Netflix (NASDAQ:NFLX) Trading 2.7% Higher – Time to Buy?

Netflix, Inc. (NASDAQ:NFLX) rose 2.7% during mid-day trading on Friday . The stock traded as high as $1,134.88 and last traded at $1,118.86. Approximately 6,633,006 shares changed hands during mid-day trading, an increase of 66% from the average daily volume of 4,005,338 shares. The stock had previously closed at $1,089.00.

Analyst Ratings Changes

A number of research analysts recently weighed in on NFLX shares. Wells Fargo & Company dropped their price target on shares of Netflix from $1,560.00 to $1,510.00 and set an “overweight” rating on the stock in a research report on Wednesday, October 22nd. Citigroup reissued a “neutral” rating and issued a $1,295.00 price target (up from $1,280.00) on shares of Netflix in a report on Friday, October 3rd. Piper Sandler restated an “overweight” rating and issued a $1,400.00 target price (down from $1,500.00) on shares of Netflix in a research note on Wednesday, October 22nd. Wedbush dropped their price target on Netflix from $1,500.00 to $1,400.00 and set an “outperform” rating for the company in a research note on Wednesday, October 22nd. Finally, Arete increased their price objective on Netflix from $833.00 to $1,084.00 and gave the company a “neutral” rating in a research report on Tuesday, October 28th. Two analysts have rated the stock with a Strong Buy rating, twenty-seven have issued a Buy rating, eleven have issued a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, Netflix has an average rating of “Moderate Buy” and a consensus target price of $1,341.12.

Netflix Stock Performance

The company has a market capitalization of $474.09 billion, a P/E ratio of 46.74, a price-to-earnings-growth ratio of 1.91 and a beta of 1.59. The company’s 50 day moving average is $1,195.64 and its 200-day moving average is $1,194.84. The company has a current ratio of 1.33, a quick ratio of 1.33 and a debt-to-equity ratio of 0.56.

Netflix’s stock is set to split before the market opens on Monday, November 17th. The 10-1 split was announced on Thursday, October 30th. The newly created shares will be payable to shareholders after the market closes on Friday, November 14th.

Netflix (NASDAQ:NFLX) last announced its quarterly earnings data on Tuesday, October 21st. The Internet television network reported $5.87 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $6.88 by ($1.01). The company had revenue of $11.51 billion for the quarter, compared to analysts’ expectations of $11.52 billion. Netflix had a net margin of 24.05% and a return on equity of 41.86%. The firm’s quarterly revenue was up 17.2% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $5.40 EPS. Netflix has set its FY 2025 guidance at EPS. Q4 2025 guidance at 5.450-5.450 EPS. Equities analysts anticipate that Netflix, Inc. will post 24.58 EPS for the current fiscal year.

Insider Activity

In related news, CEO Theodore A. Sarandos sold 2,026 shares of the business’s stock in a transaction that occurred on Tuesday, August 5th. The shares were sold at an average price of $1,160.62, for a total value of $2,351,416.12. Following the completion of the transaction, the chief executive officer directly owned 15,168 shares in the company, valued at $17,604,284.16. The trade was a 11.78% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Cletus R. Willems sold 238 shares of the stock in a transaction on Wednesday, August 6th. The shares were sold at an average price of $1,153.52, for a total value of $274,537.76. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 78,734 shares of company stock valued at $93,224,176. Company insiders own 1.37% of the company’s stock.

Institutional Trading of Netflix

A number of institutional investors have recently made changes to their positions in the stock. Optima Capital LLC boosted its stake in shares of Netflix by 3.5% in the 2nd quarter. Optima Capital LLC now owns 239 shares of the Internet television network’s stock worth $320,000 after buying an additional 8 shares during the last quarter. Unified Investment Management grew its stake in shares of Netflix by 1.7% during the 2nd quarter. Unified Investment Management now owns 474 shares of the Internet television network’s stock valued at $635,000 after purchasing an additional 8 shares during the period. Plancorp LLC increased its position in shares of Netflix by 0.6% during the 2nd quarter. Plancorp LLC now owns 1,278 shares of the Internet television network’s stock valued at $1,711,000 after purchasing an additional 8 shares during the last quarter. Five Oceans Advisors lifted its stake in shares of Netflix by 1.1% in the 2nd quarter. Five Oceans Advisors now owns 751 shares of the Internet television network’s stock worth $1,006,000 after purchasing an additional 8 shares during the period. Finally, Old Port Advisors boosted its holdings in shares of Netflix by 1.3% in the second quarter. Old Port Advisors now owns 624 shares of the Internet television network’s stock worth $836,000 after buying an additional 8 shares during the last quarter. Hedge funds and other institutional investors own 80.93% of the company’s stock.

Netflix Company Profile

Netflix, Inc provides entertainment services. It offers TV series, documentaries, feature films, and games across various genres and languages. The company also provides members the ability to receive streaming content through a host of internet-connected devices, including TVs, digital video players, TV set-top boxes, and mobile devices.