Legato Capital Management LLC Has $6.43 Million Position in Netflix, Inc. $NFLX

Legato Capital Management LLC raised its stake in Netflix, Inc. (NASDAQ:NFLX) by 814.4% during the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 68,582 shares of the Internet television network’s stock after purchasing an additional 61,082 shares during the period. Netflix accounts for approximately 0.6% of Legato Capital Management LLC’s investment portfolio, making the stock its 23rd biggest position. Legato Capital Management LLC’s holdings in Netflix were worth $6,430,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also recently modified their holdings of the company. Imprint Wealth LLC acquired a new position in shares of Netflix in the third quarter valued at $25,000. Bare Financial Services Inc increased its holdings in shares of Netflix by 93.3% in the third quarter. Bare Financial Services Inc now owns 29 shares of the Internet television network’s stock valued at $35,000 after purchasing an additional 14 shares during the last quarter. Horizon Financial Services LLC increased its holdings in shares of Netflix by 480.0% in the third quarter. Horizon Financial Services LLC now owns 29 shares of the Internet television network’s stock valued at $35,000 after purchasing an additional 24 shares during the last quarter. Redmont Wealth Advisors LLC bought a new position in Netflix during the 3rd quarter worth $36,000. Finally, Promus Capital LLC bought a new position in Netflix during the 3rd quarter worth $48,000. 80.93% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix’s ad-supported tier has surpassed 250 million monthly viewers, reinforcing the company’s advertising growth story and supporting the bull case for future revenue expansion. Netflix ad-supported tier tops 250M monthly viewers as sports push deepens
• Positive Sentiment: Netflix is deepening its partnership with iHeartMedia by streaming “The Breakfast Club” live daily, a sign it is pushing further into live and podcast-style programming that could broaden engagement and ad inventory. iHeartMedia and Netflix Deepen Partnership with Daily Live Video Stream of The Breakfast Club
• Positive Sentiment: CNBC highlighted Netflix as a “final trade,” suggesting some short-term trading interest from market watchers. IBM, ServiceNow, Netflix And A Basic Materials Stock: CNBC’s ‘Final Trades’
• Neutral Sentiment: BetterInvesting questioned whether Netflix is fairly valued after its recent report, which keeps the stock in “show-me” territory even after strong earnings and revenue growth. BetterInvesting™ Magazine Update on Netflix (NASDAQ: NFLX) and ExlService Holdings Inc. (NASDAQ: EXLS)
• Neutral Sentiment: Analyst commentary noted Netflix as a possible suitor if IMAX is sold, but this is speculative and not a confirmed deal driver. IMAX Potential Suitors Include Netflix, Apple, Wedbush Says
• Negative Sentiment: Canada’s new streaming rules would require Netflix to contribute a larger share of domestic revenue to Canadian content, raising compliance costs for the business. Canada Raises Streaming Content Requirement to 15% for Netflix, Disney, Amazon
• Negative Sentiment: Separate reporting also flagged higher costs from the same Canadian policy change, adding a modest regulatory headwind for Netflix and other streamers. Netflix, Spotify to face higher costs as CRTC changes rules

Analyst Ratings Changes

Several research firms have weighed in on NFLX. TD Cowen reiterated a “buy” rating on shares of Netflix in a research report on Thursday, May 14th. China Renaissance increased their price objective on Netflix from $90.00 to $100.00 and gave the stock a “hold” rating in a research report on Friday, April 17th. Weiss Ratings upgraded Netflix from a “hold (c)” rating to a “hold (c+)” rating in a research report on Monday, May 4th. Needham & Company LLC reiterated a “buy” rating on shares of Netflix in a research report on Friday, April 17th. Finally, HSBC increased their price objective on Netflix from $106.00 to $114.00 and gave the stock a “buy” rating in a research report on Friday, April 10th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating and sixteen have issued a Hold rating to the company. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $114.82.

Netflix Stock Down 0.8%

Shares of NASDAQ NFLX opened at $88.60 on Friday. The company has a debt-to-equity ratio of 0.43, a quick ratio of 1.41 and a current ratio of 1.41. Netflix, Inc. has a 52 week low of $75.01 and a 52 week high of $134.12. The stock has a market capitalization of $373.08 billion, a P/E ratio of 28.62, a PEG ratio of 1.13 and a beta of 1.55. The stock’s fifty day moving average is $93.88 and its 200 day moving average is $94.06.

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

Insider Buying and Selling

In related news, CEO Gregory K. Peters sold 27,312 shares of the firm’s stock in a transaction on Thursday, May 7th. The stock was sold at an average price of $88.69, for a total value of $2,422,301.28. Following the transaction, the chief executive officer owned 120,931 shares in the company, valued at approximately $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 Securities & Exchange Commission, which is accessible through this link. Also, insider David A. Hyman sold 5,722 shares of the firm’s stock in a transaction on Tuesday, May 5th. The stock was sold at an average price of $88.08, for a total value of $503,993.76. Following the completion of the transaction, the insider owned 316,100 shares in the company, valued at $27,842,088. The trade was a 1.78% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 1,422,769 shares of company stock valued at $135,144,073 in the last ninety days. Insiders own 1.24% 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.