Netflix (NASDAQ:NFLX) Trading Down 2.9% – Here’s Why

Netflix, Inc. (NASDAQ:NFLX)’s stock price was down 2.9% during mid-day trading on Friday . The stock traded as low as $97.74 and last traded at $100.24. Approximately 132,430,985 shares traded hands during trading, an increase of 229% from the average daily volume of 40,292,453 shares. The stock had previously closed at $103.22.

Wall Street Analyst Weigh In

NFLX has been the topic of a number of research reports. Moffett Nathanson reissued a “buy” rating on shares of Netflix in a research note on Wednesday, November 12th. Huber Research downgraded shares of Netflix to a “buy” rating in a report on Friday. Wells Fargo & Company dropped their price objective on shares of Netflix from $156.00 to $151.00 and set an “overweight” rating for the company in a research note on Wednesday, October 22nd. Zacks Research downgraded Netflix from a “strong-buy” rating to a “hold” rating in a research report on Monday, September 1st. Finally, Wedbush lowered their target price on Netflix from $150.00 to $140.00 and set an “outperform” rating on the stock in a report on Wednesday, October 22nd. Two analysts have rated the stock with a Strong Buy rating, thirty-one have given a Buy rating, twelve have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $134.54.

Netflix Price Performance

The company has a market capitalization of $424.75 billion, a price-to-earnings ratio of 41.87, a P/E/G ratio of 1.54 and a beta of 1.71. The company has a fifty day simple moving average of $113.27 and a two-hundred day simple moving average of $119.25. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.33 and a current ratio of 1.33.

Netflix (NASDAQ:NFLX) last announced its quarterly earnings data on Tuesday, October 21st. The Internet television network reported $5.87 EPS for the quarter, beating analysts’ consensus estimates of $0.69 by $5.18. Netflix had a return on equity of 41.86% and a net margin of 24.05%.The business had revenue of $11.32 billion during the quarter, compared to the consensus estimate of $11.52 billion. During the same quarter in the previous year, the business earned $0.54 earnings per share. The business’s revenue for the quarter was up 17.2% on a year-over-year basis. Netflix has set its Q4 2025 guidance at 5.450-5.450 EPS. As a group, research analysts anticipate that Netflix, Inc. will post 24.58 earnings per share for the current year.

Insider Activity at Netflix

In other news, Director Reed Hastings sold 421,760 shares of the stock in a transaction dated Wednesday, October 1st. The shares were sold at an average price of $117.19, for a total transaction of $49,426,897.92. Following the transaction, the director directly owned 3,940 shares in the company, valued at $461,736.48. This represents a 99.07% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Gregory K. Peters sold 20,270 shares of the business’s stock in a transaction that occurred 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 sale, the chief executive officer owned 127,810 shares of the company’s stock, valued at approximately $14,003,886.08. The trade was a 13.69% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 1,619,840 shares of company stock worth $181,648,613. Corporate insiders own 1.37% of the company’s stock.

Institutional Trading of Netflix

A number of institutional investors and hedge funds have recently made changes to their positions in NFLX. Optima Capital LLC increased its stake in Netflix by 3.5% during the second quarter. Optima Capital LLC now owns 239 shares of the Internet television network’s stock worth $320,000 after acquiring an additional 8 shares during the last quarter. Unified Investment Management grew its holdings in shares of Netflix by 1.7% during the 2nd quarter. Unified Investment Management now owns 474 shares of the Internet television network’s stock worth $635,000 after purchasing an additional 8 shares during the period. Plancorp LLC increased its position in Netflix by 0.6% during the 2nd quarter. Plancorp LLC now owns 1,278 shares of the Internet television network’s stock worth $1,711,000 after purchasing an additional 8 shares in the last quarter. Five Oceans Advisors increased its position in Netflix by 1.1% during the 2nd quarter. Five Oceans Advisors now owns 751 shares of the Internet television network’s stock worth $1,006,000 after purchasing an additional 8 shares in the last quarter. Finally, Old Port Advisors raised its holdings in Netflix by 1.3% in the second quarter. Old Port Advisors now owns 624 shares of the Internet television network’s stock valued at $836,000 after buying an additional 8 shares during the period. 80.93% of the stock is currently owned by institutional investors and hedge funds.

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.