Saba Capital Management L.P. Acquires New Stake in Netflix, Inc. $NFLX

Saba Capital Management L.P. acquired a new stake in shares of Netflix, Inc. (NASDAQ:NFLX) in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund acquired 32,403 shares of the Internet television network’s stock, valued at approximately $3,116,000.

Other hedge funds have also added to or reduced their stakes in the company. Imprint Wealth LLC bought a new position in Netflix in the 3rd quarter worth about $25,000. Wealth Watch Advisors INC purchased a new position in Netflix in the third quarter worth about $103,000. Strategic Wealth Investment Group LLC purchased a new position in Netflix in the second quarter worth about $121,000. Wiser Advisor Group LLC bought a new position in shares of Netflix in the third quarter worth approximately $114,000. Finally, Beaird Harris Wealth Management LLC lifted its stake in shares of 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 in the last quarter. 80.93% of the stock is owned by institutional investors.

Netflix Price Performance

Shares of Netflix stock opened at $70.40 on Tuesday. The stock has a 50 day moving average of $77.95 and a 200 day moving average of $85.87. 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 1.14 and a debt-to-equity ratio of 0.39. The firm has a market cap of $293.14 billion, a PE ratio of 22.16, a PEG ratio of 0.88 and a beta of 1.52.

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

Wall Street Analyst Weigh In

Several brokerages recently weighed in on NFLX. Stephens began coverage on shares of Netflix in a research report on Friday, July 17th. They set an “overweight” rating for the company. China Renaissance boosted their price target on Netflix from $90.00 to $100.00 and gave the stock a “hold” rating in a research note on Friday, April 17th. Wedbush lowered their price target on Netflix from $118.00 to $105.00 and set an “outperform” rating on the stock in a report on Friday, July 17th. Piper Sandler reiterated an “overweight” rating and issued a $85.00 price objective (down from $115.00) on shares of Netflix in a report on Friday, July 17th. Finally, DZ Bank reaffirmed a “buy” rating on shares of Netflix in a report on Friday, April 17th. Four equities research analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, seventeen have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $103.48.

Insider Buying and Selling at Netflix

In other Netflix news, Director Reed Hastings sold 386,700 shares of the firm’s stock in a transaction dated Monday, June 1st. The shares were sold at an average price of $85.97, for a total value of $33,244,599.00. Following the completion of the sale, the director owned 3,940 shares of the company’s stock, valued at $338,721.80. This trade represents a 98.99% 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. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Bradford L. Smith sold 35,990 shares of Netflix 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 owned 79,690 shares of the company’s stock, valued at $6,177,568.80. The trade was a 31.11% 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. Over the last 90 days, insiders sold 899,839 shares of company stock valued at $80,141,661. Corporate insiders own 1.24% of the company’s stock.

Key Headlines Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Options traders remain constructive on Netflix, with call activity indicating that some investors expect the recovery to continue following the stock’s earnings-driven decline. Call Traders Aren’t Giving Up on Netflix Stock
• Positive Sentiment: Trader Mike Khouw said Netflix’s fundamental story remains intact despite the selloff, suggesting the decline could create an attractive setup if the company continues expanding profitability and monetizing advertising. The bullish case is also supported by analysts who view the concerns weighing on the stock as excessive. Netflix woes setting up for a Hollywood ending, says trader Mike Khouw
• Positive Sentiment: Netflix’s expanding margins, free cash flow, and substantial share repurchases provide fundamental support. The company has shifted toward profitable growth rather than maximizing subscribers, while some investors believe the stock’s decline has created better long-term value. Netflix: Record Buybacks, Rising Margins, and a Slate in Need of a Refresh
• Neutral Sentiment: Kalshi sent Netflix a cease-and-desist letter and threatened litigation over the trailer for the documentary Instadocs: The Prediction Games, alleging defamation and fabricated documents. The dispute could create reputational or legal risk, although its direct financial impact is unclear. Kalshi threatens to sue Netflix over prediction markets documentary
• Negative Sentiment: The recent earnings reaction remains a major overhang: Netflix missed revenue expectations and issued weak guidance, sending the stock sharply lower before its recovery. Investors are also questioning whether a share price still more than 40% below its high adequately reflects intensifying competition from Disney, Paramount, YouTube, short-form video, and AI-generated content. Netflix stock overview
• Negative Sentiment: A former Netflix executive sued the company, claiming he was fired after disclosing medically prescribed ketamine treatment. The allegations could add legal and reputational pressure, though they have not been adjudicated. Former Netflix executive lawsuit

Netflix 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.