Netflix (NASDAQ:NFLX) Stock Rating Reaffirmed as “Neutral” by Rosenblatt Securities
by Amy Steele · The Cerbat GemNetflix (NASDAQ:NFLX – Get Free Report)‘s stock had its “neutral” rating reaffirmed by research analysts at Rosenblatt Securities in a research note issued on Friday, Benzinga reports. They presently have a $75.00 target price on the Internet television network’s stock. Rosenblatt Securities’ price objective points to a potential upside of 5.52% from the company’s current price.
A number of other equities research analysts have also recently weighed in on the company. China Renaissance dropped their price target on Netflix from $100.00 to $80.00 and set a “hold” rating on the stock in a research note on Friday, July 17th. JPMorgan Chase & Co. restated a “buy” rating on shares of Netflix in a research note on Thursday, August 20th. Moffett Nathanson dropped their price target on Netflix from $115.00 to $100.00 and set a “buy” rating on the stock in a research note on Friday, July 17th. Citigroup restated a “market perform” rating on shares of Netflix in a research note on Thursday. Finally, Weiss Ratings upgraded Netflix from a “hold (c)” rating to a “hold (c+)” rating in a research note on Thursday, October 8th. Four research analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating, fifteen have issued a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $93.82.
Get Our Latest Analysis on Netflix
Netflix Stock Performance
NFLX traded down $1.53 during trading hours on Friday, reaching $71.08. The company’s stock had a trading volume of 12,983,851 shares, compared to its average volume of 42,106,859. Netflix has a 52 week low of $65.08 and a 52 week high of $124.86. The company’s 50-day moving average is $75.25 and its 200-day moving average is $80.73. The company has a debt-to-equity ratio of 0.39, a quick ratio of 1.14 and a current ratio of 1.14. The firm has a market cap of $295.97 billion, a PE ratio of 22.42, a price-to-earnings-growth ratio of 1.00 and a beta of 1.62.
Netflix (NASDAQ:NFLX – Get Free Report) last posted its quarterly earnings results on Thursday, July 16th. The Internet television network reported $0.80 earnings per share for the quarter, beating analysts’ consensus estimates of $0.79 by $0.01. Netflix had a return on equity of 40.02% and a net margin of 28.22%. The business had revenue of $12.56 billion for the quarter, compared to analysts’ expectations of $12.58 billion. During the same quarter in the prior year, the business earned $0.72 EPS. The firm’s revenue for the quarter was up 13.4% on a year-over-year basis. On average, equities analysts forecast that Netflix will post 3.59 EPS for the current year.
Insider Activity
In other Netflix news, CEO Gregory Peters sold 27,312 shares of the stock in a transaction on Thursday, August 6th. The stock was sold at an average price of $73.54, for a total transaction of $2,008,524.48. Following the transaction, the chief executive officer owned 120,931 shares in the company, valued at $8,893,265.74. This trade represents a 18.42% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Richard Barton sold 2,160 shares of the stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $75.10, for a total value of $162,216.00. Following the transaction, the director owned 246 shares in the company, valued at $18,474.60. The trade was a 89.78% 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. Over the last ninety days, insiders have sold 179,045 shares of company stock worth $13,132,194. Corporate insiders own 1.24% of the company’s stock.
Institutional Inflows and Outflows
Several large investors have recently added to or reduced their stakes in NFLX. Annex Advisory Services LLC increased its holdings in Netflix by 7.7% in the 3rd quarter. Annex Advisory Services LLC now owns 9,576 shares of the Internet television network’s stock valued at $666,000 after buying an additional 688 shares during the period. Granite Islands Private Wealth LLC increased its holdings in Netflix by 1.4% in the 3rd quarter. Granite Islands Private Wealth LLC now owns 40,930 shares of the Internet television network’s stock valued at $2,841,000 after buying an additional 570 shares during the period. Michael J. Porro & Co. Financial Advisors Inc. increased its holdings in Netflix by 3.7% in the 3rd quarter. Michael J. Porro & Co. Financial Advisors Inc. now owns 12,736 shares of the Internet television network’s stock valued at $886,000 after buying an additional 460 shares during the period. Paragon Capital Management Inc. increased its holdings in Netflix by 5.9% in the 3rd quarter. Paragon Capital Management Inc. now owns 14,016 shares of the Internet television network’s stock valued at $975,000 after buying an additional 786 shares during the period. Finally, Daytona Street Capital LLC increased its holdings in Netflix by 41.7% in the 3rd quarter. Daytona Street Capital LLC now owns 72,179 shares of the Internet television network’s stock valued at $4,868,000 after buying an additional 21,234 shares during the period. Institutional investors own 80.93% of the company’s stock.
Netflix News Roundup
Here are the key news stories impacting Netflix this week:
- Positive Sentiment: Jefferies upgraded Netflix (NFLX) to “strong buy,” citing potential support from pricing increases and advertising revenue, while maintaining an $85 price target. Netflix stock gets bullish analyst call ahead of next week’s earnings
- Positive Sentiment: Netflix appointed former Disney and Fox executive Peter Rice as chief content officer, potentially bringing new strategic direction and industry experience as the company seeks stronger film and television hits. Netflix names former Disney executive Rice as new content chief
- Neutral Sentiment: Netflix reports third-quarter results after the market closes on October 20. Options markets imply a potentially large post-earnings move, increasing near-term volatility as investors assess revenue growth, churn and management’s outlook. Netflix will report earnings on Oct. 20
- Negative Sentiment: Netflix is eliminating roughly 1,000 jobs, or 6% of its workforce, in its largest reduction since 2022. Although the move may lower costs, its timing highlights management’s concerns about slowing growth and intensifying competition. Netflix is laying off roughly 6% of its workforce
- Negative Sentiment: Investors viewed the replacement of longtime content chief Bela Bajaria immediately after the layoffs as evidence of pressure to improve Netflix’s programming, particularly as viewer engagement slows and reported U.S. app churn rises. Netflix stock falls as content shake-up fails to ease investor worries
- Negative Sentiment: Wedbush lowered its price target from $105 to $90, while Rosenblatt reaffirmed a neutral rating with a $75 target. Analysts remain divided over whether Netflix’s still-positive revenue growth can offset weaker engagement and churn concerns.
About Netflix
Netflix, Inc (NASDAQ:NFLX) is a global entertainment company that operates a subscription-based streaming service. It offers a broad range of television series, films, documentaries, and other programming, including original productions developed under the Netflix brand and licensed content from third-party studios.
The company also provides advertising-supported viewing options in some markets and has expanded into related entertainment categories, including mobile and cloud-based games, live programming, and consumer products associated with selected titles.
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