Netflix (NASDAQ:NFLX) Upgraded at Phillip Securities

Phillip Securities upgraded shares of Netflix (NASDAQ:NFLX) from a moderate buy rating to a strong-buy rating in a report released on Sunday morning,Zacks.com reports.

A number of other analysts have also recently commented on the company. Rosenblatt Securities set a $75.00 price objective on Netflix and gave the company a “neutral” rating in a research report on Friday. Barclays dropped their price target on shares of Netflix from $85.00 to $80.00 and set an “equal weight” rating on the stock in a research note on Friday, July 17th. Stephens started coverage on shares of Netflix in a research report on Friday. They set an “overweight” rating for the company. Oppenheimer set a $85.00 price objective on shares of Netflix and gave the stock an “outperform” rating in a research report on Friday. Finally, President Capital increased their price objective on shares of Netflix from $133.00 to $134.00 and gave the company a “buy” rating in a report on Tuesday, March 31st. Three investment analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, seventeen have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $104.21.

Netflix Price Performance

NASDAQ:NFLX opened at $68.67 on Friday. The company has a 50 day moving average price of $79.42 and a 200-day moving average price of $86.49. Netflix has a 1-year low of $65.08 and a 1-year high of $126.71. The firm has a market cap of $285.94 billion, a price-to-earnings ratio of 21.61, a price-to-earnings-growth ratio of 0.85 and a beta of 1.52. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.14 and a quick ratio of 1.41.

Netflix (NASDAQ:NFLX) last issued its quarterly earnings data on Thursday, July 16th. The Internet television network reported $0.80 earnings per share for the quarter, topping analysts’ consensus estimates of $0.79 by $0.01. Netflix had a net margin of 28.22% and a return on equity of 40.02%. The business had revenue of $12.56 billion during the quarter, compared to the consensus estimate of $12.58 billion. During the same quarter in the prior year, the firm posted $0.72 earnings per share. The company’s revenue was up 13.4% compared to the same quarter last year. Equities research analysts forecast that Netflix will post 3.6 EPS for the current year.

Insider Activity at Netflix

In other Netflix news, CEO Gregory K. Peters sold 27,312 shares of the business’s stock in a transaction dated Thursday, May 7th. The shares were sold at an average price of $88.69, for a total value of $2,422,301.28. Following the transaction, the chief executive officer directly owned 120,931 shares in the company, valued at $10,725,370.39. The trade was a 18.42% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Bradford L. Smith sold 35,990 shares of the firm’s stock in a transaction that occurred on Wednesday, June 17th. The stock was sold at an average price of $77.52, for a total transaction of $2,789,944.80. Following the sale, the director owned 79,690 shares of the company’s stock, valued at $6,177,568.80. This represents a 31.11% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 899,839 shares of company stock valued at $80,141,661 over the last ninety days. Corporate insiders own 1.24% of the company’s stock.

Institutional Trading of Netflix

A number of hedge funds and other institutional investors have recently modified their holdings of NFLX. Vanguard Group Inc. grew its holdings in Netflix by 912.5% during the 4th quarter. Vanguard Group Inc. now owns 390,014,981 shares of the Internet television network’s stock worth $36,567,805,000 after acquiring an additional 351,493,659 shares in the last quarter. State Street Corp lifted its position in shares of Netflix by 927.6% during the 4th quarter. State Street Corp now owns 176,780,995 shares of the Internet television network’s stock worth $16,574,986,000 after purchasing an additional 159,578,053 shares during the last quarter. Geode Capital Management LLC grew its stake in shares of Netflix by 892.0% during the fourth quarter. Geode Capital Management LLC now owns 99,598,678 shares of the Internet television network’s stock worth $9,305,336,000 after purchasing an additional 89,558,684 shares in the last quarter. Capital World Investors increased its holdings in Netflix by 859.1% in the fourth quarter. Capital World Investors now owns 89,341,444 shares of the Internet television network’s stock valued at $8,376,656,000 after buying an additional 80,025,890 shares during the last quarter. Finally, Morgan Stanley increased its holdings in Netflix by 903.0% in the fourth quarter. Morgan Stanley now owns 85,349,973 shares of the Internet television network’s stock valued at $8,002,414,000 after buying an additional 76,840,318 shares during the last quarter. 80.93% of the stock is owned by institutional investors and hedge funds.

Netflix News Roundup

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix delivered an earnings beat and continues to post double-digit revenue growth, while bulls argue the selloff has made the stock look inexpensive on earnings and cash flow. Netflix “Is Not a Broken Company” and Trades At Just 19x Earnings. Jim Cramer Says Start Buying
• Positive Sentiment: Several analysts and commentators say the post-earnings drop may have created a buying opportunity, citing Netflix’s ad business, live content ambitions, international growth, and strong free-cash-flow potential. Netflix (NFLX) Stock Still Looks Cheap On Cash Flow And Earnings
• Positive Sentiment: Phillip Securities upgraded Netflix from “moderate buy” to “strong-buy,” with one analyst saying engagement shows no signs of slowing and setting a higher price target than the current trading level. Netflix, Inc. (NFLX) is Attracting Investor Attention: Here is What You Should Know
• Neutral Sentiment: Wall Street coverage remains active and largely mixed-to-bullish, with some reports pointing to meaningful upside in consensus price targets even after the recent slide. Netflix Fell 45% Over 12 Months But This Ratings House Sees A Doubling Share Price
• Negative Sentiment: Investors are worried about softer revenue guidance, slowing growth momentum, and Netflix making viewership metrics harder to track, which raises questions about transparency and future monetization. Netflix (NFLX) Could Be 18% Undervalued After Soft Guidance Raised Fresh Growth Questions
• Negative Sentiment: Multiple articles described the stock’s recent action as a sharp post-earnings crash or “miserable stretch,” reflecting concern that the latest quarter did not convince investors that growth will reaccelerate soon. Netflix just made its slowdown harder to measure

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.