Netflix (NASDAQ:NFLX) Price Target Cut to $112.00 by Analysts at TD Cowen

Netflix (NASDAQ:NFLX) had its price objective lowered by TD Cowen from $115.00 to $112.00 in a research report sent to investors on Wednesday morning, Marketbeat.com reports. TD Cowen currently has a buy rating on the Internet television network’s stock.

Several other research firms also recently commented on NFLX. Citigroup restated a “neutral” rating and set a $129.50 price objective (up from $128.00) on shares of Netflix in a report on Friday, October 3rd. Guggenheim cut their price target on Netflix from $145.00 to $130.00 and set a “buy” rating on the stock in a research note on Wednesday. Evercore ISI restated an “outperform” rating and issued a $138.00 price objective on shares of Netflix in a report on Friday, December 5th. Hsbc Global Res raised shares of Netflix to a “strong-buy” rating in a research note on Monday, January 12th. Finally, William Blair reissued an “outperform” rating on shares of Netflix in a research report on Wednesday. One research analyst has rated the stock with a Strong Buy rating, thirty-two have issued a Buy rating, fifteen have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Netflix presently has an average rating of “Moderate Buy” and an average target price of $120.72.

Netflix Stock Down 2.2%

Shares of NFLX opened at $85.36 on Wednesday. The firm has a fifty day moving average price of $97.34 and a 200-day moving average price of $111.91. The company has a current ratio of 1.33, a quick ratio of 1.33 and a debt-to-equity ratio of 0.56. The firm has a market capitalization of $361.70 billion, a P/E ratio of 33.78 and a beta of 1.71. Netflix has a 12-month low of $81.93 and a 12-month high of $134.12.

Netflix (NASDAQ:NFLX) last announced its quarterly earnings data on Tuesday, January 20th. The Internet television network reported $0.56 earnings per share for the quarter, beating analysts’ consensus estimates of $0.55 by $0.01. The company had revenue of $12.05 billion during the quarter, compared to analyst estimates of $11.97 billion. Netflix had a net margin of 24.30% and a return on equity of 43.96%. The firm’s revenue for the quarter was up 17.6% on a year-over-year basis. During the same quarter last year, the business posted $0.43 EPS. Netflix has set its Q1 2026 guidance at 0.760-0.760 EPS. Equities research analysts expect that Netflix will post 24.58 earnings per share for the current year.

Insider Activity at Netflix

In other Netflix news, insider David A. Hyman sold 23,439 shares of the firm’s stock in a transaction that occurred on Friday, January 16th. The shares were sold at an average price of $88.11, for a total value of $2,065,210.29. Following the completion of the sale, the insider directly owned 316,100 shares in the company, valued at $27,851,571. This trade represents a 6.90% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Gregory K. Peters sold 20,270 shares of Netflix stock in a transaction on Tuesday, November 4th. The stock was sold at an average price of $109.57, for a total transaction of $2,220,943.36. Following the completion of the transaction, the chief executive officer directly owned 127,810 shares in the company, valued at $14,003,886.08. This represents a 13.69% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 1,653,599 shares of company stock valued at $173,141,263 over the last three months. Company insiders own 1.37% of the company’s stock.

Institutional Investors Weigh In On Netflix

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in NFLX. Vanguard Group Inc. boosted its stake in Netflix by 0.4% in the 3rd quarter. Vanguard Group Inc. now owns 38,521,322 shares of the Internet television network’s stock worth $46,183,983,000 after purchasing an additional 142,238 shares in the last quarter. State Street Corp raised its holdings in shares of Netflix by 2.1% in the second quarter. State Street Corp now owns 17,444,013 shares of the Internet television network’s stock worth $23,359,801,000 after buying an additional 360,604 shares during the last quarter. Geode Capital Management LLC lifted its stake in shares of Netflix by 2.4% during the second quarter. Geode Capital Management LLC now owns 9,926,733 shares of the Internet television network’s stock worth $13,234,278,000 after buying an additional 229,182 shares during the period. Nordea Investment Management AB grew its holdings in shares of Netflix by 886.6% during the fourth quarter. Nordea Investment Management AB now owns 9,667,997 shares of the Internet television network’s stock valued at $902,798,000 after buying an additional 8,688,113 shares during the last quarter. Finally, Assenagon Asset Management S.A. increased its position in shares of Netflix by 983.1% in the 4th quarter. Assenagon Asset Management S.A. now owns 6,234,314 shares of the Internet television network’s stock valued at $584,529,000 after acquiring an additional 5,658,740 shares during the period. 80.93% of the stock is currently owned by hedge funds and other institutional investors.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Q4 results beat consensus on EPS and showed healthy revenue and subscriber gains (Netflix passed ~325M paid members), supporting the underlying streaming business. Reuters: Netflix beats revenue estimates
• Positive Sentiment: Advertising revenue is accelerating (management cited ~$1.5B in ad revenue for 2025), giving Netflix a clear monetization lever beyond subscriptions. Deadline: Ad revenue update
• Positive Sentiment: Heavy option activity has drawn attention — some coverage frames the volume as bullish interest (increased calls alongside puts can signal trader conviction and potential upside positioning). MSN: Options activity
• Neutral Sentiment: Netflix amended its Warner Bros. Discovery (WBD) bid to an all‑cash structure — this reduces stock-contingency risk and could speed approval, but concentrates the cash burden on Netflix. Regulators will scrutinize the bids. CNBC: All-cash WBD bid
• Neutral Sentiment: EU antitrust authorities plan to review rival bids for Warner Bros at the same time, creating an unusual regulatory timeline that could affect deal timing and uncertainty. Reuters: EU review
• Negative Sentiment: Conservative near‑term guidance (Q1 EPS guided below some Street expectations) disappointed investors and was the immediate catalyst for the sell‑off despite the quarterly beat. ProactiveInvestors: Guidance misses
• Negative Sentiment: Management paused the share‑buyback program to preserve cash for the WBD transaction — removes a shareholder-friendly capital return and raises near‑term cash allocation concerns. TalkMarkets: Buyback pause
• Negative Sentiment: Company plans to increase content/program spending (~+10% in 2026), which could compress margins in the short term and contributed to a weaker margin outlook cited by analysts. Financial Post: Content spend
• Negative Sentiment: Analysts trimmed price targets and highlighted deal, guidance and margin risk; coupled with recent insider selling, these factors amplified downside momentum. Benzinga: Analyst reactions

About Netflix

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.