Netflix (NASDAQ:NFLX) Stock Price Up 1.2% Following Better-Than-Expected Earnings

Netflix, Inc. (NASDAQ:NFLX)’s stock price was up 1.2% during trading on Friday after the company announced better than expected quarterly earnings. The stock traded as high as $984.70 and last traded at $973.03. Approximately 8,733,404 shares changed hands during mid-day trading, an increase of 133% from the average daily volume of 3,742,602 shares. The stock had previously closed at $961.63.

The Internet television network reported $6.61 earnings per share for the quarter, topping analysts’ consensus estimates of $5.74 by $0.87. Netflix had a return on equity of 38.32% and a net margin of 22.34%. The company had revenue of $10.54 billion for the quarter, compared to analyst estimates of $10.51 billion. During the same quarter in the previous year, the company posted $8.28 earnings per share.

Analysts Set New Price Targets

Several research analysts recently commented on the company. Guggenheim reissued a “buy” rating and set a $1,150.00 target price on shares of Netflix in a research note on Friday. The Goldman Sachs Group boosted their price objective on Netflix from $850.00 to $960.00 and gave the stock a “neutral” rating in a research report on Wednesday, January 22nd. Pivotal Research reaffirmed a “buy” rating on shares of Netflix in a report on Thursday. Oppenheimer reiterated an “outperform” rating on shares of Netflix in a research note on Friday. Finally, Loop Capital reissued a “hold” rating on shares of Netflix in a research report on Monday, March 24th. Ten analysts have rated the stock with a hold rating, twenty-seven have assigned a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, Netflix presently has a consensus rating of “Moderate Buy” and an average price target of $1,023.49.

Insiders Place Their Bets

In other news, Chairman Reed Hastings sold 25,360 shares of the stock in a transaction dated Tuesday, April 1st. The shares were sold at an average price of $921.15, for a total transaction of $23,360,364.00. Following the completion of the transaction, the chairman now directly owns 394 shares in the company, valued at $362,933.10. This represents a 98.47 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Jay C. Hoag sold 617 shares of the business’s stock in a transaction that occurred on Thursday, January 23rd. The stock was sold at an average price of $979.71, for a total value of $604,481.07. The disclosure for this sale can be found here. In the last three months, insiders have sold 274,312 shares of company stock worth $267,919,297. Company insiders own 1.76% of the company’s stock.

Hedge Funds Weigh In On Netflix

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Wolf Group Capital Advisors acquired a new stake in shares of Netflix during the 1st quarter worth about $336,000. Cornerstone Wealth Management LLC raised its holdings in Netflix by 5.8% in the 1st quarter. Cornerstone Wealth Management LLC now owns 2,938 shares of the Internet television network’s stock valued at $2,740,000 after acquiring an additional 160 shares during the period. Shepherd Financial Partners LLC lifted its position in Netflix by 4.5% during the first quarter. Shepherd Financial Partners LLC now owns 305 shares of the Internet television network’s stock worth $284,000 after acquiring an additional 13 shares during the last quarter. GSB Wealth Management LLC boosted its holdings in shares of Netflix by 6.9% during the first quarter. GSB Wealth Management LLC now owns 277 shares of the Internet television network’s stock worth $258,000 after acquiring an additional 18 shares during the period. Finally, Colorado Capital Management Inc. grew its position in shares of Netflix by 6.7% in the first quarter. Colorado Capital Management Inc. now owns 288 shares of the Internet television network’s stock valued at $269,000 after purchasing an additional 18 shares during the last quarter. Institutional investors own 80.93% of the company’s stock.

Netflix Stock Performance

The company has a market cap of $416.22 billion, a P/E ratio of 49.07, a price-to-earnings-growth ratio of 2.12 and a beta of 1.55. The stock has a 50 day moving average price of $954.87 and a two-hundred day moving average price of $891.82. The company has a quick ratio of 1.22, a current ratio of 1.22 and a debt-to-equity ratio of 0.56.

About Netflix

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.