Netflix (NASDAQ:NFLX) Trading Down 2.3% – What’s Next?

Netflix, Inc. (NASDAQ:NFLX)’s stock price was down 2.3% during mid-day trading on Monday . The stock traded as low as $85.10 and last traded at $85.45. Approximately 39,870,797 shares were traded during mid-day trading, a decline of 15% from the average daily volume of 46,827,230 shares. The stock had previously closed at $87.49.

Key Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix expanded its NFL relationship by adding more live football games, reinforcing its push into selective live events without taking on the cost of full-season sports rights. Article Title
• Positive Sentiment: The company is also leaning into event-driven entertainment with its first live MMA fight and a global world tour tied to KPop Demon Hunters, which could deepen engagement and create new monetization opportunities. Article Title
• Positive Sentiment: Evercore ISI reiterated a Buy rating on Netflix, citing an undemanding valuation and an outlook for 20%–25% earnings growth, which supports the bullish long-term thesis. Article Title
• Positive Sentiment: Netflix highlighted a reported $325 billion economic impact and over 425,000 jobs supported by its productions, while reaffirming heavy content investment that underpins future growth and valuation. Article Title
• Neutral Sentiment: Media coverage continues to frame Netflix as a leader in the streaming war, with investors focusing on ad-tier momentum, pricing power, and the company’s large content slate rather than a single catalyst. Article Title
• Negative Sentiment: Texas Attorney General Ken Paxton sued Netflix over alleged unauthorized data collection on children and claims the platform is designed to be addictive, creating potential legal, regulatory, and reputational risk. Article Title

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on NFLX shares. Argus dropped their price target on shares of Netflix from $141.00 to $110.00 and set a “buy” rating for the company in a research report on Thursday, January 22nd. Daiwa Securities Group increased their price target on shares of Netflix from $97.00 to $102.00 and gave the stock an “outperform” rating in a research report on Thursday, April 23rd. UBS Group set a $104.00 price target on shares of Netflix in a research report on Tuesday, January 27th. BMO Capital Markets dropped their price target on shares of Netflix from $143.00 to $135.00 and set an “outperform” rating for the company in a research report on Wednesday, January 21st. Finally, Seaport Research Partners increased their price target on shares of Netflix from $115.00 to $119.00 and gave the stock a “buy” rating in a research report on Friday, April 17th. Two research analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating and fifteen have assigned a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $114.82.

Netflix Trading Down 0.1%

The company has a market cap of $368.70 billion, a price-to-earnings ratio of 28.28, a price-to-earnings-growth ratio of 1.11 and a beta of 1.55. The company’s fifty day moving average price is $95.19 and its two-hundred day moving average price is $95.12. The company has a quick ratio of 1.41, a current ratio of 1.41 and a debt-to-equity ratio of 0.43.

Netflix (NASDAQ:NFLX) last posted its quarterly earnings data on Thursday, April 16th. The Internet television network reported $1.23 earnings per share for the quarter, topping the consensus estimate of $0.76 by $0.47. The company had revenue of $12.25 billion during the quarter, compared to analyst estimates of $12.17 billion. Netflix had a net margin of 28.52% and a return on equity of 40.92%. The company’s revenue was up 16.2% on a year-over-year basis. During the same quarter last year, the business posted $6.61 earnings per share. Netflix has set its Q2 2026 guidance at 0.780-0.780 EPS. Research analysts expect that Netflix, Inc. will post 3.6 earnings per share for the current year.

Insiders Place Their Bets

In related news, CEO Gregory K. Peters sold 27,312 shares of the firm’s stock in a transaction that occurred on Thursday, May 7th. The shares were sold at an average price of $88.69, for a total value of $2,422,301.28. Following the completion of the sale, the chief executive officer owned 120,931 shares of the company’s stock, valued at $10,725,370.39. This trade represents a 18.42% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, Director Reed Hastings sold 407,550 shares of the firm’s stock in a transaction that occurred on Friday, May 1st. The shares were sold at an average price of $93.13, for a total transaction of $37,955,131.50. Following the completion of the sale, the director directly owned 3,940 shares of the company’s stock, valued at approximately $366,932.20. This represents a 99.04% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 1,422,769 shares of company stock valued at $135,144,073 over the last quarter. Company insiders own 1.37% of the company’s stock.

Institutional Trading of Netflix

Hedge funds and other institutional investors have recently modified their holdings of the stock. Imprint Wealth LLC bought a new position in Netflix in the third quarter valued at approximately $25,000. Bare Financial Services Inc boosted its position in shares of Netflix by 93.3% during the third quarter. Bare Financial Services Inc now owns 29 shares of the Internet television network’s stock worth $35,000 after purchasing an additional 14 shares in the last quarter. Horizon Financial Services LLC boosted its position in shares of Netflix by 480.0% during the third quarter. Horizon Financial Services LLC now owns 29 shares of the Internet television network’s stock worth $35,000 after purchasing an additional 24 shares in the last quarter. Redmont Wealth Advisors LLC bought a new position in shares of Netflix during the third quarter worth $36,000. Finally, Promus Capital LLC bought a new position in shares of Netflix during the third quarter worth $48,000. Institutional investors and hedge funds own 80.93% of the company’s stock.

Netflix Company Profile

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.