Netflix (NASDAQ:NFLX) Trading Down 1.5% Following Analyst Downgrade

Netflix, Inc. (NASDAQ:NFLX)’s share price fell 1.5% during trading on Monday after Wolfe Research lowered their price target on the stock from $139.00 to $121.00. Wolfe Research currently has an outperform rating on the stock. Netflix traded as low as $93.53 and last traded at $93.77. 39,571,227 shares were traded during trading, a decline of 3% from the average session volume of 40,788,094 shares. The stock had previously closed at $95.19.

A number of other analysts have also commented on NFLX. KGI Securities upgraded Netflix from a “neutral” rating to an “outperform” rating and set a $135.00 price target on the stock in a report on Monday, November 3rd. Wells Fargo & Company decreased their target price on Netflix from $156.00 to $151.00 and set an “overweight” rating for the company in a research report on Wednesday, October 22nd. Argus set a $141.00 price target on shares of Netflix in a report on Thursday, October 23rd. The Goldman Sachs Group reduced their price target on shares of Netflix from $131.00 to $130.00 and set a “neutral” rating for the company in a research report on Tuesday, September 30th. Finally, Erste Group Bank lowered shares of Netflix from a “buy” rating to a “hold” rating in a research report on Friday, October 31st. Two investment analysts have rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating, thirteen have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $130.51.

Insider Activity at Netflix

In other Netflix news, insider Cletus R. Willems sold 2,380 shares of the stock in a transaction on Thursday, November 6th. The stock was sold at an average price of $110.03, for a total transaction of $261,878.54. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, insider David A. Hyman sold 314,620 shares of the firm’s stock in a transaction on Tuesday, November 4th. The stock was sold at an average price of $109.98, for a total value of $34,603,166.08. Following the completion of the transaction, the insider directly owned 316,100 shares of the company’s stock, valued at $34,765,942.40. The trade was a 49.88% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 1,619,840 shares of company stock worth $181,648,613 in the last ninety days. Insiders own 1.37% of the company’s stock.

Institutional Trading of Netflix

A number of institutional investors have recently added to or reduced their stakes in NFLX. Brighton Jones LLC boosted its holdings in Netflix by 5.0% in the 4th quarter. Brighton Jones LLC now owns 5,390 shares of the Internet television network’s stock valued at $4,804,000 after purchasing an additional 257 shares during the period. Revolve Wealth Partners LLC increased its holdings in shares of Netflix by 16.4% in the fourth quarter. Revolve Wealth Partners LLC now owns 1,023 shares of the Internet television network’s stock worth $912,000 after purchasing an additional 144 shares during the period. Brooklyn Investment Group raised its position in shares of Netflix by 50.3% in the first quarter. Brooklyn Investment Group now owns 4,709 shares of the Internet television network’s stock worth $4,391,000 after buying an additional 1,576 shares in the last quarter. Granite Harbor Advisors Inc. bought a new stake in Netflix during the first quarter valued at $214,000. Finally, Watts Gwilliam & Co. LLC grew its position in Netflix by 4.1% during the first quarter. Watts Gwilliam & Co. LLC now owns 5,329 shares of the Internet television network’s stock worth $4,970,000 after buying an additional 209 shares in the last quarter. Hedge funds and other institutional investors own 80.93% of the company’s stock.

Netflix Price Performance

The business has a 50 day simple moving average of $110.13 and a two-hundred day simple moving average of $118.10. The firm has a market capitalization of $397.33 billion, a P/E ratio of 39.17 and a beta of 1.71. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.33 and a current ratio of 1.33.

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

Netflix Company Profile

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.