Netflix (NASDAQ:NFLX) Stock Price Down 1.9% – Here’s What Happened

Netflix, Inc. (NASDAQ:NFLX) shares dropped 1.9% during trading on Wednesday . The stock traded as low as $76.31 and last traded at $76.41. 25,215,890 shares were traded during mid-day trading, a decline of 41% from the average daily volume of 42,730,984 shares. The stock had previously closed at $77.90.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Evercore raised its Netflix price target to $110, citing improving subscriber trends in the United States and Japan. Customer surveys also pointed to stronger engagement and retention, supporting the view that Netflix can continue expanding beyond its core streaming business. Netflix Shares Jump After Evercore Raises Price Target To $110
• Positive Sentiment: Evercore identified live events and short-form video as potential new growth engines that could increase viewing frequency and reduce subscriber churn. Netflix’s heavy investment in content—approximately $9.9 billion during the first half of 2026—also reinforces its competitive positioning. Netflix Stock Jumps as Wall Street Sees a New Growth Engine
• Positive Sentiment: Bill Ackman’s Pershing Square rebuilt its Netflix position in the second quarter, while 14 of 22 prominent investors reportedly increased their stakes. The renewed institutional interest suggests some investors view the lower valuation as attractive. 22 Prominent Investors Hold Netflix Stock
• Neutral Sentiment: Recent investor letters offer conflicting assessments: Weitz highlighted Netflix’s potential new growth engine, while Parnassus discussed factors that weighed on the company during the second quarter. These views support a longer-term debate rather than a clear near-term catalyst.
• Negative Sentiment: Netflix has recently declined more than the broader market as macroeconomic friction and risk-off trading pressure growth-oriented technology and media stocks. Netflix Stock Edges Lower Tuesday: What’s Happening?
• Negative Sentiment: Netflix and Meta have been among the most downgraded stocks recently, even though analysts retain bullish consensus ratings. The downgrades signal concerns about valuation or the pace of future growth and may be contributing to profit-taking. MarketBeat’s Most Downgraded Stocks in Q3

Analyst Upgrades and Downgrades

Several brokerages recently weighed in on NFLX. Moffett Nathanson dropped their target price on Netflix from $115.00 to $100.00 and set a “buy” rating for the company in a report on Friday, July 17th. Evercore reaffirmed an “outperform” rating and issued a $110.00 price target (up from $100.00) on shares of Netflix in a research note on Monday. China Renaissance dropped their price objective on Netflix from $100.00 to $80.00 and set a “hold” rating for the company in a research note on Friday, July 17th. BMO Capital Markets restated an “outperform” rating on shares of Netflix in a report on Friday, August 14th. Finally, President Capital decreased their target price on shares of Netflix from $134.00 to $83.00 and set a “buy” rating on the stock in a research note on Monday, July 20th. Four research analysts have rated the stock with a Strong Buy rating, thirty-four have assigned a Buy rating, sixteen have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $96.53.

Netflix Price Performance

The company has a market cap of $318.17 billion, a PE ratio of 24.05, a PEG ratio of 1.13 and a beta of 1.53. The firm’s 50-day moving average is $75.83 and its 200-day moving average is $84.42. The company has a quick ratio of 1.14, a current ratio of 1.14 and a debt-to-equity ratio of 0.39.

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

Insider Buying and Selling at Netflix

In related news, CEO Gregory K. Peters sold 27,312 shares of Netflix stock in a transaction dated Thursday, August 6th. The shares were sold at an average price of $73.54, for a total transaction of $2,008,524.48. Following the completion of the transaction, the chief executive officer directly owned 120,931 shares of the company’s stock, valued at $8,893,265.74. This trade represents a 18.42% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Richard N. Barton sold 2,160 shares of the business’s stock in a transaction on Wednesday, August 5th. The shares were sold at an average price of $75.10, for a total transaction of $162,216.00. Following the sale, the director owned 246 shares of the company’s stock, valued at approximately $18,474.60. This represents a 89.78% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 179,045 shares of company stock valued at $13,132,194. Company insiders own 1.24% of the company’s stock.

Institutional Trading of Netflix

Large investors have recently modified their holdings of the company. Anchor Investment Management LLC increased its position in shares of Netflix by 1.9% during the second quarter. Anchor Investment Management LLC now owns 71,185 shares of the Internet television network’s stock worth $5,083,000 after purchasing an additional 1,315 shares in the last quarter. Smith Chas P & Associates PA Cpas lifted its holdings in Netflix by 34.3% in the 2nd quarter. Smith Chas P & Associates PA Cpas now owns 3,718 shares of the Internet television network’s stock valued at $265,000 after purchasing an additional 950 shares in the last quarter. Talon Private Wealth LLC acquired a new stake in Netflix during the 2nd quarter worth $207,000. Marathon Wealth Advisors LLC boosted its stake in Netflix by 0.4% during the 2nd quarter. Marathon Wealth Advisors LLC now owns 44,269 shares of the Internet television network’s stock worth $3,161,000 after purchasing an additional 163 shares during the last quarter. Finally, Van Hulzen Asset Management LLC grew its holdings in shares of Netflix by 31.6% during the second quarter. Van Hulzen Asset Management LLC now owns 17,175 shares of the Internet television network’s stock worth $1,226,000 after buying an additional 4,120 shares in the last quarter. Institutional investors own 80.93% of the company’s stock.

About Netflix

Netflix, Inc (NASDAQ:NFLX) is a global entertainment company that provides subscription-based streaming access to television series, films, documentaries and other video content. Its service includes Netflix-produced and licensed programming, with offerings that may vary by market. The company also provides an advertising-supported plan in selected countries and has expanded into mobile games and other interactive entertainment.

Netflix was founded in 1997 by Reed Hastings and Marc Randolph as a DVD-by-mail rental service in the United States.