Netflix (NASDAQ:NFLX) Shares Down 2.3% – What’s Next?

Netflix, Inc. (NASDAQ:NFLX)’s stock price dropped 2.3% during trading on Tuesday . The stock traded as low as $1,027.20 and last traded at $1,034.48. Approximately 1,513,512 shares traded hands during mid-day trading, a decline of 63% from the average daily volume of 4,144,861 shares. The stock had previously closed at $1,058.60.

Wall Street Analysts Forecast Growth

NFLX has been the topic of several analyst reports. Robert W. Baird increased their target price on shares of Netflix from $875.00 to $1,200.00 and gave the stock an “outperform” rating in a report on Wednesday, January 22nd. JPMorgan Chase & Co. lifted their target price on Netflix from $1,000.00 to $1,150.00 and gave the stock an “overweight” rating in a report on Wednesday, January 22nd. UBS Group increased their price target on Netflix from $1,040.00 to $1,150.00 and gave the stock a “buy” rating in a report on Wednesday, January 22nd. Loop Capital boosted their price objective on Netflix from $925.00 to $1,000.00 and gave the company a “hold” rating in a research report on Wednesday, January 22nd. Finally, Arete Research raised Netflix to a “hold” rating in a research note on Thursday, January 23rd. Ten analysts have rated the stock with a hold rating, twenty-five have given a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat.com, Netflix presently has a consensus rating of “Moderate Buy” and an average price target of $1,021.70.

Netflix Stock Performance

The company has a debt-to-equity ratio of 0.56, a current ratio of 1.22 and a quick ratio of 1.22. The stock has a 50-day moving average price of $932.30 and a 200-day moving average price of $809.59. The company has a market capitalization of $443.10 billion, a price-to-earnings ratio of 52.24, a PEG ratio of 2.11 and a beta of 1.27.

Netflix (NASDAQ:NFLX) last posted its quarterly earnings results on Tuesday, January 21st. The Internet television network reported $4.27 earnings per share for the quarter, beating analysts’ consensus estimates of $4.20 by $0.07. Netflix had a return on equity of 38.32% and a net margin of 22.34%. The business had revenue of $10.25 billion for the quarter, compared to analysts’ expectations of $10.14 billion. During the same quarter in the prior year, the business earned $2.11 EPS. The firm’s revenue for the quarter was up 16.0% on a year-over-year basis. As a group, analysts forecast that Netflix, Inc. will post 24.58 earnings per share for the current year.

Insider Buying and Selling

In other news, Chairman Reed Hastings sold 48,363 shares of Netflix stock in a transaction on Monday, December 2nd. The stock was sold at an average price of $896.60, for a total transaction of $43,362,265.80. Following the completion of the sale, the chairman now owns 114 shares of the company’s stock, valued at approximately $102,212.40. This trade represents a 99.76 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Anne M. Sweeney sold 589 shares of the company’s stock in a transaction dated Wednesday, November 20th. The shares were sold at an average price of $880.00, for a total transaction of $518,320.00. The disclosure for this sale can be found here. In the last 90 days, insiders sold 303,809 shares of company stock valued at $290,374,484. Company insiders own 1.76% of the company’s stock.

Institutional Trading of Netflix

Institutional investors have recently bought and sold shares of the business. International Assets Investment Management LLC grew its position in Netflix by 116,620.0% during the third quarter. International Assets Investment Management LLC now owns 5,753,129 shares of the Internet television network’s stock worth $4,080,522,000 after buying an additional 5,748,200 shares in the last quarter. Norges Bank bought a new stake in shares of Netflix during the 4th quarter valued at $5,019,087,000. Proficio Capital Partners LLC lifted its position in shares of Netflix by 123,836.7% during the 4th quarter. Proficio Capital Partners LLC now owns 1,925,977 shares of the Internet television network’s stock valued at $1,716,662,000 after acquiring an additional 1,924,423 shares during the period. Arrowstreet Capital Limited Partnership grew its holdings in shares of Netflix by 59.3% during the 4th quarter. Arrowstreet Capital Limited Partnership now owns 2,301,098 shares of the Internet television network’s stock worth $2,051,016,000 after purchasing an additional 856,307 shares in the last quarter. Finally, Massachusetts Financial Services Co. MA increased its position in shares of Netflix by 318.9% in the fourth quarter. Massachusetts Financial Services Co. MA now owns 976,924 shares of the Internet television network’s stock worth $870,752,000 after purchasing an additional 743,724 shares during the period. Institutional investors own 80.93% of the company’s stock.

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.