Netflix (NASDAQ:NFLX) Trading 2.5% Higher – Still a Buy?

Netflix, Inc. (NASDAQ:NFLX)’s stock price shot up 2.5% during trading on Tuesday . The company traded as high as $996.90 and last traded at $995.84. 1,539,365 shares traded hands during trading, a decline of 67% from the average session volume of 4,598,782 shares. The stock had previously closed at $971.99.

Analyst Ratings Changes

A number of analysts have commented on NFLX shares. Morgan Stanley lifted their target price on Netflix from $1,050.00 to $1,150.00 and gave the stock an “overweight” rating in a report on Wednesday, January 22nd. Pivotal Research boosted their target price on Netflix from $1,100.00 to $1,250.00 and gave the stock a “buy” rating in a research report on Wednesday, January 22nd. Barclays raised shares of Netflix from an “underweight” rating to an “equal weight” rating and raised their price target for the company from $715.00 to $900.00 in a report on Wednesday, January 22nd. Evercore ISI boosted their price objective on shares of Netflix from $950.00 to $1,100.00 and gave the company an “outperform” rating in a report on Wednesday, January 22nd. Finally, Bank of America raised their target price on shares of Netflix from $1,000.00 to $1,175.00 and gave the stock a “buy” rating in a report on Wednesday, January 22nd. Ten research analysts have rated the stock with a hold rating, twenty-six have given a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $1,016.78.

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 market capitalization of $414.37 billion, a price-to-earnings ratio of 48.90, a price-to-earnings-growth ratio of 2.12 and a beta of 1.38. The firm has a fifty day moving average of $967.54 and a 200 day moving average of $864.18.

Netflix (NASDAQ:NFLX) last issued 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 net margin of 22.34% and a return on equity of 38.32%. The firm had revenue of $10.25 billion for the quarter, compared to analyst estimates of $10.14 billion. During the same period last year, the company posted $2.11 EPS. Netflix’s quarterly revenue was up 16.0% compared to the same quarter last year. On average, sell-side analysts anticipate that Netflix, Inc. will post 24.58 earnings per share for the current fiscal year.

Insider Buying and Selling at Netflix

In other Netflix news, CFO Spencer Adam Neumann sold 685 shares of the business’s stock in a transaction dated Thursday, February 6th. The shares were sold at an average price of $1,009.57, for a total value of $691,555.45. Following the transaction, the chief financial officer now directly owns 3,691 shares in the company, valued at $3,726,322.87. The trade was a 15.65 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CEO Gregory K. Peters sold 102,228 shares of the firm’s stock in a transaction that occurred on Thursday, January 30th. The stock was sold at an average price of $980.74, for a total transaction of $100,259,088.72. Following the sale, the chief executive officer now owns 12,950 shares of the company’s stock, valued at $12,700,583. This represents a 88.76 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 288,583 shares of company stock worth $279,611,567. Insiders own 1.76% of the company’s stock.

Institutional Investors Weigh In On Netflix

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Brown Shipley& Co Ltd acquired a new stake in Netflix in the 4th quarter valued at approximately $27,000. Pathway Financial Advisers LLC raised its holdings in Netflix by 82.4% during the fourth quarter. Pathway Financial Advisers LLC now owns 31 shares of the Internet television network’s stock worth $27,000 after purchasing an additional 14 shares in the last quarter. RPg Family Wealth Advisory LLC purchased a new stake in shares of Netflix during the 3rd quarter worth approximately $25,000. Transce3nd LLC acquired a new position in shares of Netflix in the 4th quarter valued at $32,000. Finally, Newton One Investments LLC acquired a new stake in Netflix during the 4th quarter worth $34,000. Institutional investors and hedge funds own 80.93% of the company’s stock.

Netflix Company Profile

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.