Netflix (NASDAQ:NFLX) Upgraded by Phillip Securities to “Strong-Buy” Rating

Netflix (NASDAQ:NFLX) was upgraded by equities research analysts at Phillip Securities from a “moderate buy” rating to a “strong-buy” rating in a research report issued to clients and investors on Sunday,Zacks.com reports.

Several other brokerages have also recently commented on NFLX. Morgan Stanley reiterated an “overweight” rating and issued a $90.00 price objective (down from $115.00) on shares of Netflix in a research note on Tuesday, July 14th. Rosenblatt Securities set a $75.00 target price on shares of Netflix and gave the stock a “neutral” rating in a research report on Friday. UBS Group dropped their target price on shares of Netflix from $130.00 to $115.00 and set a “buy” rating for the company in a report on Friday. KeyCorp reiterated an “overweight” rating and set a $92.00 price target (down from $115.00) on shares of Netflix in a research report on Monday, July 13th. Finally, Citizens Jmp reissued a “market perform” rating on shares of Netflix in a research note on Wednesday, April 15th. Three investment 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 stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $104.21.

Netflix Trading Down 2.0%

Shares of NFLX stock opened at $67.60 on Friday. The business’s fifty day moving average price is $79.80 and its 200 day moving average price is $86.67. The firm has a market capitalization of $284.65 billion, a PE ratio of 21.28, a P/E/G ratio of 0.88 and a beta of 1.52. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.14 and a quick ratio of 1.41. Netflix has a 1-year low of $65.08 and a 1-year high of $126.71.

Netflix (NASDAQ:NFLX) last released its earnings results on Thursday, July 16th. The Internet television network reported $0.80 EPS for the quarter, beating analysts’ consensus estimates of $0.79 by $0.01. The company had revenue of $12.56 billion during the quarter, compared to the consensus estimate of $12.58 billion. Netflix had a return on equity of 40.02% and a net margin of 28.22%.Netflix’s quarterly revenue was up 13.4% compared to the same quarter last year. During the same quarter last year, the company earned $0.72 earnings per share. As a group, sell-side analysts forecast that Netflix will post 3.6 EPS for the current fiscal year.

Insider Transactions at Netflix

In other news, insider David A. Hyman sold 5,722 shares of the company’s stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $88.08, for a total transaction of $503,993.76. Following the completion of the transaction, the insider owned 316,100 shares of the company’s stock, valued at $27,842,088. This represents a 1.78% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Gregory K. Peters sold 27,312 shares of the stock in a transaction that occurred on Thursday, May 7th. The stock was sold at an average price of $88.69, for a total transaction of $2,422,301.28. Following the transaction, the chief executive officer directly owned 120,931 shares in the company, valued at approximately $10,725,370.39. This represents a 18.42% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 899,839 shares of company stock worth $80,141,661 in the last quarter. 1.24% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the company. Checchi Capital Advisers LLC lifted its position in shares of Netflix by 875.7% during the 4th quarter. Checchi Capital Advisers LLC now owns 31,143 shares of the Internet television network’s stock valued at $2,920,000 after buying an additional 27,951 shares in the last quarter. Contravisory Investment Management Inc. raised its position in Netflix by 837.2% during the fourth quarter. Contravisory Investment Management Inc. now owns 111,380 shares of the Internet television network’s stock worth $10,443,000 after acquiring an additional 99,496 shares during the period. BNC Wealth Management LLC raised its position in 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 acquiring an additional 37,451 shares during the period. Crew Capital Management Ltd lifted its holdings in Netflix by 1,021.9% during the fourth 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 in the last quarter. Finally, Family Capital Trust Co grew its position in shares of Netflix by 20,869.5% in the fourth quarter. Family Capital Trust Co now owns 27,470 shares of the Internet television network’s stock valued at $2,576,000 after purchasing an additional 27,339 shares during the period. 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: Phillip Securities upgraded Netflix to Buy and set a $110 target, arguing that engagement shows “no signs of slowing” despite the selloff. Netflix Stock Forecast Gets Hiked from Hold to Buy as Analyst Sees ‘No Signs of Slowing Engagement’
• Positive Sentiment: Several bullish commentaries say the post-earnings drop may have created a buy-the-dip opportunity, pointing to Netflix’s scale, ad growth, and possible upside if management executes. Netflix Crashes to a 52-Week Low After Earnings. Why This Is the Best Time to Buy NFLX Stock.
• Neutral Sentiment: Netflix is pushing employees toward “AI fluency,” which signals a broader effort to use artificial intelligence internally, but the near-term stock impact is unclear. Netflix’s top product exec says all employees should have an ‘aspiration for AI fluency’
• Negative Sentiment: Recent earnings coverage highlights a revenue miss, weaker Q3 outlook, and concerns that growth is slowing, which helped drive the stock to fresh lows. Netflix’s Post-Earnings Crash: Should You Buy the Stock While It’s Below $70?
• Negative Sentiment: Multiple analysts have cut price targets or turned cautious, reinforcing the market’s concern that Netflix’s growth narrative is weakening. Why Is Netflix Stock Falling Monday?

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.