Netflix (NASDAQ:NFLX) Stock Price Down 4.3% Following Analyst Downgrade

Shares of Netflix, Inc. (NASDAQ:NFLX) fell 4.3% during trading on Friday after JPMorgan Chase & Co. lowered their price target on the stock from $1,010.00 to $1,000.00. JPMorgan Chase & Co. currently has an overweight rating on the stock. Netflix traded as low as $835.11 and last traded at $837.36. 1,584,633 shares were traded during mid-day trading, a decline of 37% from the average session volume of 2,516,036 shares. The stock had previously closed at $875.00.

A number of other equities analysts also recently issued reports on NFLX. Rosenblatt Securities raised their price target on Netflix from $635.00 to $680.00 and gave the stock a “neutral” rating in a research note on Friday, October 18th. BMO Capital Markets reaffirmed an “outperform” rating and set a $825.00 price target (up previously from $770.00) on shares of Netflix in a research report on Friday, October 18th. The Goldman Sachs Group raised their price objective on shares of Netflix from $750.00 to $850.00 and gave the stock a “neutral” rating in a report on Wednesday. TD Cowen upped their target price on shares of Netflix from $820.00 to $835.00 and gave the company a “buy” rating in a report on Friday, October 18th. Finally, Argus lifted their price target on shares of Netflix from $840.00 to $1,040.00 and gave the stock a “buy” rating in a research note on Monday. Two analysts have rated the stock with a sell rating, ten have issued a hold rating and twenty-four have issued a buy rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $824.00.

Insider Buying and Selling at Netflix

In other news, insider David A. Hyman sold 267 shares of the firm’s stock in a transaction that occurred on Tuesday, November 5th. The stock was sold at an average price of $765.67, for a total value of $204,433.89. Following the completion of the sale, the insider now directly owns 31,610 shares of the company’s stock, valued at $24,202,828.70. This trade represents a 0.84 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CEO Gregory K. Peters sold 4,186 shares of the stock in a transaction on Friday, October 18th. The shares were sold at an average price of $750.00, for a total transaction of $3,139,500.00. Following the completion of the sale, the chief executive officer now directly owns 13,090 shares in the company, valued at approximately $9,817,500. This represents a 24.23 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 156,742 shares of company stock worth $131,030,268 over the last 90 days. 1.76% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of NFLX. DigitalBridge Group Inc. grew its stake in Netflix by 35.5% in the 2nd quarter. DigitalBridge Group Inc. now owns 36,063 shares of the Internet television network’s stock worth $24,338,000 after acquiring an additional 9,451 shares in the last quarter. Nordea Investment Management AB increased its holdings in Netflix by 22.7% during the 4th quarter. Nordea Investment Management AB now owns 848,150 shares of the Internet television network’s stock worth $760,918,000 after purchasing an additional 156,958 shares during the period. Charles Schwab Investment Management Inc. raised its position in Netflix by 1.2% during the 3rd quarter. Charles Schwab Investment Management Inc. now owns 2,579,404 shares of the Internet television network’s stock valued at $1,829,494,000 after purchasing an additional 29,726 shares in the last quarter. Natixis Advisors LLC lifted its holdings in shares of Netflix by 2.0% in the 3rd quarter. Natixis Advisors LLC now owns 612,458 shares of the Internet television network’s stock worth $434,398,000 after buying an additional 11,921 shares during the period. Finally, M&T Bank Corp grew its position in shares of Netflix by 4.2% during the 3rd quarter. M&T Bank Corp now owns 41,946 shares of the Internet television network’s stock worth $29,751,000 after buying an additional 1,684 shares in the last quarter. Institutional investors own 80.93% of the company’s stock.

Netflix Stock Performance

The company has a quick ratio of 1.13, a current ratio of 1.13 and a debt-to-equity ratio of 0.62. The firm has a 50 day moving average price of $876.43 and a 200 day moving average price of $751.52. The stock has a market cap of $363.04 billion, a PE ratio of 48.06, a price-to-earnings-growth ratio of 1.77 and a beta of 1.27.

Netflix (NASDAQ:NFLX) last posted its quarterly earnings results on Thursday, October 17th. The Internet television network reported $5.40 EPS for the quarter, beating the consensus estimate of $5.09 by $0.31. Netflix had a net margin of 20.70% and a return on equity of 35.86%. The business had revenue of $9.82 billion during the quarter, compared to analyst estimates of $9.77 billion. As a group, research analysts forecast that Netflix, Inc. will post 19.78 earnings per share for the current year.

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.