Netflix (NASDAQ:NFLX) Shares Climb 2% – Here’s What Happened

Shares of Netflix, Inc. (NASDAQ:NFLX) traded up 2% during trading on Wednesday. The company traded as high as $64.56 and last traded at $64.54. Approximately 28,700,415 shares were traded during trading, a decline of 33% from the average session volume of 42,663,793 shares. The stock had previously closed at $63.26.

Recent Netflix Headlines

Here are a few of the latest headlines about NFLX:

• Neutral Sentiment: Netflix’s Thanksgiving Eve NFL game is a test of its ability to attract advertisers after a reported $300 million ad cut. Strong results could support its advertising business; weak demand could reinforce concerns about progress in the segment. Netflix’s Thanksgiving Eve NFL Game Is the Next Test After a $300 Million Ad Cut
• Negative Sentiment: Rising content spending is prompting questions about free-cash-flow growth, even as Netflix generates cash and has a busy holiday release slate. Higher investment could pressure cash flow if it does not produce enough subscriber or revenue growth. Will Content Capex Weigh on Netflix’s Free Cash Flow Trajectory?
• Negative Sentiment: A retrospective on the stock highlights pressure from a scrapped Warner Bros. deal, a slower-than-hoped ad push and layoffs. It says shares have lost ground from their 2025 peak, reflecting investors’ doubts about the growth thesis. Netflix Split Its Stock 10-for-1 One Year Ago, and $1,000 Invested Right After Is Now Worth $568

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on the stock. The Goldman Sachs Group set a $84.00 price objective on shares of Netflix in a report on Wednesday, October 21st. Argus set a $95.00 price target on shares of Netflix and gave the stock a “buy” rating in a research note on Thursday, October 22nd. Pivotal Research reiterated a “hold” rating and issued a $65.00 target price (down from $70.00) on shares of Netflix in a report on Wednesday, October 21st. CLSA initiated coverage on Netflix in a report on Monday, July 20th. They set an “outperform” rating for the company. Finally, Barclays set a $65.00 price objective on Netflix and gave the stock an “equal weight” rating in a report on Wednesday, October 21st. Two investment analysts have rated the stock with a Strong Buy rating, thirty-five have given a Buy rating, seventeen have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, Netflix has a consensus rating of “Moderate Buy” and an average target price of $89.14.

Netflix Stock Down 0.6%

The company has a quick ratio of 1.07, a current ratio of 1.07 and a debt-to-equity ratio of 0.43. The firm has a market capitalization of $255.81 billion, a PE ratio of 17.99, a price-to-earnings-growth ratio of 0.94 and a beta of 1.62. The business has a 50-day moving average price of $69.59 and a 200-day moving average price of $80.54.

Netflix (NASDAQ:NFLX) last posted its earnings results on Tuesday, October 20th. The Internet television network reported $0.87 EPS for the quarter, topping analysts’ consensus estimates of $0.82 by $0.05. The business had revenue of $12.87 billion for the quarter, compared to analysts’ expectations of $12.87 billion. Netflix had a return on equity of 42.69% and a net margin of 29.69%. The business’s revenue was up 11.9% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.59 earnings per share. Equities research analysts forecast that Netflix, Inc. will post 3.59 earnings per share for the current fiscal year.

Insider Buying and Selling at Netflix

In other Netflix news, CFO Spencer Neumann sold 9,253 shares of the business’s stock in a transaction on Wednesday, November 4th. The shares were sold at an average price of $66.15, for a total transaction of $612,085.95. Following the sale, the chief financial officer directly owned 73,787 shares of the company’s stock, valued at $4,881,010.05. The trade was a 11.14% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Bradford L. Smith sold 17,980 shares of the firm’s stock in a transaction dated Monday, October 26th. The stock was sold at an average price of $64.03, for a total transaction of $1,151,259.40. Following the transaction, the director directly owned 79,690 shares of the company’s stock, valued at $5,102,550.70. The trade was a 18.41% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 89,024 shares of company stock worth $5,788,733. Company insiders own 1.24% of the company’s stock.

Institutional Trading of Netflix

Large investors have recently made changes to their positions in the business. BlackRock Inc. acquired a new position in shares of Netflix in the 2nd quarter valued at $24,902,221,000. Bank of New York Mellon Corp acquired a new stake in shares of Netflix in the second quarter valued at about $1,906,482,000. Legal & General Group Plc bought a new stake in Netflix during the second quarter worth about $1,886,526,000. Mitsubishi UFJ Asset Management Co. Ltd. acquired a new position in Netflix during the second quarter valued at approximately $1,481,303,000. Finally, Assenagon Asset Management S.A. boosted its position in Netflix by 194.9% during the third quarter. Assenagon Asset Management S.A. now owns 16,111,438 shares of the Internet television network’s stock valued at $1,121,034,000 after purchasing an additional 10,647,803 shares during the last quarter. Institutional investors own 80.93% of the company’s stock.

Netflix Company Profile

Netflix, Inc. is an entertainment company that offers subscription-based streaming of television series, films, documentaries and other programming. Its service also includes mobile games and, in some markets, advertising-supported viewing plans. Netflix produces and licenses content, including titles made under its Netflix brand. Founded in 1997 by Reed Hastings and Marc Randolph as a DVD-by-mail rental business, the company launched its streaming service in 2007 and later expanded into original programming.