West Family Investments Inc. Takes Position in Netflix, Inc. $NFLX

West Family Investments Inc. purchased a new position in shares of Netflix, Inc. (NASDAQ:NFLX) in the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 6,260 shares of the Internet television network’s stock, valued at approximately $447,000.

Other hedge funds have also recently modified their holdings of the company. Turning Point Benefit Group Inc. increased its stake in shares of Netflix by 13,400.0% during the fourth quarter. Turning Point Benefit Group Inc. now owns 270 shares of the Internet television network’s stock worth $25,000 after acquiring an additional 268 shares during the period. Imprint Wealth LLC acquired a new stake in Netflix in the third quarter valued at about $25,000. Cornerstone Financial Management LLC purchased a new stake in Netflix in the 4th quarter valued at approximately $26,000. Atlas Capital Advisors Inc. purchased a new stake in Netflix in the 4th quarter valued at approximately $26,000. Finally, Jessup Wealth Management Inc acquired a new position in Netflix during the 4th quarter worth approximately $27,000. 80.93% of the stock is owned by institutional investors and hedge funds.

Netflix Price Performance

NFLX stock opened at $80.14 on Friday. The firm has a 50 day moving average of $74.40 and a 200-day moving average of $84.37. The company has a market cap of $333.70 billion, a price-to-earnings ratio of 25.23, a PEG ratio of 1.01 and a beta of 1.52. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 0.39. Netflix, Inc. has a 12-month low of $65.08 and a 12-month high of $126.71.

Netflix (NASDAQ:NFLX) last released its quarterly earnings results on Thursday, July 16th. The Internet television network reported $0.80 earnings per share for the quarter, topping analysts’ consensus estimates 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 quarter in the prior year, the firm posted $0.72 EPS. The company’s revenue was up 13.4% compared to the same quarter last year. As a group, equities analysts expect that Netflix, Inc. will post 3.59 EPS for the current fiscal year.

Analyst Ratings Changes

A number of equities analysts have recently issued reports on NFLX shares. BMO Capital Markets reissued an “outperform” rating on shares of Netflix in a research note on Friday, August 14th. Phillip Securities upgraded Netflix from a “moderate buy” rating to a “strong-buy” rating in a research note on Sunday, July 19th. Oppenheimer set a $85.00 price objective on Netflix and gave the stock an “outperform” rating in a report on Friday, July 17th. Moffett Nathanson cut their price objective on Netflix from $120.00 to $115.00 and set a “buy” rating for the company in a research report on Wednesday, June 17th. Finally, TD Cowen reduced their target price on Netflix from $112.00 to $100.00 and set a “buy” rating for the company in a report on Friday, July 17th. Four analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, seventeen have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $103.48.

Netflix News Summary

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Bill Ackman’s Pershing Square rebuilt a major position. The investment firm’s purchase, despite previously taking a reported $400 million loss on Netflix, signals confidence in the company’s long-term growth, competitive position and leadership. The disclosure helped support a recent increase in NFLX shares. Netflix Moved, What Is Drawing Attention Now?
• Positive Sentiment: Analysts see advertising as a significant growth opportunity. Netflix is expanding its ad-supported business through live programming, new ad technology and additional tools for marketers. The company is targeting substantial future advertising revenue, which could diversify its sales base and support continued revenue expansion. NFLX’s Ad Business Focus
• Positive Sentiment: Valuation has become more attractive after the selloff. Netflix trades at roughly 21 times forward earnings in the cited analysis, a level viewed as more reasonable than during prior periods of comparable declines. A CNBC contributor also recommended Netflix, reinforcing the bullish case among some investors. Netflix Trades at 21 Times Forward Earnings
• Neutral Sentiment: Co-founder Reed Hastings discussed Netflix’s performance-focused culture. Hastings said companies should operate as teams rather than families, making workforce reductions easier when employees do not meet expectations. The comments revisit Netflix’s 2001 layoffs but do not represent a new operating announcement. Reed Hastings Says Companies Aren’t Families
• Negative Sentiment: YouTube is reportedly trying to prevent creators from signing with Netflix. YouTube is offering creators millions of dollars and warning that simultaneous Netflix deals could jeopardize marketing support and brand-campaign revenue. This could raise Netflix’s content-acquisition costs and make it harder to secure popular creator-led programming. YouTube Offers Creators Millions to Avoid Netflix Deals
• Negative Sentiment: Netflix faces a lawsuit from the band Demon Hunter. The group alleges that Netflix’s KPop Demon Hunters infringes its rights. The case creates legal and reputational risk, although the financial impact is currently unclear. Netflix Sued by Band Demon Hunter

Insider Activity at Netflix

In other news, CEO Gregory K. Peters sold 27,312 shares of Netflix stock in a transaction on Thursday, August 6th. The stock was 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 owned 120,931 shares of the company’s stock, valued at $8,893,265.74. The trade was a 18.42% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, Director Richard N. Barton sold 2,160 shares of Netflix stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $75.10, for a total value of $162,216.00. Following the transaction, the director directly owned 246 shares of the company’s stock, valued at $18,474.60. This trade represents a 89.78% 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. Insiders sold 600,295 shares of company stock valued at $49,056,671 in the last 90 days. 1.24% of the stock is owned by corporate insiders.

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.