Netflix (NASDAQ:NFLX) Trading Down 1.2% Following Analyst Downgrade

Netflix, Inc. (NASDAQ:NFLX)’s share price was down 1.2% during trading on Monday after Erste Group Bank downgraded the stock from a buy rating to a hold rating. The stock traded as low as $91.30 and last traded at $91.3640. Approximately 29,361,492 shares were traded during mid-day trading, a decline of 39% from the average daily volume of 48,231,527 shares. The stock had previously closed at $92.44.

Other equities analysts have also recently issued reports about the company. Guggenheim set a $120.00 target price on Netflix and gave the stock a “buy” rating in a report on Friday, April 17th. BMO Capital Markets dropped their target price on Netflix from $143.00 to $135.00 and set an “outperform” rating for the company in a report on Wednesday, January 21st. Loop Capital set a $104.00 target price on Netflix in a report on Tuesday, January 27th. Phillip Securities increased their target price on Netflix from $100.00 to $110.00 in a report on Monday, April 20th. Finally, Citizens Jmp reissued a “market perform” rating on shares of Netflix in a report on Wednesday, April 15th. Two analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating and fifteen have assigned a Hold rating to the stock. According to MarketBeat.com, Netflix has an average rating of “Moderate Buy” and a consensus target price of $114.82.

Insider Activity

In related news, CFO Spencer Adam Neumann sold 28,630 shares of the firm’s stock in a transaction on Thursday, April 2nd. The stock was sold at an average price of $98.00, for a total transaction of $2,805,740.00. Following the completion of the sale, the chief financial officer directly owned 73,787 shares of the company’s stock, valued at $7,231,126. This trade represents a 27.95% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Cletus R. Willems sold 3,136 shares of the firm’s stock in a transaction on Tuesday, February 10th. The shares were sold at an average price of $82.67, for a total value of $259,253.12. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 1,487,794 shares of company stock worth $136,255,772. 1.37% of the stock is currently owned by insiders.

More Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix unveiled a massive $25 billion buyback that exceeds its 2026 content budget, signaling strong capital returns and management confidence — a major catalyst for longer‑term valuation upside. Netflix’s New Stock Buyback Is Bigger Than Its Entire 2026 Content Budget
• Positive Sentiment: Multiple bullish retail/analysis pieces frame the buyback and ongoing margin focus as a buy case (e.g., a “25 billion reason” argument), reinforcing investor interest in share repurchases as a driver for returns. A $25 Billion Reason to Buy Netflix Stock in April 2026
• Positive Sentiment: Analysts and commentators (including Jim Cramer) continue to express conviction in Netflix’s long‑term growth prospects, which can support demand amid short‑term volatility. Jim Cramer Doesn’t Believe It’s Over With Netflix (NFLX)
• Neutral Sentiment: Citic Securities raised its price target to $107 (still a “hold”), implying upside but stopping short of a buy recommendation — a mixed signal for traders. Citic Securities Adjusts Price Target on Netflix
• Neutral Sentiment: Coverage comparing Netflix to other large tech winners (e.g., Nvidia) highlights differing risk/reward profiles; useful context but not an immediate price driver. Nvidia vs. Netflix: Wall Street Says This Large Tech Stock Will Make You Richer
• Neutral Sentiment: Management is emphasizing profit discipline and diversifying into ads, live sports, gaming and experiences — a strategic shift that supports margins but will take time to materialize. Netflix Weighs Profit Discipline Against Growth In Sports Gaming Experiences
• Negative Sentiment: Co‑founder Reed Hastings is leaving the company, creating leadership uncertainty and raising questions about strategic continuity after the decision not to pursue a Warner merger. That news is a key reason some investors are trimming exposure. Netflix Co-Founder Reed Hastings Is Leaving the Company
• Negative Sentiment: Some analysts and commentators argue the $25B buyback may not fully placate investors — expectations around growth and execution remain high and could pressure the stock if results lag. A $25 Billion Buyback, Even Bigger Expectations: Netflix Faces Investor Doubts
• Negative Sentiment: Erste Group downgraded NFLX from “buy” to “hold,” adding selling pressure from some institutional investors. Finviz: Netflix Quote

Institutional Investors Weigh In On Netflix

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Vanguard Group Inc. lifted its holdings in Netflix by 0.4% during the third quarter. Vanguard Group Inc. now owns 38,521,322 shares of the Internet television network’s stock worth $46,183,983,000 after acquiring an additional 142,238 shares in the last quarter. Checchi Capital Advisers LLC lifted its holdings in Netflix by 875.7% during the fourth quarter. Checchi Capital Advisers LLC now owns 31,143 shares of the Internet television network’s stock worth $2,920,000 after acquiring an additional 27,951 shares in the last quarter. Contravisory Investment Management Inc. lifted its holdings in Netflix by 837.2% during the fourth quarter. Contravisory Investment Management Inc. now owns 111,380 shares of the Internet television network’s stock worth $10,443,000 after acquiring an additional 99,496 shares in the last quarter. Crew Capital Management Ltd lifted its holdings in Netflix by 1,021.9% during the fourth quarter. Crew Capital Management Ltd now owns 9,031 shares of the Internet television network’s stock worth $847,000 after acquiring an additional 8,226 shares in the last quarter. Finally, BNC Wealth Management LLC lifted its holdings in Netflix by 991.3% during the fourth quarter. BNC Wealth Management LLC now owns 41,229 shares of the Internet television network’s stock worth $3,866,000 after acquiring an additional 37,451 shares in the last quarter. 80.93% of the stock is owned by institutional investors and hedge funds.

Netflix Trading Down 1.2%

The company has a fifty day simple moving average of $93.89 and a two-hundred day simple moving average of $97.38. The company has a quick ratio of 1.41, a current ratio of 1.41 and a debt-to-equity ratio of 0.43. The stock has a market capitalization of $384.72 billion, a P/E ratio of 29.51, a price-to-earnings-growth ratio of 1.20 and a beta of 1.67.

Netflix (NASDAQ:NFLX) last posted its earnings results on Thursday, April 16th. The Internet television network reported $1.23 earnings per share for the quarter, topping the consensus estimate of $0.76 by $0.47. Netflix had a return on equity of 40.92% and a net margin of 28.52%.The firm had revenue of $12.25 billion for the quarter, compared to analyst estimates of $12.17 billion. During the same period in the previous year, the company posted $6.61 earnings per share. The company’s revenue for the quarter was up 16.2% on a year-over-year basis. Netflix has set its Q2 2026 guidance at 0.780-0.780 EPS. On average, sell-side analysts expect that Netflix, Inc. will post 3.53 earnings per share for the current year.

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.