
Negative Sentiment: Some analysts argue that Netflix’s growth is moderating and that Alphabet offers stronger diversification, advertising exposure and valuation. Recent commentary also identifies resistance near $82 and muted enthusiasm following the latest earnings report. NFLX versus GOOGL article
Negative Sentiment: Reported insider activity remains a potential overhang: executives and directors made numerous sales and no purchases over the past six months. Investors may interpret the selling as reduced insider conviction, although it may also reflect routine diversification. Netflix ad monetization and market resistance article

Analysts Set New Price Targets

Several research analysts have recently weighed in on NFLX shares. Robert W. Baird set a $90.00 price target on shares of Netflix and gave the stock an “outperform” rating in a research note on Wednesday, July 22nd. Raymond James Financial restated a “market perform” rating on shares of Netflix in a research note on Thursday, May 14th. Citigroup reaffirmed a “market perform” rating on shares of Netflix in a report on Monday, August 17th. JPMorgan Chase & Co. lowered their target price on Netflix from $118.00 to $85.00 and set an “overweight” rating on the stock in a research report on Friday, July 17th. Finally, Sanford C. Bernstein set a $95.00 target price on Netflix and gave the company an “outperform” rating in a research report on Friday, July 17th. Four equities research analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, seventeen have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $103.19.

Read Our Latest Stock Analysis on Netflix

Netflix Stock Performance

The firm’s 50 day simple moving average is $74.65 and its 200 day simple moving average is $84.33. The firm has a market cap of $340.28 billion, a PE ratio of 25.72, a PEG ratio of 1.03 and a beta of 1.52. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 0.39.

Netflix (NASDAQ:NFLX – Get Free Report) last issued its quarterly earnings data 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. 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 analyst estimates of $12.58 billion. During the same quarter last year, the business posted $0.72 earnings per share. The business’s quarterly revenue was up 13.4% compared to the same quarter last year. On average, research analysts forecast that Netflix, Inc. will post 3.59 EPS for the current fiscal year.

Insider Buying and Selling at Netflix

In related news, Director Bradford L. Smith sold 35,990 shares of the firm’s stock in a transaction on Wednesday, June 17th. The shares were sold at an average price of $77.52, for a total value of $2,789,944.80. Following the completion of the transaction, the director directly owned 79,690 shares of the company’s stock, valued at approximately $6,177,568.80. This trade represents a 31.11% decrease in their ownership of the stock. The transaction 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. Also, CEO Gregory K. Peters sold 27,312 shares of the business’s stock in a transaction on Thursday, August 6th. The stock was sold at an average price of $73.54, for a total transaction of $2,008,524.48. Following the completion of the sale, the chief executive officer owned 120,931 shares in the company, valued at $8,893,265.74. This represents a 18.42% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 600,295 shares of company stock worth $49,056,671 over the last three months. 1.24% of the stock is owned by company insiders.

Hedge Funds Weigh In On Netflix

Several institutional investors have recently bought and sold shares of the business. Shepherd Street Advisors LLC purchased a new position in shares of Netflix during the 4th quarter worth approximately $2,216,000. Morse Asset Management Inc raised its position in Netflix by 809.3% in the fourth quarter. Morse Asset Management Inc now owns 64,730 shares of the Internet television network’s stock valued at $6,069,000 after purchasing an additional 57,611 shares during the period. University of Texas Texas AM Investment Management Co. raised its position in Netflix by 798.5% in the fourth quarter. University of Texas Texas AM Investment Management Co. now owns 42,542 shares of the Internet television network’s stock valued at $3,989,000 after purchasing an additional 37,807 shares during the period. New Mexico Educational Retirement Board raised its position in Netflix by 900.0% in the fourth quarter. New Mexico Educational Retirement Board now owns 192,210 shares of the Internet television network’s stock valued at $18,022,000 after purchasing an additional 172,989 shares during the period. Finally, Ritholtz Wealth Management lifted its stake in Netflix by 25.0% during the first quarter. Ritholtz Wealth Management now owns 106,451 shares of the Internet television network’s stock worth $10,235,000 after purchasing an additional 21,260 shares in the last quarter. Institutional investors own 80.93% of the company’s stock.

About Netflix

(Get Free Report)

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.