Netflix FY2026 EPS Forecast Lowered by Erste Group Bank

Netflix, Inc. (NASDAQ:NFLX) – Analysts at Erste Group Bank lowered their FY2026 earnings per share estimates for shares of Netflix in a note issued to investors on Wednesday, July 15th. Erste Group Bank analyst H. Engel now forecasts that the Internet television network will post earnings of $3.58 per share for the year, down from their prior forecast of $3.59. Erste Group Bank has a “Hold” rating on the stock. The consensus estimate for Netflix’s current full-year earnings is $3.60 per share. Erste Group Bank also issued estimates for Netflix’s FY2027 earnings at $3.84 EPS.

Several other research analysts also recently commented on NFLX. Moffett Nathanson cut their price target on shares of Netflix from $120.00 to $115.00 and set a “buy” rating for the company in a report on Wednesday, June 17th. TD Cowen decreased their price target on shares of Netflix from $112.00 to $100.00 and set a “buy” rating on the stock in a report on Friday. Wolfe Research reiterated an “outperform” rating and issued a $107.00 price objective on shares of Netflix in a research report on Friday, April 17th. Piper Sandler reiterated an “overweight” rating and issued a $85.00 price objective (down from $115.00) on shares of Netflix in a research report on Friday. Finally, JPMorgan Chase & Co. dropped their price objective on Netflix from $118.00 to $85.00 and set an “overweight” rating for the company in a research note on Friday. Two analysts have rated the stock with a Strong Buy rating, thirty-five have given a Buy rating and sixteen have issued a Hold rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $103.97.

Netflix Stock Performance

Netflix stock opened at $68.95 on Friday. The firm’s 50 day simple moving average is $80.15 and its 200 day simple moving average is $86.90. The company has a current ratio of 1.41, a quick ratio of 1.41 and a debt-to-equity ratio of 0.43. The firm has a market capitalization of $290.33 billion, a PE ratio of 21.70, a price-to-earnings-growth ratio of 0.95 and a beta of 1.52. Netflix has a 1-year low of $65.08 and a 1-year high of $126.71.

Netflix (NASDAQ:NFLX) last announced its quarterly earnings results on Thursday, July 16th. The Internet television network reported $0.80 earnings per share for the quarter, beating the consensus estimate of $0.79 by $0.01. Netflix had a return on equity of 40.83% and a net margin of 28.22%.The firm had revenue of $12.56 billion for the quarter, compared to analysts’ expectations of $12.58 billion. During the same period in the prior year, the business posted $0.72 earnings per share. The company’s revenue was up 13.4% on a year-over-year basis.

Hedge Funds Weigh In On Netflix

A number of hedge funds and other institutional investors have recently modified their holdings of NFLX. Vanguard Group Inc. grew its position in Netflix by 912.5% during the fourth quarter. Vanguard Group Inc. now owns 390,014,981 shares of the Internet television network’s stock valued at $36,567,805,000 after acquiring an additional 351,493,659 shares during the last quarter. State Street Corp boosted its stake in shares of Netflix by 927.6% in the 4th quarter. State Street Corp now owns 176,780,995 shares of the Internet television network’s stock valued at $16,574,986,000 after purchasing an additional 159,578,053 shares in the last quarter. Geode Capital Management LLC boosted its stake in shares of Netflix by 892.0% in the 4th quarter. Geode Capital Management LLC now owns 99,598,678 shares of the Internet television network’s stock valued at $9,305,336,000 after purchasing an additional 89,558,684 shares in the last quarter. Capital World Investors grew its holdings in shares of Netflix by 859.1% during the 4th quarter. Capital World Investors now owns 89,341,444 shares of the Internet television network’s stock valued at $8,376,656,000 after purchasing an additional 80,025,890 shares during the last quarter. Finally, Price T Rowe Associates Inc. MD grew its holdings in shares of Netflix by 685.8% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 86,058,878 shares of the Internet television network’s stock valued at $8,068,882,000 after purchasing an additional 75,107,069 shares during the last quarter. 80.93% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity

In other news, CFO Spencer Adam Neumann sold 9,253 shares of the firm’s stock in a transaction on Thursday, May 7th. The shares were sold at an average price of $88.95, for a total transaction of $823,054.35. Following the sale, the chief financial officer owned 73,787 shares in the company, valued at approximately $6,563,353.65. This trade represents a 11.14% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, insider David A. Hyman sold 5,722 shares of Netflix stock in a transaction on Tuesday, May 5th. The stock was sold at an average price of $88.08, for a total transaction of $503,993.76. Following the sale, the insider directly owned 316,100 shares of the company’s stock, valued at $27,842,088. This represents a 1.78% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders have sold 899,839 shares of company stock worth $80,141,661. Corporate insiders own 1.24% of the company’s stock.

Key Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Some analysts remain bullish, arguing Netflix still has strong long-term upside from margin expansion, advertising growth, and new engagement-driven content formats. Mark Mahaney Reiterates Buy on Netflix
• Positive Sentiment: Supportive commentary highlighted Netflix’s AI, ads, short-form video, and gaming strategy as potential growth catalysts for monetization and engagement. Ad Engagement & Content Opportunities Offer Bullish Edge for NFLX
• Neutral Sentiment: Several analysts cut price targets but mostly kept buy/overweight or hold ratings, signaling lower near-term expectations rather than a full thesis break. Laura Martin Maintains Buy on Netflix
• Negative Sentiment: Netflix’s weaker Q3 outlook and reduced engagement disclosure sparked concern that growth is slowing and management is becoming less transparent with investors. Netflix third-quarter earnings forecast falls shy of Wall Street expectations
• Negative Sentiment: Coverage across the market emphasized the post-earnings selloff, citing a revenue miss, soft guidance, and investor worries about future growth and competition. U.S. Chip Stocks Extend Slide; Netflix Tumbles on Growth Warning

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.