Netflix (NASDAQ:NFLX) Trading 1.9% Higher – Should You Buy?

Netflix, Inc. (NASDAQ:NFLX)’s share price was up 1.9% during mid-day trading on Friday . The company traded as high as $859.79 and last traded at $858.49. Approximately 1,137,965 shares were traded during mid-day trading, a decline of 62% from the average daily volume of 2,983,082 shares. The stock had previously closed at $842.37.

Analyst Upgrades and Downgrades

Several research analysts have commented on the stock. Evercore ISI boosted their price target on shares of Netflix from $775.00 to $950.00 and gave the stock an “outperform” rating in a report on Monday, December 2nd. StockNews.com upgraded Netflix from a “hold” rating to a “buy” rating in a research note on Saturday, December 21st. Deutsche Bank Aktiengesellschaft lifted their price target on Netflix from $590.00 to $650.00 and gave the stock a “hold” rating in a report on Wednesday, October 9th. Needham & Company LLC increased their price objective on Netflix from $700.00 to $800.00 and gave the company a “buy” rating in a report on Friday, October 18th. Finally, Oppenheimer lowered their price target on Netflix from $1,065.00 to $1,040.00 and set an “outperform” rating for the company in a report on Wednesday. Two equities research analysts have rated the stock with a sell rating, nine have given a hold rating, twenty-four have issued a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, Netflix presently has an average rating of “Moderate Buy” and a consensus price target of $845.06.

Netflix Price Performance

The company has a debt-to-equity ratio of 0.62, a current ratio of 1.13 and a quick ratio of 1.13. The company’s 50 day moving average is $882.41 and its 200 day moving average is $756.61. The stock has a market cap of $369.28 billion, a price-to-earnings ratio of 48.85, a PEG ratio of 1.35 and a beta of 1.27.

Netflix (NASDAQ:NFLX) last posted its quarterly earnings results on Thursday, October 17th. The Internet television network reported $5.40 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $5.09 by $0.31. The company had revenue of $9.82 billion during the quarter, compared to the consensus estimate of $9.77 billion. Netflix had a net margin of 20.70% and a return on equity of 35.86%. Research analysts forecast that Netflix, Inc. will post 19.78 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Netflix news, CEO Theodore A. Sarandos sold 1,278 shares of Netflix stock in a transaction dated Tuesday, November 5th. The shares were sold at an average price of $767.05, for a total transaction of $980,289.90. Following the completion of the transaction, the chief executive officer now owns 2,556 shares in the company, valued at approximately $1,960,579.80. The trade was a 33.33 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Richard N. Barton sold 5,698 shares of the stock in a transaction that occurred on Friday, October 25th. The shares were sold at an average price of $756.00, for a total transaction of $4,307,688.00. Following the completion of the sale, the director now owns 246 shares in the company, valued at $185,976. This represents a 95.86 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 152,198 shares of company stock valued at $127,616,898. 1.76% of the stock is owned by insiders.

Institutional Trading of Netflix

Several institutional investors and hedge funds have recently made changes to their positions in NFLX. RPg Family Wealth Advisory LLC acquired a new position in Netflix in the 3rd quarter valued at about $25,000. E Fund Management Hong Kong Co. Ltd. grew its holdings in shares of Netflix by 700.0% during the third quarter. E Fund Management Hong Kong Co. Ltd. now owns 48 shares of the Internet television network’s stock worth $34,000 after buying an additional 42 shares in the last quarter. MidAtlantic Capital Management Inc. acquired a new position in shares of Netflix in the third quarter valued at approximately $37,000. FSA Wealth Management LLC acquired a new position in shares of Netflix in the third quarter valued at approximately $38,000. Finally, First Personal Financial Services purchased a new position in shares of Netflix during the third quarter valued at approximately $40,000. 80.93% of the stock is currently owned by hedge funds and other institutional investors.

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.