TRU Independence Asset Management 2 LLC Takes $531,000 Position in Netflix, Inc. $NFLX

TRU Independence Asset Management 2 LLC bought a new stake in shares of Netflix, Inc. (NASDAQ:NFLX) in the second quarter, according to its most recent Form 13F filing with the SEC. The fund bought 7,437 shares of the Internet television network’s stock, valued at approximately $531,000. Netflix accounts for 0.3% of TRU Independence Asset Management 2 LLC’s investment portfolio, making the stock its 29th largest position.

A number of other institutional investors also recently added to or reduced their stakes in NFLX. Pacific Sun Financial Corp lifted its holdings in Netflix by 1.6% in the third quarter. Pacific Sun Financial Corp now owns 574 shares of the Internet television network’s stock worth $688,000 after purchasing an additional 9 shares during the period. Beaird Harris Wealth Management LLC grew its position in Netflix by 9.6% in the third quarter. Beaird Harris Wealth Management LLC now owns 114 shares of the Internet television network’s stock worth $137,000 after buying an additional 10 shares during the last quarter. Monograph Wealth Advisors LLC grew its holdings in shares of 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 last quarter. Resources Management Corp CT ADV increased its stake 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 purchasing an additional 16 shares in the last quarter. Finally, Sompo Asset Management Co. Ltd. increased its position in shares of Netflix by 1.4% in the second 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 in the last quarter. Institutional investors and hedge funds own 80.93% of the company’s stock.

Netflix News Roundup

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Bill Ackman’s Pershing Square rebuilt a major position. The investment firm’s purchase, despite previously taking a reported $400 million loss on Netflix, signals confidence in the company’s long-term growth, competitive position and leadership. The disclosure helped support a recent increase in NFLX shares. Netflix Moved, What Is Drawing Attention Now?
• Positive Sentiment: Analysts see advertising as a significant growth opportunity. Netflix is expanding its ad-supported business through live programming, new ad technology and additional tools for marketers. The company is targeting substantial future advertising revenue, which could diversify its sales base and support continued revenue expansion. NFLX’s Ad Business Focus
• Positive Sentiment: Valuation has become more attractive after the selloff. Netflix trades at roughly 21 times forward earnings in the cited analysis, a level viewed as more reasonable than during prior periods of comparable declines. A CNBC contributor also recommended Netflix, reinforcing the bullish case among some investors. Netflix Trades at 21 Times Forward Earnings
• Neutral Sentiment: Co-founder Reed Hastings discussed Netflix’s performance-focused culture. Hastings said companies should operate as teams rather than families, making workforce reductions easier when employees do not meet expectations. The comments revisit Netflix’s 2001 layoffs but do not represent a new operating announcement. Reed Hastings Says Companies Aren’t Families
• Negative Sentiment: YouTube is reportedly trying to prevent creators from signing with Netflix. YouTube is offering creators millions of dollars and warning that simultaneous Netflix deals could jeopardize marketing support and brand-campaign revenue. This could raise Netflix’s content-acquisition costs and make it harder to secure popular creator-led programming. YouTube Offers Creators Millions to Avoid Netflix Deals
• Negative Sentiment: Netflix faces a lawsuit from the band Demon Hunter. The group alleges that Netflix’s KPop Demon Hunters infringes its rights. The case creates legal and reputational risk, although the financial impact is currently unclear. Netflix Sued by Band Demon Hunter

Insider Activity

In other Netflix news, Director Bradford L. Smith sold 35,990 shares of the company’s stock in a transaction dated Wednesday, June 17th. The shares were sold at an average price of $77.52, for a total transaction of $2,789,944.80. Following the sale, the director directly owned 79,690 shares of the company’s stock, valued at approximately $6,177,568.80. This represents a 31.11% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Reed Hastings sold 386,700 shares of the firm’s stock in a transaction that occurred on Monday, June 1st. The stock was sold at an average price of $85.97, for a total transaction of $33,244,599.00. Following the sale, the director directly owned 3,940 shares of the company’s stock, valued at approximately $338,721.80. The trade was a 98.99% 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 sold a total of 600,295 shares of company stock worth $49,056,671 over the last ninety days. Corporate insiders own 1.24% of the company’s stock.

Analyst Upgrades and Downgrades

NFLX has been the topic of several recent analyst reports. Morgan Stanley reissued an “overweight” rating and set a $90.00 price target (down from $115.00) on shares of Netflix in a research report on Tuesday, July 14th. Moffett Nathanson cut their price target on shares of Netflix from $120.00 to $115.00 and set a “buy” rating on the stock in a report on Wednesday, June 17th. The Goldman Sachs Group lowered Netflix from an “underweight” rating to a “sell” rating in a report on Monday, July 20th. Phillip Securities raised shares of Netflix from a “moderate buy” rating to a “strong-buy” rating in a research report on Sunday, July 19th. Finally, Citigroup reissued a “market perform” rating on shares of Netflix in a research report on Monday. Four investment analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, seventeen have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $103.48.

Netflix Price Performance

Netflix stock opened at $80.14 on Friday. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.14 and a quick ratio of 1.14. The company has a market capitalization of $333.70 billion, a PE ratio of 25.23, a price-to-earnings-growth ratio of 1.01 and a beta of 1.52. Netflix, Inc. has a one year low of $65.08 and a one year high of $126.71. The business has a 50 day simple moving average of $74.40 and a 200 day simple moving average of $84.37.

Netflix (NASDAQ:NFLX) last announced its quarterly earnings results on Thursday, July 16th. The Internet television network reported $0.80 earnings per share for the quarter, beating analysts’ consensus estimates of $0.79 by $0.01. Netflix had a return on equity of 40.02% and a net margin of 28.22%.The firm had revenue of $12.56 billion for the quarter, compared to analysts’ expectations of $12.58 billion. During the same period in the prior year, the business posted $0.72 earnings per share. The business’s revenue was up 13.4% compared to the same quarter last year. On average, sell-side analysts forecast that Netflix, Inc. will post 3.59 EPS for the current fiscal year.

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.