Netflix (NASDAQ:NFLX) Trading Down 4.7% Following Insider Selling

Netflix, Inc. (NASDAQ:NFLX) shares were down 4.7% on Thursday following insider selling activity. The company traded as low as $75.23 and last traded at $75.86. Approximately 72,793,904 shares were traded during mid-day trading, an increase of 42% from the average daily volume of 51,326,773 shares. The stock had previously closed at $79.62.

Specifically, insider Cletus R. Willems sold 3,136 shares of the company’s stock in a transaction that occurred on Tuesday, February 10th. The stock was sold at an average price of $82.67, for a total value of $259,253.12. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Gregory K. Peters sold 27,312 shares of the stock in a transaction that occurred on Tuesday, February 10th. The shares were sold at an average price of $83.24, for a total value of $2,273,450.88. Following the completion of the sale, the chief executive officer directly owned 122,140 shares of the company’s stock, valued at $10,166,933.60. The trade was a 18.27% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In related news, insider David A. Hyman sold 5,727 shares of the stock in a transaction dated Monday, February 9th. The shares were sold at an average price of $81.06, for a total transaction of $464,230.62. Following the completion of the transaction, the insider directly owned 316,100 shares of the company’s stock, valued at $25,623,066. This represents a 1.78% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this link.

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on NFLX shares. Huber Research lowered shares of Netflix to a “buy” rating in a research report on Friday, December 5th. Oppenheimer set a $125.00 price objective on shares of Netflix and gave the stock an “outperform” rating in a report on Wednesday, January 21st. Wedbush reissued an “outperform” rating and set a $115.00 price target on shares of Netflix in a research report on Wednesday, January 21st. Arete Research raised their price target on shares of Netflix from $83.30 to $108.40 and gave the company a “neutral” rating in a research note on Tuesday, October 28th. Finally, KeyCorp set a $110.00 target price on Netflix and gave the stock an “overweight” rating in a report on Friday, January 16th. One analyst has rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating and seventeen have issued a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $116.08.

Netflix News Roundup

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Company fundamentals remain solid — recent quarterly results beat consensus and revenue grew year-over-year, supporting buy-the-dip arguments from some analysts. 3 Reasons to Buy Netflix Stock Now
• Positive Sentiment: Long-term growth narratives persist — commentary highlighting new potential income streams and Netflix’s scale keeps a bullish base that could amplify recoveries if deal noise clears. Could Netflix Stock Help You Become a Millionaire?
• Neutral Sentiment: Regulatory/antitrust risk is active but being downplayed by management — DOJ attention around the transaction increases uncertainty; Netflix calls the probe “ordinary course” but it remains a watch item. “Ordinary Course of Business”: Warner Bros. Discovery Stock Notches Up as Netflix Proves Nonchalant
• Neutral Sentiment: Broader media/industry headlines keep volatility elevated but are not company-specific catalysts. Instagram chief likens social media addiction to being hooked on a Netflix show in trial testimony
• Negative Sentiment: Paramount sweetened its hostile Warner Bros. bid — it offered ticking fees and pledged to cover Netflix’s $2.8B breakup cost, materially raising the chance Warner could switch to Paramount and increasing deal execution risk for Netflix. Paramount sweetens Warner Bros bid with offer to pay Netflix break-up cost, other fees
• Negative Sentiment: Activist investor Ancora has built a stake in WBD and is publicly opposing the Netflix deal, urging the board to engage with Paramount — this raises the odds of a contested outcome and extended volatility. Ancora Capital builds stake in Warner Bros, plans to oppose Netflix deal
• Negative Sentiment: Insider selling by top executives (CEO, CFO and others) has been disclosed this week, which can amplify negative sentiment during a deal-driven sell-off. CEO sale SEC filing
• Negative Sentiment: Market worries about acquisition pricing and valuation have prompted negative coverage and a new 52-week low, keeping selling pressure elevated until deal clarity arrives. Netflix Stock Hits New 52-Week Low – Here’s Why

Netflix Trading Down 4.7%

The business has a 50-day moving average of $89.13 and a two-hundred day moving average of $107.27. The company has a quick ratio of 1.19, a current ratio of 1.19 and a debt-to-equity ratio of 0.51. The firm has a market capitalization of $320.29 billion, a price-to-earnings ratio of 30.02, a P/E/G ratio of 1.41 and a beta of 1.71.

Netflix (NASDAQ:NFLX) last issued its earnings results on Tuesday, January 20th. The Internet television network reported $0.56 EPS for the quarter, topping the consensus estimate of $0.55 by $0.01. Netflix had a return on equity of 43.26% and a net margin of 24.30%.The firm had revenue of $12.05 billion during the quarter, compared to analysts’ expectations of $11.97 billion. During the same period last year, the business earned $0.43 earnings per share. Netflix’s quarterly revenue was up 17.6% compared to the same quarter last year. Netflix has set its Q1 2026 guidance at 0.760-0.760 EPS. Research analysts predict that Netflix, Inc. will post 24.58 EPS for the current fiscal year.

Institutional Investors Weigh In On Netflix

Several large investors have recently made changes to their positions in the company. Imprint Wealth LLC bought a new stake in shares of Netflix during the third quarter worth $25,000. Legacy Investment Solutions LLC acquired a new stake in shares of Netflix in the 2nd quarter valued at approximately $31,000. Retirement Wealth Solutions LLC acquired a new position in shares of Netflix in the 3rd quarter valued at $28,000. Rossby Financial LCC bought a new position in shares of Netflix during the 2nd quarter valued at about $35,000. Finally, Steph & Co. increased its position in shares of Netflix by 188.9% during the third quarter. Steph & Co. now owns 26 shares of the Internet television network’s stock worth $31,000 after acquiring an additional 17 shares in the last quarter. Institutional investors own 80.93% of the company’s stock.

Netflix Company Profile

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.