Netflix (NASDAQ:NFLX) Shares Down 2.4% Following Insider Selling

Netflix, Inc. (NASDAQ:NFLX)’s stock price was down 2.4% during trading on Thursday after an insider sold shares in the company. The company traded as low as $900.47 and last traded at $912.64. Approximately 1,983,587 shares were traded during trading, a decline of 45% from the average daily volume of 3,592,440 shares. The stock had previously closed at $935.52.

Specifically, Chairman Reed Hastings sold 25,360 shares of the company’s stock in a transaction that occurred on Tuesday, April 1st. The stock was sold at an average price of $921.15, for a total transaction of $23,360,364.00. Following the completion of the transaction, the chairman now owns 394 shares in the company, valued at $362,933.10. This represents a 98.47 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO Spencer Adam Neumann sold 2,601 shares of the business’s stock in a transaction on Tuesday, April 1st. The shares were sold at an average price of $921.72, for a total transaction of $2,397,393.72. Following the transaction, the chief financial officer now directly owns 3,691 shares in the company, valued at approximately $3,402,068.52. The trade was a 41.34 % decrease in their ownership of the stock. The disclosure for this sale can be found here.

Analyst Ratings Changes

Several equities research analysts have recently commented on NFLX shares. Bank of America lifted their target price on shares of Netflix from $1,000.00 to $1,175.00 and gave the company a “buy” rating in a research note on Wednesday, January 22nd. Pivotal Research upped their price target on Netflix from $1,100.00 to $1,250.00 and gave the stock a “buy” rating in a research note on Wednesday, January 22nd. Needham & Company LLC raised their price objective on Netflix from $800.00 to $1,150.00 and gave the company a “buy” rating in a research report on Wednesday, January 22nd. Argus lifted their target price on shares of Netflix from $840.00 to $1,040.00 and gave the company a “buy” rating in a report on Monday, January 6th. Finally, Loop Capital restated a “hold” rating on shares of Netflix in a research note on Monday, March 24th. Ten equities research analysts have rated the stock with a hold rating, twenty-seven have assigned a buy rating and one has issued 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 $1,023.74.

Netflix Price Performance

The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.22 and a current ratio of 1.22. The company has a market capitalization of $393.29 billion, a P/E ratio of 46.37, a P/E/G ratio of 2.12 and a beta of 1.38. The firm’s fifty day moving average is $974.03 and its 200 day moving average is $873.22.

Netflix (NASDAQ:NFLX) last released its earnings results on Tuesday, January 21st. The Internet television network reported $4.27 EPS 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 firm 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 firm posted $2.11 earnings per share. The company’s quarterly revenue was up 16.0% on a year-over-year basis. As a group, analysts predict that Netflix, Inc. will post 24.58 earnings per share for the current fiscal year.

Institutional Trading of Netflix

Several institutional investors and hedge funds have recently made changes to their positions in NFLX. Norges Bank purchased a new position in Netflix in the 4th quarter worth about $5,019,087,000. Proficio Capital Partners LLC lifted its stake in Netflix by 123,836.7% in the fourth quarter. Proficio Capital Partners LLC now owns 1,925,977 shares of the Internet television network’s stock worth $1,716,662,000 after acquiring an additional 1,924,423 shares during the period. Arrowstreet Capital Limited Partnership raised its holdings in shares of Netflix by 59.3% in the 4th quarter. Arrowstreet Capital Limited Partnership now owns 2,301,098 shares of the Internet television network’s stock valued at $2,051,016,000 after purchasing an additional 856,307 shares in the last quarter. Massachusetts Financial Services Co. MA raised its stake in 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 buying an additional 743,724 shares in the last quarter. Finally, Northern Trust Corp raised its position in shares of Netflix by 14.3% in the 4th quarter. Northern Trust Corp now owns 4,574,006 shares of the Internet television network’s stock worth $4,076,903,000 after acquiring an additional 570,674 shares in the last quarter. 80.93% of the stock is currently owned by institutional investors.

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.