Coronation Fund Managers Ltd. Buys New Stake in Netflix, Inc. $NFLX

Coronation Fund Managers Ltd. purchased a new position in Netflix, Inc. (NASDAQ:NFLX) during the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund purchased 145,897 shares of the Internet television network’s stock, valued at approximately $14,028,000.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Alpha Family Trust increased its stake in Netflix by 1.4% in the 1st quarter. Alpha Family Trust now owns 28,100 shares of the Internet television network’s stock worth $2,702,000 after acquiring an additional 400 shares during the last quarter. Bowie Capital Management LLC boosted its position in shares of Netflix by 17.9% during the 1st quarter. Bowie Capital Management LLC now owns 1,151,860 shares of the Internet television network’s stock valued at $110,751,000 after acquiring an additional 174,603 shares during the last quarter. Lavaca Capital LLC grew its holdings in shares of Netflix by 0.4% in the first quarter. Lavaca Capital LLC now owns 75,250 shares of the Internet television network’s stock valued at $7,235,000 after purchasing an additional 310 shares in the last quarter. Aureus Asset Management LLC grew its holdings in shares of Netflix by 21.5% in the first quarter. Aureus Asset Management LLC now owns 13,154 shares of the Internet television network’s stock valued at $1,265,000 after purchasing an additional 2,325 shares in the last quarter. Finally, Militia Capital Management LLC bought a new stake in Netflix in the first quarter worth $590,000. Institutional investors own 80.93% of the company’s stock.

Wall Street Analysts Forecast Growth

NFLX has been the subject of several research reports. Moffett Nathanson lowered their price objective on shares of Netflix from $120.00 to $115.00 and set a “buy” rating for the company in a research report on Wednesday, June 17th. Needham & Company LLC restated a “buy” rating on shares of Netflix in a research report on Friday, April 17th. Sanford C. Bernstein set a $95.00 price target on shares of Netflix and gave the company an “outperform” rating in a report on Friday, July 17th. Weiss Ratings lowered Netflix from a “hold (c+)” rating to a “hold (c)” rating in a research report on Friday, June 26th. Finally, Raymond James Financial reissued a “market perform” rating on shares of Netflix in a research note on Thursday, May 14th. Four equities research 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 given a Sell rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $103.48.

Insider Buying and Selling at Netflix

In other news, Director Reed Hastings sold 407,550 shares of the company’s stock in a transaction that occurred on Friday, May 1st. The stock was sold at an average price of $93.13, for a total transaction of $37,955,131.50. Following the transaction, the director owned 3,940 shares of the company’s stock, valued at approximately $366,932.20. This represents a 99.04% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Theodore A. Sarandos sold 27,312 shares of the stock in a transaction that occurred on Tuesday, May 5th. The stock was sold at an average price of $87.97, for a total value of $2,402,636.64. Following the completion of the sale, the chief executive officer owned 284,804 shares in the company, valued at approximately $25,054,207.88. The trade was a 8.75% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last ninety days, insiders have sold 899,839 shares of company stock valued at $80,141,661. 1.24% of the stock is owned by company insiders.

Netflix Price Performance

Netflix stock opened at $68.53 on Thursday. Netflix, Inc. has a 12-month low of $65.08 and a 12-month high of $126.71. The company has a current ratio of 1.14, a quick ratio of 1.41 and a debt-to-equity ratio of 0.39. The firm has a 50-day moving average price of $79.04 and a 200-day moving average price of $86.31. The firm has a market capitalization of $285.35 billion, a PE ratio of 21.57, a price-to-earnings-growth ratio of 0.86 and a beta of 1.52.

Netflix (NASDAQ:NFLX) last issued its quarterly earnings results on Thursday, July 16th. The Internet television network reported $0.80 EPS for the quarter, beating 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 for the quarter, compared to the consensus estimate of $12.58 billion. During the same period in the prior year, the firm posted $0.72 EPS. The firm’s revenue was up 13.4% compared to the same quarter last year. As a group, equities research analysts forecast that Netflix, Inc. will post 3.59 EPS for the current year.

Key Stories Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Negative Sentiment: Netflix’s Q2 results beat EPS expectations, but revenue came in slightly below consensus and management signaled growth could slow to around 12% in Q3, raising concerns about momentum. Netflix Has Plummeted Over the Past Year and Just Dropped Again on Earnings. At 22 Times Profits, Is It a Buy?
• Negative Sentiment: Investors are also reacting to a “valuation reset” and weaker transparency after Netflix said it will report key viewership metrics less often, making it harder to measure progress. Is Netflix Asking Investors To Trust A Story It Will No Longer Tell?
• Negative Sentiment: The selloff has been amplified by bearish calls and articles arguing that sentiment remains weak, with some analysts saying the stock still has room to fall despite the recent drop. ‘Scratching the Surface,’ Says Top Investor About Netflix Stock
• Negative Sentiment: Netflix also completed a $1 billion senior notes offering to refinance debt, which is financially prudent but may reinforce the market’s focus on capital structure rather than growth. Netflix Issues $1 Billion Senior Notes to Refinance Debt

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.