Netflix (NASDAQ:NFLX) Trading 3.4% Higher – Should You Buy?

Netflix, Inc. (NASDAQ:NFLX)’s stock price traded up 3.4% on Tuesday . The stock traded as high as $115.25 and last traded at $114.09. 43,261,071 shares changed hands during trading, an increase of 8% from the average session volume of 40,037,125 shares. The stock had previously closed at $110.29.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on NFLX shares. Loop Capital decreased their price target on shares of Netflix from $135.00 to $132.50 in a report on Wednesday, October 22nd. Barclays cut their target price on Netflix to $110.00 and set an “equal weight” rating on the stock in a research report on Tuesday. Citigroup reaffirmed a “neutral” rating and set a $129.50 price target (up previously from $128.00) on shares of Netflix in a research report on Friday, October 3rd. TD Cowen dropped their price target on Netflix from $145.00 to $142.50 and set a “buy” rating on the stock in a research note on Tuesday, October 7th. Finally, Seaport Res Ptn upgraded Netflix from a “hold” rating to a “strong-buy” rating in a research note on Monday, October 6th. Two research analysts have rated the stock with a Strong Buy rating, thirty have issued a Buy rating, twelve have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $133.93.

Netflix Stock Performance

The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.33 and a current ratio of 1.33. The firm has a market capitalization of $48.34 billion, a PE ratio of 4.77, a price-to-earnings-growth ratio of 1.91 and a beta of 1.58. The firm’s 50 day moving average price is $117.11 and its 200-day moving average price is $120.04.

Netflix (NASDAQ:NFLX) last announced its quarterly earnings results on Tuesday, October 21st. The Internet television network reported $0.59 earnings per share for the quarter, missing the consensus estimate of $0.69 by ($0.10). The business had revenue of $11.32 billion during 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%. Netflix’s revenue for the quarter was up 17.2% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.54 EPS. Netflix has set its FY 2025 guidance at EPS. Q4 2025 guidance at 5.450-5.450 EPS. On average, research analysts expect that Netflix, Inc. will post 24.58 EPS for the current year.

Insider Buying and Selling at Netflix

In other Netflix news, CEO Gregory K. Peters sold 20,270 shares of the company’s stock in a transaction on Tuesday, November 4th. The shares were sold at an average price of $109.57, for a total transaction of $2,220,943.36. Following the completion of the transaction, the chief executive officer directly owned 127,810 shares in the company, valued at approximately $14,003,886.08. This represents a 13.69% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, CEO Theodore A. Sarandos sold 20,270 shares of the stock in a transaction on Tuesday, November 4th. The shares were sold at an average price of $109.21, for a total transaction of $2,213,646.16. Following the transaction, the chief executive officer directly owned 151,680 shares in the company, valued at approximately $16,564,669.44. The trade was a 11.79% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 1,529,960 shares of company stock worth $175,427,521. 1.37% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of NFLX. Kozak & Associates Inc. increased its stake in Netflix by 914.2% during the 3rd quarter. Kozak & Associates Inc. now owns 15,710 shares of the Internet television network’s stock worth $18,835,000 after buying an additional 14,161 shares in the last quarter. Dorsey Wright & Associates boosted its stake in shares of Netflix by 3.8% in the third quarter. Dorsey Wright & Associates now owns 7,149 shares of the Internet television network’s stock worth $8,571,000 after acquiring an additional 260 shares during the last quarter. Livforsakringsbolaget Skandia Omsesidigt increased its position in shares of Netflix by 3.4% during the third quarter. Livforsakringsbolaget Skandia Omsesidigt now owns 17,101 shares of the Internet television network’s stock worth $20,489,000 after purchasing an additional 560 shares in the last quarter. Financial Engines Advisors L.L.C. increased its position in shares of Netflix by 6.7% during the third quarter. Financial Engines Advisors L.L.C. now owns 5,884 shares of the Internet television network’s stock worth $7,054,000 after purchasing an additional 371 shares in the last quarter. Finally, Aureus Asset Management LLC raised its stake in Netflix by 9.5% in the 3rd quarter. Aureus Asset Management LLC now owns 1,186 shares of the Internet television network’s stock valued at $1,422,000 after purchasing an additional 103 shares during the last quarter. 80.93% of the stock is 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.