Thornburg Investment Management Inc. Has $47.52 Million Position in Netflix, Inc. $NFLX

Thornburg Investment Management Inc. boosted its stake in shares of Netflix, Inc. (NASDAQ:NFLX) by 428.3% in the second quarter, Holdings Channel reports. The firm owned 665,548 shares of the Internet television network’s stock after acquiring an additional 539,563 shares during the period. Thornburg Investment Management Inc.’s holdings in Netflix were worth $47,520,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Pacific Sun Financial Corp boosted its holdings in shares of Netflix by 1.6% during the 3rd quarter. Pacific Sun Financial Corp now owns 574 shares of the Internet television network’s stock worth $688,000 after buying an additional 9 shares during the period. Beaird Harris Wealth Management LLC grew its stake in Netflix by 9.6% in the 3rd quarter. Beaird Harris Wealth Management LLC now owns 114 shares of the Internet television network’s stock valued at $137,000 after buying an additional 10 shares during the last quarter. Monograph Wealth Advisors LLC raised its holdings in Netflix by 1.8% in the 2nd quarter. Monograph Wealth Advisors LLC now owns 682 shares of the Internet television network’s stock worth $913,000 after acquiring an additional 12 shares during the period. Resources Management Corp CT ADV raised its holdings in Netflix by 2.0% in the 2nd quarter. Resources Management Corp CT ADV now owns 829 shares of the Internet television network’s stock worth $1,110,000 after acquiring an additional 16 shares during the period. Finally, Sompo Asset Management Co. Ltd. lifted its position in Netflix by 1.4% during the 2nd quarter. Sompo Asset Management Co. Ltd. now owns 1,500 shares of the Internet television network’s stock worth $2,009,000 after acquiring an additional 20 shares during the last quarter. Institutional investors and hedge funds own 80.93% of the company’s stock.

Netflix Stock Up 2.4%

Shares of NFLX opened at $81.72 on Friday. 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 company has a 50-day simple moving average of $74.65 and a 200-day simple moving average of $84.33. Netflix, Inc. has a 52 week low of $65.08 and a 52 week high of $126.71. The firm has a market capitalization of $340.28 billion, a P/E ratio of 25.72, a P/E/G ratio of 1.03 and a beta of 1.52.

Netflix (NASDAQ:NFLX) last released its earnings results on Thursday, July 16th. The Internet television network reported $0.80 earnings per share for the quarter, topping analysts’ consensus estimates of $0.79 by $0.01. The business had revenue of $12.56 billion for the quarter, compared to the consensus estimate of $12.58 billion. Netflix had a return on equity of 40.02% and a net margin of 28.22%.The firm’s revenue for the quarter was up 13.4% compared to the same quarter last year. During the same period last year, the business earned $0.72 earnings per share. On average, equities research analysts expect that Netflix, Inc. will post 3.59 earnings per share for the current year.

Key Netflix News

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

Insider Activity at Netflix

In related news, insider David A. Hyman sold 5,723 shares of the firm’s stock in a transaction on 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 $23,027,885. This trade represents a 1.78% decrease in their ownership of the stock. 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, CFO Spencer Adam Neumann sold 9,248 shares of Netflix stock in a transaction on Monday, August 10th. The stock was sold at an average price of $75.79, for a total transaction of $700,905.92. Following the sale, the chief financial officer owned 73,787 shares in the company, valued at $5,592,316.73. This represents a 11.14% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 600,295 shares of company stock worth $49,056,671 in the last three months. Company insiders own 1.24% of the company’s stock.

Analysts Set New Price Targets

NFLX has been the subject of a number of recent analyst reports. Phillip Securities upgraded shares of Netflix from a “moderate buy” rating to a “strong-buy” rating in a report on Sunday, July 19th. JPMorgan Chase & Co. dropped their price objective on Netflix from $118.00 to $85.00 and set an “overweight” rating on the stock in a research note on Friday, July 17th. Jefferies Financial Group cut their price objective on Netflix from $128.00 to $110.00 and set a “buy” rating for the company in a research report on Wednesday, June 10th. KeyCorp restated an “overweight” rating and set a $92.00 target price (down from $115.00) on shares of Netflix in a research note on Monday, July 13th. Finally, Bank of America reaffirmed a “buy” rating and issued a $125.00 target price on shares of Netflix in a report on Monday, May 18th. Four analysts have rated the stock with a Strong Buy rating, thirty-three have given a Buy rating, seventeen have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $103.19.

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.