Netflix (NASDAQ:NFLX) Stock Price Down 3.4% – What’s Next?

Netflix, Inc. (NASDAQ:NFLX) traded down 3.4% during mid-day trading on Monday . The company traded as low as $75.01 and last traded at $76.02. 37,941,986 shares were traded during mid-day trading, a decline of 22% from the average session volume of 48,511,547 shares. The stock had previously closed at $78.67.

Trending Headlines about Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Wedbush reiterated an outperform rating on Netflix, giving some analyst support that may limit downside if the deal risk stabilizes. Netflix’s (NFLX) Outperform Rating Reiterated at Wedbush
• Positive Sentiment: CEO Ted Sarandos publicly defended the Warner deal as a “business deal, not a political deal,” which aims to reassure markets that management is focused on closing the transaction and handling political pressure. Netflix CEO Claps Back At President Trump
• Positive Sentiment: Several pieces argue there are identifiable catalysts that could trigger a rally (content wins, subscriber growth, or deal clarity), reminding investors that upside remains if Netflix clears regulatory/competitive hurdles. What Could Trigger Netflix Stock’s Next Rally?
• Neutral Sentiment: Reports say Netflix may pursue a “charm offensive,” including potential meetings with the White House, which could either ease political friction or merely prolong uncertainty depending on outcome. Netflix plans Trumpian charm offensive after Paramount ups bid
• Negative Sentiment: President Trump publicly demanded Netflix remove board member Susan Rice and warned of “consequences,” introducing an unprecedented political risk that could influence regulators or public sentiment. Trump demands Netflix fire Susan Rice as DOJ probes Warner deal
• Negative Sentiment: The DOJ has opened inquisitive antitrust scrutiny into the Netflix‑WBD tie-up (seeking producer/filmmaker input), increasing the risk the deal faces conditions, delays, or rejection. Regulatory outcomes are a key downside risk for the stock. DOJ probes Netflix’s WBD deal
• Negative Sentiment: Paramount Skydance submitted a higher bid for Warner Bros. Discovery, which could force Netflix to raise its offer (dilutive/expensive) or lose the deal — both outcomes pressure the stock. Paramount submits higher offer for Warner Bros Discovery

Analysts Set New Price Targets

A number of brokerages have weighed in on NFLX. Loop Capital set a $104.00 price objective on Netflix in a research note on Tuesday, January 27th. Piper Sandler reiterated a “positive” rating and set a $103.00 price target (down previously from $140.00) on shares of Netflix in a research note on Wednesday, January 21st. Citic Securities dropped their price objective on shares of Netflix from $109.00 to $95.00 and set a “hold” rating on the stock in a research note on Monday, January 26th. Benchmark reaffirmed a “hold” rating on shares of Netflix in a report on Tuesday, January 13th. Finally, President Capital upgraded shares of Netflix from a “neutral” rating to a “buy” rating and set a $130.00 target price for the company in a research note on Monday, November 3rd. One analyst has rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating and sixteen have given a Hold rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $116.08.

Netflix Stock Performance

The company has a market cap of $320.97 billion, a PE ratio of 30.08, a P/E/G ratio of 1.40 and a beta of 1.71. The company has a debt-to-equity ratio of 0.51, a quick ratio of 1.19 and a current ratio of 1.19. The stock’s 50-day simple moving average is $86.91 and its 200 day simple moving average is $105.62.

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

Insider Buying and Selling at Netflix

In other Netflix news, Director Bradford L. Smith sold 31,790 shares of the 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 transaction, the director owned 79,690 shares in the company, valued at approximately $7,081,253.40. This represents a 28.52% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider David A. Hyman sold 23,439 shares of the firm’s stock in a transaction on Friday, January 16th. The shares were sold at an average price of $88.11, for a total value 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 approximately $27,851,571. This trade represents a 6.90% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 1,399,163 shares of company stock worth $129,899,103. 1.37% of the stock is currently owned by company insiders.

Institutional Trading of Netflix

Several hedge funds and other institutional investors have recently made changes to their positions in NFLX. First Financial Corp IN grew its holdings in shares of Netflix by 900.0% in the 4th quarter. First Financial Corp IN now owns 270 shares of the Internet television network’s stock worth $25,000 after acquiring an additional 243 shares during the period. DiNuzzo Private Wealth Inc. boosted its position in Netflix by 885.2% during the fourth quarter. DiNuzzo Private Wealth Inc. now owns 266 shares of the Internet television network’s stock worth $25,000 after purchasing an additional 239 shares in the last quarter. Turning Point Benefit Group Inc. boosted its position in 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 purchasing an additional 268 shares in the last quarter. Imprint Wealth LLC acquired a new stake in Netflix in the third quarter valued at $25,000. Finally, Cornerstone Financial Management LLC purchased a new position in shares of Netflix in the fourth quarter valued at $26,000. Institutional investors and hedge funds own 80.93% of the company’s stock.

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.