Netflix (NASDAQ:NFLX) Issues Earnings Results, Beats Expectations By $0.07 EPS

Netflix (NASDAQ:NFLX) posted its earnings results on Tuesday. The Internet television network reported $4.27 earnings per share for the quarter, beating the consensus estimate of $4.20 by $0.07, Briefing.com reports. Netflix had a net margin of 22.34% and a return on equity of 39.48%. The firm had revenue of $10.25 billion during the quarter, compared to the consensus estimate of $10,141,900 billion. During the same period last year, the firm posted $2.11 EPS. The firm’s revenue for the quarter was up 16.0% on a year-over-year basis.

Netflix Stock Up 9.7 %

NFLX stock opened at $953.99 on Thursday. The firm has a fifty day moving average price of $886.64 and a two-hundred day moving average price of $762.07. The company has a debt-to-equity ratio of 0.62, a current ratio of 1.13 and a quick ratio of 1.13. Netflix has a 1-year low of $481.40 and a 1-year high of $999.00. The firm has a market cap of $407.79 billion, a price-to-earnings ratio of 48.11, a PEG ratio of 1.41 and a beta of 1.27.

Insider Activity

In other Netflix news, Chairman Reed Hastings sold 41,601 shares of the company’s stock in a transaction dated Friday, November 1st. The shares were sold at an average price of $758.06, for a total value of $31,536,054.06. Following the completion of the sale, the chairman now directly owns 85 shares of the company’s stock, valued at approximately $64,435.10. This represents a 99.80 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Richard N. Barton sold 6,364 shares of the stock in a transaction that occurred on Tuesday, January 7th. The shares were sold at an average price of $879.38, for a total transaction of $5,596,374.32. Following the sale, the director now directly owns 246 shares of the company’s stock, valued at approximately $216,327.48. This represents a 96.28 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 152,198 shares of company stock valued at $127,616,898. Company insiders own 1.76% of the company’s stock.

Analyst Ratings Changes

Several research analysts recently issued reports on the company. Jefferies Financial Group lifted their price objective on Netflix from $780.00 to $800.00 and gave the stock a “buy” rating in a research report on Friday, October 18th. JPMorgan Chase & Co. increased their price objective on Netflix from $1,000.00 to $1,150.00 and gave the company an “overweight” rating in a research note on Wednesday. Needham & Company LLC lifted their price objective on Netflix from $800.00 to $1,150.00 and gave the stock a “buy” rating in a research report on Wednesday. Macquarie upped their target price on shares of Netflix from $965.00 to $1,150.00 and gave the company an “outperform” rating in a report on Wednesday. Finally, Argus raised their price target on shares of Netflix from $840.00 to $1,040.00 and gave the stock a “buy” rating in a research note on Monday, January 6th. Nine analysts have rated the stock with a hold rating, twenty-six have issued a buy rating and one has issued a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $993.82.

About Netflix

Netflix, Inc provides entertainment services. It offers TV series, documentaries, feature films, and games across various genres and languages. The company also provides members the ability to receive streaming content through a host of internet-connected devices, including TVs, digital video players, TV set-top boxes, and mobile devices.