Netflix (NASDAQ:NFLX) Stock Gets Price Target Cut from Guggenheim

Netflix (NASDAQ:NFLX) had its price target lowered by Guggenheim from $80.00 to $78.00 in a research report released on Wednesday, Marketbeat reports. The firm currently has a buy rating on the Internet television network’s stock.

Several other brokerages have also commented on NFLX. The Goldman Sachs Group set a $84.00 price objective on Netflix in a report on Wednesday. Bank of America dropped their target price on Netflix from $105.00 to $90.00 and set a “buy” rating on the stock in a research report on Wednesday. TD Cowen restated a “buy” rating and set a $100.00 price target on shares of Netflix in a research note on Monday, October 5th. Robert W. Baird set a $90.00 price target on Netflix and gave the company an “outperform” rating in a research note on Wednesday, July 22nd. Finally, DZ Bank reaffirmed a “buy” rating on shares of Netflix in a research report on Monday, July 20th. Three research analysts have rated the stock with a Strong Buy rating, thirty-four have assigned a Buy rating, seventeen have given a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $89.59.

Netflix Trading Down 1.8%

Shares of NFLX stock opened at $65.85 on Wednesday. Netflix has a 12-month low of $64.10 and a 12-month high of $116.73. The company has a current ratio of 1.07, a quick ratio of 1.14 and a debt-to-equity ratio of 0.43. The firm’s 50 day moving average is $74.27 and its 200 day moving average is $79.64. The stock has a market capitalization of $270.40 billion, a P/E ratio of 22.88, a P/E/G ratio of 0.98 and a beta of 1.62.

Netflix (NASDAQ:NFLX) last announced its earnings results on Tuesday, October 20th. The Internet television network reported $0.87 earnings per share for the quarter, beating analysts’ consensus estimates of $0.82 by $0.05. The business had revenue of $12.87 billion during the quarter, compared to analyst estimates of $12.87 billion. Netflix had a net margin of 29.69% and a return on equity of 42.69%. The company’s quarterly revenue was up 11.9% compared to the same quarter last year. During the same period in the previous year, the business earned $0.59 EPS. Research analysts expect that Netflix will post 3.59 earnings per share for the current year.

Insider Transactions at Netflix

In other Netflix news, CFO Spencer Neumann sold 9,248 shares of the firm’s stock in a transaction dated 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 of the company’s stock, valued at $5,592,316.73. This trade represents a 11.14% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider David A. Hyman sold 5,723 shares of Netflix stock in a transaction on Tuesday, August 4th. The stock was sold at an average price of $72.85, for a total value of $416,920.55. Following the sale, the insider owned 316,100 shares of the company’s stock, valued at approximately $23,027,885. This trade represents a 1.78% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 179,045 shares of company stock valued at $13,132,194 in the last 90 days. Company insiders own 1.24% of the company’s stock.

Institutional Investors Weigh In On Netflix

Large investors have recently modified their holdings of the business. Financial Management Professionals Inc. boosted its holdings in shares of Netflix by 4.6% in the 3rd quarter. Financial Management Professionals Inc. now owns 4,663 shares of the Internet television network’s stock valued at $324,000 after buying an additional 205 shares in the last quarter. Samalin Investment Counsel LLC grew its holdings in shares of Netflix by 5.3% during the third quarter. Samalin Investment Counsel LLC now owns 7,140 shares of the Internet television network’s stock valued at $497,000 after buying an additional 360 shares during the last quarter. Orange Investment Advisors Inc. grew its stake in Netflix by 24.6% during the 3rd quarter. Orange Investment Advisors Inc. now owns 57,081 shares of the Internet television network’s stock valued at $3,972,000 after purchasing an additional 11,277 shares during the last quarter. Argyle Capital Partners LLC increased its holdings in Netflix by 13.8% in the 3rd quarter. Argyle Capital Partners LLC now owns 26,293 shares of the Internet television network’s stock worth $1,829,000 after buying an additional 3,182 shares during the period. Finally, Valley National Advisers Inc. increased its stake in shares of Netflix by 64.6% in the third quarter. Valley National Advisers Inc. now owns 2,364 shares of the Internet television network’s stock worth $164,000 after acquiring an additional 928 shares during the period. Institutional investors own 80.93% of the company’s stock.

More Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix reported third-quarter EPS of $0.87, ahead of the $0.82 consensus estimate, while revenue reached $12.87 billion. Operating margin rose to 34.6%, supporting the argument that the core streaming business remains highly profitable. Can Netflix Stock Hold Margin Gains as Content Spending Keeps Growing?
• Positive Sentiment: Longer-term bulls argue that Netflix’s profitability, systematic share repurchases, local-language content, and continued subscriber retention could create meaningful upside after the sell-off. Bill Ackman has also returned to the stock and expects annualized returns above 20%. Bill Ackman Lost $400 Million on Netflix
• Positive Sentiment: Ark Invest’s Cathie Wood bought 18,000 Netflix shares, signaling that some growth-oriented investors view the two-year-low valuation as an opportunity. Cathie Wood Just Bought Netflix Stock
• Neutral Sentiment: Netflix is reportedly planning layoffs at its Bay Area headquarters. The cuts could reduce costs, but they also raise questions about operating priorities and employee productivity. Netflix Stock Slips as Layoffs Hit Bay Area Headquarters
• Neutral Sentiment: Paramount Skydance’s completed merger highlights intensifying competition for scale and content across the entertainment industry, potentially increasing pressure on Netflix to sustain its content advantage. Could Skydance Be Bigger Than Disney?
• Negative Sentiment: Management reduced its 2026 advertising-revenue outlook to approximately $2.7 billion from about $3 billion. Softer ad growth undermines a major part of Netflix’s expansion thesis and overshadowed the earnings beat. Netflix Cut Its 2026 Ad Forecast by $300 Million
• Negative Sentiment: Disappointing fourth-quarter revenue guidance and decelerating growth have led investors to discount the strong quarterly results. Netflix’s reduced 2026 free-cash-flow outlook is another concern as content spending continues to rise. Netflix Has Lower FCF Guidance
• Negative Sentiment: Several analysts lowered their price targets or ratings after the report. One fair-value estimate fell from $92.62 to $86.24, while UBS, Guggenheim, and Needham adopted more cautious views. Netflix Stock Fair Value Falls After Cautious Q3 Analyst Revisions
• Negative Sentiment: Reports indicate viewing time is declining even though subscribers are staying, suggesting weaker engagement. YouTube and lower-cost streaming alternatives may also be contributing to slower revenue growth. Netflix Is Losing Viewers

Netflix Company Profile

Netflix, Inc (NASDAQ:NFLX) is a global entertainment company that provides subscription-based streaming services. Its platform offers a broad selection of television series, films, documentaries, stand-up specials and other programming, including content produced by Netflix and licensed from third-party studios and creators.

The company also develops and distributes original productions under the Netflix brand and has expanded into additional entertainment offerings, including mobile and cloud-based games in select markets and live programming.