Netflix (NASDAQ:NFLX) Trading Up 1.1% After Earnings Beat

Netflix, Inc. (NASDAQ:NFLX) was up 1.1% during mid-day trading on Tuesday following a stronger than expected earnings report. The company traded as high as $871.00 and last traded at $867.66. Approximately 1,874,615 shares changed hands during trading, a decline of 39% from the average daily volume of 3,077,705 shares. The stock had previously closed at $858.10.

The Internet television network reported $4.27 EPS for the quarter, topping analysts’ consensus estimates of $4.20 by $0.07. Netflix had a return on equity of 39.48% and a net margin of 22.34%. The firm had revenue of $10.25 billion for the quarter, compared to analysts’ expectations of $10,141,900 billion. During the same period in the previous year, the firm posted $2.11 EPS. The business’s revenue for the quarter was up 16.0% compared to the same quarter last year.

Analysts Set New Price Targets

NFLX has been the topic of several recent analyst reports. Piper Sandler reissued an “overweight” rating and set a $1,100.00 price objective (up from $950.00) on shares of Netflix in a research report on Wednesday. Citigroup raised their price target on shares of Netflix from $725.00 to $920.00 and gave the company a “neutral” rating in a research report on Thursday, December 5th. The Goldman Sachs Group upped their price objective on Netflix from $850.00 to $960.00 and gave the company a “neutral” rating in a research report on Wednesday. Barclays upgraded Netflix from an “underweight” rating to an “equal weight” rating and increased their target price for the company from $715.00 to $900.00 in a research note on Wednesday. Finally, Jefferies Financial Group boosted their price target on Netflix from $780.00 to $800.00 and gave the stock a “buy” rating in a research note on Friday, October 18th. Nine research analysts have rated the stock with a hold rating, twenty-six have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $996.94.

Insider Buying and Selling

In related news, Director Richard N. Barton sold 6,364 shares of the company’s stock in a transaction on Tuesday, January 7th. The shares were sold at an average price of $879.38, for a total transaction of $5,596,374.32. Following the completion of the transaction, the director now owns 246 shares in the company, valued at approximately $216,327.48. This represents a 96.28 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Anne M. Sweeney sold 589 shares of the firm’s stock in a transaction on 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. Over the last 90 days, insiders sold 152,198 shares of company stock worth $127,616,898. 1.76% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Netflix

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. RPg Family Wealth Advisory LLC bought a new position in shares of Netflix during the 3rd quarter valued at approximately $25,000. E Fund Management Hong Kong Co. Ltd. raised its stake in Netflix by 700.0% during the third quarter. E Fund Management Hong Kong Co. Ltd. now owns 48 shares of the Internet television network’s stock valued at $34,000 after purchasing an additional 42 shares in the last quarter. MidAtlantic Capital Management Inc. bought a new position in Netflix during the third quarter valued at $37,000. FSA Wealth Management LLC purchased a new position in shares of Netflix in the 3rd quarter worth $38,000. Finally, First Personal Financial Services purchased a new stake in shares of Netflix during the 3rd quarter valued at about $40,000. 80.93% of the stock is owned by institutional investors.

Netflix Trading Up 3.2 %

The stock has a market cap of $420.99 billion, a P/E ratio of 49.67, a P/E/G ratio of 1.41 and a beta of 1.27. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.13 and a current ratio of 1.13. The stock’s fifty day moving average is $889.11 and its 200 day moving average is $763.41.

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.