Kimelman & Baird LLC Purchases New Position in Netflix, Inc. $NFLX

Kimelman & Baird LLC purchased a new position in Netflix, Inc. (NASDAQ:NFLX) in the second quarter, HoldingsChannel reports. The fund purchased 79,823 shares of the Internet television network’s stock, valued at approximately $5,699,000.

Several other institutional investors and hedge funds have also bought and sold shares of NFLX. BlackRock Inc. bought a new stake in shares of Netflix during the second quarter valued at approximately $24,902,221,000. State Street Corp grew its stake in Netflix by 927.6% in the fourth 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 period. Geode Capital Management LLC raised its holdings in Netflix by 892.0% in 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 lifted its position in Netflix by 859.1% during 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 period. Finally, Price T Rowe Associates Inc. MD boosted 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 buying an additional 75,107,069 shares in the last quarter. 80.93% of the stock is currently owned by hedge funds and other institutional investors.

Netflix Stock Performance

NFLX stock opened at $81.72 on Friday. The stock’s 50 day simple moving average is $74.65 and its 200 day simple moving average is $84.33. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 0.39. Netflix, Inc. has a 12-month low of $65.08 and a 12-month high of $126.71. The stock has a market capitalization of $340.28 billion, a PE ratio of 25.72, a price-to-earnings-growth ratio of 1.00 and a beta of 1.52.

Netflix (NASDAQ:NFLX) last posted its earnings results on Thursday, July 16th. The Internet television network reported $0.80 EPS for the quarter, topping 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 during the quarter, compared to analyst estimates of $12.58 billion. During the same quarter last year, the company earned $0.72 EPS. The company’s quarterly revenue was up 13.4% compared to the same quarter last year. As a group, research analysts forecast that Netflix, Inc. will post 3.59 earnings per share for the current fiscal year.

Insider Activity at Netflix

In related news, CEO Gregory K. Peters sold 27,312 shares of Netflix stock in a transaction dated Thursday, August 6th. The stock was sold at an average price of $73.54, for a total value of $2,008,524.48. Following the completion of the sale, the chief executive officer directly owned 120,931 shares in the company, valued at approximately $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 can be accessed through the SEC website. Also, insider David A. Hyman sold 5,723 shares of the business’s stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $72.85, for a total value of $416,920.55. Following the completion of the transaction, the insider directly owned 316,100 shares of the company’s stock, valued at approximately $23,027,885. This trade represents a 1.78% decrease in their position. 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. Insiders sold a total of 600,295 shares of company stock valued at $49,056,671 over the last three months. 1.24% of the stock is owned by insiders.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on NFLX shares. Bank of America reiterated a “buy” rating and issued a $125.00 price target on shares of Netflix in a research note on Monday, May 18th. Raymond James Financial reissued a “market perform” rating on shares of Netflix in a research note on Thursday, May 14th. CLSA started coverage on shares of Netflix in a report on Monday, July 20th. They issued an “outperform” rating on the stock. Robert W. Baird set a $90.00 target price on shares of Netflix and gave the company an “outperform” rating in a research note on Wednesday, July 22nd. Finally, Oppenheimer set a $85.00 target price on shares of Netflix and gave the company an “outperform” rating in a report on Friday, July 17th. Four research analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, seventeen have assigned 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 an average price target of $103.19.

Key Headlines Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Bill Ackman’s Pershing Square reportedly added approximately 13.1 million Netflix shares, making NFLX one of the hedge fund’s new concentrated holdings. The move may bolster investor confidence in Netflix’s valuation and long-term earnings potential. Bill Ackman portfolio overhaul article
• Positive Sentiment: Analysts and market commentators point to Netflix’s rapidly expanding advertising business, a potential $3 billion advertising revenue opportunity, continued global expansion and margin growth as catalysts for a possible recovery toward $100 and beyond. Record share buybacks could further support earnings per share. Netflix stock price prediction article
• Positive Sentiment: Netflix is being described as an undervalued long-term holding, with bullish arguments centered on double-digit revenue growth, free-cash-flow generation and the ability to monetize live events and lower-priced ad-supported plans. Netflix five-year outlook article
• Neutral Sentiment: The Netflix preview of Grand Theft Auto VI attracted significant online attention and traffic, but the immediate stock-market beneficiary appears to be Take-Two Interactive, the game’s publisher, rather than Netflix. GTA 6 Netflix preview article
• Negative Sentiment: Some analysts argue that Netflix’s growth is moderating and that Alphabet offers stronger diversification, advertising exposure and valuation. Recent commentary also identifies resistance near $82 and muted enthusiasm following the latest earnings report. NFLX versus GOOGL article
• Negative Sentiment: Reported insider activity remains a potential overhang: executives and directors made numerous sales and no purchases over the past six months. Investors may interpret the selling as reduced insider conviction, although it may also reflect routine diversification. Netflix ad monetization and market resistance article

About Netflix

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.