Harvey Capital Management Inc. Makes New $4.92 Million Investment in Netflix, Inc. $NFLX

Harvey Capital Management Inc. bought a new position in shares of Netflix, Inc. (NASDAQ:NFLX) during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund bought 68,865 shares of the Internet television network’s stock, valued at approximately $4,917,000.

Other institutional investors and hedge funds have also made changes to their positions in the company. Pacific Sun Financial Corp increased its position in Netflix by 1.6% during the third 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 boosted its holdings in shares of Netflix by 9.6% in the third quarter. Beaird Harris Wealth Management LLC now owns 114 shares of the Internet television network’s stock valued at $137,000 after acquiring an additional 10 shares during the period. Monograph Wealth Advisors LLC grew its position in shares of Netflix by 1.8% during the second 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 last quarter. Resources Management Corp CT ADV grew its position in shares of Netflix by 2.0% during the second 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 last quarter. Finally, Sompo Asset Management Co. Ltd. increased its holdings in shares of Netflix by 1.4% in the 2nd quarter. Sompo Asset Management Co. Ltd. now owns 1,500 shares of the Internet television network’s stock valued at $2,009,000 after acquiring an additional 20 shares during the period. 80.93% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several research firms recently commented on NFLX. CLSA started coverage on shares of Netflix in a research report on Monday, July 20th. They issued an “outperform” rating for the company. KeyCorp reissued an “overweight” rating and set a $92.00 price objective (down from $115.00) on shares of Netflix in a research report on Monday, July 13th. Citigroup reaffirmed a “market perform” rating on shares of Netflix in a report on Monday, August 17th. BMO Capital Markets reiterated an “outperform” rating on shares of Netflix in a research note on Friday, August 14th. Finally, Seaport Research Partners lowered Netflix from a “buy” rating to a “neutral” rating in a report on Monday, July 20th. Four equities research analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, seventeen have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $103.19.

Insider Buying and Selling

In other news, Director Richard N. Barton sold 2,160 shares of the firm’s stock in a transaction that occurred on Wednesday, August 5th. The stock was sold at an average price of $75.10, for a total value of $162,216.00. Following the completion of the sale, the director directly owned 246 shares of the company’s stock, valued at $18,474.60. This trade represents a 89.78% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Spencer Adam Neumann sold 9,248 shares of Netflix stock in a transaction that occurred on Monday, August 10th. The shares were sold at an average price of $75.79, for a total value of $700,905.92. Following the completion of the sale, the chief financial officer owned 73,787 shares in the company, valued at approximately $5,592,316.73. This trade represents a 11.14% decrease in their ownership of the stock. 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.

More Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix’s advertising strategy remains a potential earnings catalyst. The company is targeting roughly $3 billion in advertising revenue, while expanding ad-supported plans globally and incorporating live events to improve monetization. Netflix Stock Opinions on Ad Monetization and Market Resistance
• Positive Sentiment: Analyst support and a stronger content lineup are helping underpin the recovery narrative. Wolfe Research recently raised its price target to $95, while reports of a Netflix-related Grand Theft Auto VI preview and other upcoming releases could support engagement and subscriber monetization. Jim Cramer Says Netflix Worth the Risk as Wolfe Raises Price Target to $95
• Neutral Sentiment: The stock has historically attracted buyers near its current technical floor, and it has recovered more than 21% from a recent low. However, investors are watching whether the rebound can break through resistance and develop into a sustained advance. NFLX Has Bounced From This Price Before. Now What?
• Neutral Sentiment: Netflix continues to post solid fundamentals: latest quarterly revenue rose 13.4% year over year to $12.56 billion, while earnings modestly exceeded expectations. The slight revenue miss and debate over slowing growth, however, have limited investor enthusiasm.
• Negative Sentiment: Relative weakness is notable because Netflix declined even as the broader market advanced. Analysts increasingly view Alphabet as having an edge because of its faster-growing, diversified advertising business and lower valuation, raising concerns about Netflix’s multiple and future growth rate. NFLX vs. GOOGL: Which Streaming and Ad Stock Has an Edge Right Now?
• Negative Sentiment: Reported insider activity has been heavily skewed toward selling, with no insider purchases and multiple sales by executives and directors over the past six months. While such transactions do not necessarily signal deteriorating operations, they can weigh on sentiment during a technical pullback. Netflix Insider Trading and Market Resistance

Netflix Stock Performance

Shares of NFLX opened at $79.84 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 stock has a market capitalization of $332.45 billion, a P/E ratio of 25.13, a P/E/G ratio of 1.02 and a beta of 1.52. The company’s fifty day moving average is $74.56 and its two-hundred day moving average is $84.35. Netflix, Inc. has a 1 year low of $65.08 and a 1 year high of $126.71.

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

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.