Erste Group Bank Decreases Earnings Estimates for Netflix

Netflix, Inc. (NASDAQ:NFLX) – Analysts at Erste Group Bank dropped their FY2027 earnings estimates for Netflix in a report released on Monday, July 27th. Erste Group Bank analyst H. Engel now anticipates that the Internet television network will post earnings of $3.82 per share for the year, down from their previous forecast of $3.84. Erste Group Bank currently has a “Hold” rating on the stock. The consensus estimate for Netflix’s current full-year earnings is $3.59 per share.

NFLX has been the topic of a number of other reports. The Goldman Sachs Group downgraded shares of Netflix from an “underweight” rating to a “sell” rating in a research report on Monday, July 20th. Wolfe Research reissued an “outperform” rating and set a $107.00 price objective on shares of Netflix in a research note on Friday, April 17th. Moffett Nathanson decreased their target price on shares of Netflix from $120.00 to $115.00 and set a “buy” rating for the company in a research note on Wednesday, June 17th. Stephens began coverage on shares of Netflix in a report on Friday, July 17th. They set an “overweight” rating for the company. Finally, Robert W. Baird set a $90.00 price target on Netflix and gave the stock an “outperform” rating in a research report on Wednesday, July 22nd. Four analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, seventeen have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $103.48.

Netflix Stock Performance

Shares of Netflix stock opened at $72.39 on Wednesday. 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 capitalization of $301.43 billion, a P/E ratio of 22.79, a P/E/G ratio of 0.88 and a beta of 1.52. The business has a fifty day simple moving average of $77.61 and a two-hundred day simple moving average of $85.74. Netflix has a 12 month low of $65.08 and a 12 month high of $126.71.

Netflix (NASDAQ:NFLX) last issued its quarterly earnings data on Thursday, July 16th. The Internet television network reported $0.80 EPS for the quarter, topping the consensus estimate of $0.79 by $0.01. Netflix had a net margin of 28.22% and a return on equity of 40.02%. The business had revenue of $12.56 billion during the quarter, compared to analyst estimates of $12.58 billion. During the same period last year, the business posted $0.72 earnings per share. Netflix’s quarterly revenue was up 13.4% compared to the same quarter last year.

Insiders Place Their Bets

In other Netflix news, Director Reed Hastings sold 407,550 shares of the stock in a transaction on Friday, May 1st. The stock was sold at an average price of $93.13, for a total transaction of $37,955,131.50. Following the sale, the director directly owned 3,940 shares in the company, valued at approximately $366,932.20. This trade represents a 99.04% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through 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 on Wednesday, June 17th. The stock was sold at an average price of $77.52, for a total value of $2,789,944.80. Following the completion of the sale, the director directly owned 79,690 shares of the company’s stock, valued at approximately $6,177,568.80. The trade was a 31.11% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 899,839 shares of company stock worth $80,141,661 in the last three months. Corporate insiders own 1.24% of the company’s stock.

Hedge Funds Weigh In On Netflix

A number of hedge funds have recently bought and sold shares of the business. Checchi Capital Advisers LLC increased its stake in Netflix by 875.7% in the 4th quarter. Checchi Capital Advisers LLC now owns 31,143 shares of the Internet television network’s stock worth $2,920,000 after buying an additional 27,951 shares in the last quarter. BNC Wealth Management LLC grew its position in shares of Netflix by 991.3% during the fourth quarter. BNC Wealth Management LLC now owns 41,229 shares of the Internet television network’s stock worth $3,866,000 after purchasing an additional 37,451 shares in the last quarter. Crew Capital Management Ltd raised its stake in Netflix by 1,021.9% during the 4th quarter. Crew Capital Management Ltd now owns 9,031 shares of the Internet television network’s stock valued at $847,000 after purchasing an additional 8,226 shares during the period. Family Capital Trust Co lifted its holdings in Netflix by 20,869.5% in the 4th quarter. Family Capital Trust Co now owns 27,470 shares of the Internet television network’s stock worth $2,576,000 after purchasing an additional 27,339 shares in the last quarter. Finally, Vanguard Group Inc. boosted its stake in Netflix by 912.5% in the 4th quarter. Vanguard Group Inc. now owns 390,014,981 shares of the Internet television network’s stock worth $36,567,805,000 after purchasing an additional 351,493,659 shares during the period. Hedge funds and other institutional investors own 80.93% of the company’s stock.

Key Netflix News

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix has become the top viewing choice among UK audiences, edging out the BBC as streaming continues to gain share in Britain. The trend supports Netflix’s international engagement and advertising opportunities. Netflix, BBC Streaming Fastest Growing Media Category Report
• Positive Sentiment: Canada reportedly plans to scrap a levy affecting entertainment companies such as Netflix, potentially reducing regulatory costs and easing tensions with U.S. officials and Hollywood studios. Netflix Tax Will Soon Be Scrapped, Canada Hints in Court Filing
• Positive Sentiment: Several market commentators argue that the post-earnings selloff has created an attractive valuation, while highlighting Netflix’s buybacks, potential advertising growth and use of artificial intelligence to improve content and business efficiency. Netflix Is Betting Billions That AI Will Strengthen Its Business
• Neutral Sentiment: The rebound follows an earlier selloff in which disappointing third-quarter guidance overshadowed an otherwise solid second-quarter report. Netflix narrowly exceeded quarterly EPS expectations, but revenue was slightly below consensus, leaving investors focused on the pace of near-term growth. What’s Going On With the Uptick in Netflix Stock Today?
• Negative Sentiment: Erste Group Bank reduced its fiscal 2027 EPS forecast slightly, from $3.84 to $3.82, and maintained a “Hold” rating. The revision signals limited near-term earnings momentum, even though the estimate remains above the broader current-year consensus of $3.59. Netflix Analyst Estimate
• Negative Sentiment: Altimetry’s Rob Spivey argues Netflix still carries demanding profitability and growth assumptions despite falling more than 40% from its highs. Intensifying competition from Disney, Paramount Skydance, YouTube, short-form video and AI-generated content could limit the upside from advertising and bundling. 3 Stocks Standing Out and 2 Losing Momentum

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.