Key Points
- Netflix director Bradford Smith sold 35,990 shares for about $2.79 million in a transaction executed under a pre-arranged Rule 10b5-1 plan. After the sale, he still held 79,690 shares, cutting his position by 31.11%.
- Netflix recently beat earnings expectations, reporting $1.23 EPS versus the $0.76 estimate and $12.25 billion in revenue, up 16.2% year over year. The company also reiterated Q2 2026 EPS guidance of 0.78.
- Despite the insider sale, analysts remain mixed but generally constructive: Netflix carries an average rating of Moderate Buy with a consensus price target of $114.26. The stock has also been under pressure, trading near its 52-week low and below both its 50-day and 200-day moving averages.
Netflix, Inc. (NASDAQ:NFLX - Get Free Report) Director Bradford Smith sold 35,990 shares of the business's stock in a transaction that occurred on Wednesday, June 17th. The shares were sold at an average price of $77.52, for a total value of $2,789,944.80. Following the transaction, the director owned 79,690 shares of the company's stock, valued at $6,177,568.80. This represents a 31.11% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
Netflix Price Performance
Shares of NASDAQ NFLX opened at $77.38 on Friday. Netflix, Inc. has a 1-year low of $75.01 and a 1-year high of $134.12. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.41 and a quick ratio of 1.41. The business's fifty day moving average price is $89.32 and its two-hundred day moving average price is $90.23. The firm has a market capitalization of $325.83 billion, a PE ratio of 24.99, a P/E/G ratio of 0.98 and a beta of 1.50.
Netflix (NASDAQ:NFLX - Get Free Report) last released its quarterly earnings results on Thursday, April 16th. The Internet television network reported $1.23 EPS for the quarter, topping the consensus estimate of $0.76 by $0.47. The business had revenue of $12.25 billion during the quarter, compared to analyst estimates of $12.17 billion. Netflix had a net margin of 28.52% and a return on equity of 40.92%. The company's quarterly revenue was up 16.2% on a year-over-year basis. During the same quarter in the prior year, the firm earned $6.61 earnings per share. Netflix has set its Q2 2026 guidance at 0.780-0.780 EPS. On average, research analysts expect that Netflix, Inc. will post 3.6 EPS for the current year.
Analyst Ratings Changes
Several equities analysts have recently issued reports on NFLX shares. Pivotal Research set a $96.00 price objective on Netflix and gave the stock a "hold" rating in a research report on Friday, April 17th. DZ Bank restated a "buy" rating on shares of Netflix in a research report on Friday, April 17th. The Goldman Sachs Group downgraded Netflix from a "neutral" rating to an "underweight" rating in a research note on Thursday. Raymond James Financial reiterated a "market perform" rating on shares of Netflix in a research report on Thursday, May 14th. Finally, Bank of America reissued a "buy" rating and issued a $125.00 price target on shares of Netflix in a research note on Monday, May 18th. Two analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, sixteen have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $114.26.
Get Our Latest Report on NFLX
Institutional Inflows and Outflows
Several institutional investors and hedge funds have recently made changes to their positions in NFLX. Vanguard Group Inc. boosted its stake in Netflix by 912.5% during the 4th quarter. Vanguard Group Inc. now owns 390,014,981 shares of the Internet television network's stock valued at $36,567,805,000 after purchasing an additional 351,493,659 shares in the last quarter. State Street Corp lifted its holdings in shares of Netflix by 927.6% in the fourth quarter. State Street Corp now owns 176,780,995 shares of the Internet television network's stock valued at $16,574,986,000 after buying an additional 159,578,053 shares during the period. Geode Capital Management LLC boosted its stake in Netflix by 892.0% during the fourth quarter. Geode Capital Management LLC now owns 99,598,678 shares of the Internet television network's stock valued at $9,305,336,000 after buying an additional 89,558,684 shares in the last quarter. Capital World Investors boosted its stake in Netflix by 859.1% during the fourth quarter. Capital World Investors now owns 89,341,444 shares of the Internet television network's stock valued at $8,376,656,000 after buying an additional 80,025,890 shares in the last quarter. Finally, Morgan Stanley grew its holdings in Netflix by 903.0% during the fourth quarter. Morgan Stanley now owns 85,349,973 shares of the Internet television network's stock worth $8,002,414,000 after acquiring an additional 76,840,318 shares during the period. 80.93% of the stock is currently owned by institutional investors.
Key Stories Impacting Netflix
Here are the key news stories impacting Netflix this week:
- Positive Sentiment: Investors are weighing Netflix’s ability to raise prices over time, with coverage highlighting conservative 2027 pricing assumptions and the company’s ad-supported growth as potential upside drivers. Stock Market Today, June 18: Netflix Edges Higher as Investors Weigh Pricing Upside Before Earnings
- Positive Sentiment: Some analysts and commentators say NFLX is trading at its cheapest valuation in years, suggesting the recent weakness may create a buying opportunity for long-term investors. NFLX Stock Trades At Its Cheapest Valuation In 4 Years: Shay Boloor Calls It Massive 'Opportunity'
- Neutral Sentiment: Netflix’s upcoming earnings report on July 16 is a major near-term event, and investors are waiting to see whether the company can justify its premium valuation and soft Q2 outlook. Citizens Analyst Remains Cautious on Netflix Stock (NFLX), Cites Lack of ‘Meaningful Near-Term Catalysts’
- Negative Sentiment: A director sold 35,990 shares under a pre-arranged trading plan, which may add to investor caution even though the sale was not tied to a sudden negative change in outlook. Director Bradford L. Smith transaction
- Negative Sentiment: Several headlines continue to emphasize weak momentum, including concerns about a recent stock slide, lack of near-term catalysts, and uncertainty around content and M&A strategy. Netflix's stock slide is getting worse
About Netflix
(
Get Free Report)
Netflix, Inc (NASDAQ: NFLX) is a global entertainment company that provides subscription-based streaming of films, television series, documentaries and other video content. Founded in 1997 by Reed Hastings and Marc Randolph and headquartered in Los Gatos, California, the company began as a DVD-by-mail rental service and introduced streaming video in 2007. Netflix later expanded into producing and distributing original programming, beginning notable original hits in the 2010s, and now operates a content production and distribution ecosystem alongside its licensing activity.
The company's primary product is its on-demand streaming service, which can be accessed on a wide range of internet-connected devices and delivered through a suite of apps and web platforms.
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