Wedbush Reiterates Outperform Rating for Netflix (NASDAQ:NFLX)

Netflix (NASDAQ:NFLX)‘s stock had its “outperform” rating restated by analysts at Wedbush in a research note issued to investors on Friday,Benzinga reports. They currently have a $115.00 price objective on the Internet television network’s stock. Wedbush’s target price indicates a potential upside of 49.35% from the company’s previous close.

Several other equities research analysts also recently weighed in on the stock. Phillip Securities raised shares of Netflix from a “sell” rating to a “moderate buy” rating and increased their target price for the company from $95.00 to $100.00 in a research note on Monday, January 26th. UBS Group set a $104.00 price objective on shares of Netflix in a research report on Tuesday, January 27th. Cfra downgraded shares of Netflix from a “strong-buy” rating to a “hold” rating and set a $100.00 price objective for the company. in a research note on Monday, January 5th. KeyCorp set a $110.00 target price on Netflix and gave the company an “overweight” rating in a research note on Friday, January 16th. Finally, Robert W. Baird reduced their price target on Netflix from $150.00 to $120.00 and set an “outperform” rating on the stock in a report on Friday, January 23rd. One research analyst has rated the stock with a Strong Buy rating, thirty-three have given a Buy rating and sixteen have issued a Hold rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $116.08.

Netflix Trading Down 1.3%

Shares of NASDAQ NFLX opened at $77.00 on Friday. Netflix has a 1-year low of $75.23 and a 1-year high of $134.12. The company has a debt-to-equity ratio of 0.51, a current ratio of 1.19 and a quick ratio of 1.19. The business’s 50 day moving average is $87.24 and its two-hundred day moving average is $105.89. The stock has a market capitalization of $325.11 billion, a P/E ratio of 30.47, a PEG ratio of 1.39 and a beta of 1.71.

Netflix (NASDAQ:NFLX) last announced its earnings results on Tuesday, January 20th. The Internet television network reported $0.56 EPS for the quarter, topping analysts’ consensus estimates of $0.55 by $0.01. Netflix had a return on equity of 43.26% and a net margin of 24.30%.The firm had revenue of $12.05 billion during the quarter, compared to analysts’ expectations of $11.97 billion. During the same quarter in the previous year, the business earned $0.43 EPS. The company’s quarterly revenue was up 17.6% on a year-over-year basis. Netflix has set its Q1 2026 guidance at 0.760-0.760 EPS. As a group, research analysts expect that Netflix will post 24.58 EPS for the current year.

Insider Activity at Netflix

In other Netflix news, insider David A. Hyman sold 23,439 shares of Netflix stock in a transaction on Friday, January 16th. The stock was sold at an average price of $88.11, for a total transaction of $2,065,210.29. Following the completion of the sale, the insider directly owned 316,100 shares of the company’s stock, valued at $27,851,571. The trade was a 6.90% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Bradford L. Smith sold 31,790 shares of the company’s stock in a transaction on Thursday, January 15th. The stock was sold at an average price of $88.86, for a total value of $2,824,859.40. Following the completion of the sale, the director owned 79,690 shares of the company’s stock, valued at $7,081,253.40. This represents a 28.52% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 1,399,163 shares of company stock worth $129,899,103 over the last three months. Corporate insiders own 1.37% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in NFLX. Imprint Wealth LLC bought a new stake in Netflix during the 3rd quarter valued at $25,000. Legacy Investment Solutions LLC purchased a new stake in shares of Netflix during the 2nd quarter worth $31,000. Retirement Wealth Solutions LLC bought a new stake in Netflix during the third quarter valued at about $28,000. Rossby Financial LCC purchased a new position in Netflix in the second quarter valued at about $35,000. Finally, Steph & Co. raised its holdings in Netflix by 188.9% in the third quarter. Steph & Co. now owns 26 shares of the Internet television network’s stock worth $31,000 after purchasing an additional 17 shares in the last quarter. Hedge funds and other institutional investors own 80.93% of the company’s stock.

Key Headlines Impacting Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Hedge-fund manager Philippe Laffont trimmed Nvidia and added Netflix to his portfolio in Q4, a vote of confidence from an experienced investor that can help sentiment. Billionaire Philippe Laffont Sells Nvidia Stock and Buys a Stock-Split Stock Up 20,000% in 20 Years
• Positive Sentiment: Sanford C. Bernstein reaffirmed its “buy” rating on NFLX — analyst support could limit further downside and encourage buyers on dips. Sanford C. Bernstein Reaffirms Buy Rating for Netflix (NASDAQ:NFLX)
• Positive Sentiment: Several analysts and outlets argue Netflix’s “deal risk” may be overblown and that the stock is trading well below prior highs, framing NFLX as a buy-the-dip opportunity if fundamentals hold. Down Nearly 40% From Its All-Time High, Is Netflix Stock Too Cheap to Ignore?
• Neutral Sentiment: Netflix granted WBD a short waiver to let Paramount Skydance submit a “best and final” offer — this could speed resolution of the auction but also risks pushing the price higher if PSKY raises its bid. Warner Bros Seeks Paramount’s “Best and Final Offer,” Upside Ahead? (NFLX)
• Neutral Sentiment: Netflix management continues to publicly back the Warner Bros. deal and says it will accelerate growth if successful — a bullish argument but one that hinges on deal closing and regulatory approval. Sarandos Says Warner Bros. Purchase Will Accelerate Netflix Growth
• Negative Sentiment: Shares have slid heavily (near 52‑week lows) as the market prices deal uncertainty and potential dilution/financing risk; several articles note the stock is down significantly from its highs. Netflix Stock Slides As The Battle For Warner Bros Continues
• Negative Sentiment: High-profile pushback and possible regulatory scrutiny: director James Cameron sent a scathing letter to a U.S. lawmaker about the deal, signaling potential political/antitrust headwinds. Famed director James Cameron sends scathing letter to antitrust lawmaker over Netflix-WBD deal
• Negative Sentiment: Theater chains and industry voices express skepticism about Netflix’s theatrical commitments, which creates execution risk if Netflix plans to preserve theatrical windows post-acquisition. Netflix Acquiring Warner Bros. Would Put ‘More’ Movies In Theaters, Sarandos Says—Despite Earlier ‘Outdated’ Comments

About Netflix

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.