Netflix Shares See Marginal Increase Following KeyCorp Analyst Upgrade

On a recent trading day, Netflix Inc. (NASDAQ:NFLX) experienced a slight upturn, with its shares gaining 0.2%. This increase came about after an analyst at KeyCorp elevated their price target for the streaming giant from $580.00 to $705.00, maintaining an 'overweight' rating on the stock. Throughout the trading session, shares of Netflix reached a high of $624.73 and ultimately settled at $621.72. The trading volume for the day was significantly lower than usual, with only 409,057 shares changing hands, a sharp drop from the average of 4,724,663 shares.

Analyst Insights on Netflix

Netflix has been on the radar of various analysts, with Pivotal Research raising their price target from $600.00 to $700.00 and affirming a 'buy' rating. Similarly, Barclays increased their price target to $475.00, giving Netflix an 'equal weight' rating. StockNews.com upgraded the company from 'hold' to 'buy', while Redburn Atlantic and TD Cowen set their price targets at $610.00 and $600.00 respectively, both recommending a 'buy'. In total, one analyst suggests selling, twelve advocate holding, and twenty-three endorse buying the streaming company's shares. The consensus amongst these analysts leans towards a 'Moderate Buy' with an average price target of $576.67.

Netflix Insider Transactions

In recent insider trading news, Netflix's CEO Gregory K. Peters sold 5,352 shares at an average price of $625.00, leading to a transaction amounting to $3,345,000.00. Following the sale, he now directly holds 13,090 shares in the company, valued at around $8,181,250. Netflix's Chairman Reed Hastings also sold 25,998 company shares, albeit at a lower average price of $470.51, totaling $12,232,318.98. All transactions were disclosed through legal filings with the SEC.

Institutional Interest in Netflix

A variety of institutional investors have recently adjusted their holdings in Netflix. Authentikos Wealth Advisory LLC and Spartan Planning & Wealth Management are among the new stakeholders, making modest investments in the third quarter. Carmel Capital Partners LLC notably increased their ownership by 290%, while VitalStone Financial LLC and Aspect Partners LLC also invested in the streaming service provider. Currently, 79.95% of Netflix's stock is owned by institutional investors and hedge funds.

The Bigger Picture

Netflix has a market capitalization of $271.64 billion and trades at a price-to-earnings ratio of 52.26, with a PEG ratio of 1.68 and a beta of 1.22. The stock's 50-day moving average is at $565.17, while its 200-day moving average is $480.37. The company also reported a quick ratio and a current ratio of 1.12 each, as well as a debt-to-equity ratio of 0.69.

In their latest earnings report released on January 23rd, Netflix posted $2.11 EPS, slightly missing the anticipated $2.20. However, the company enjoyed a net margin of 16.04% and demonstrated a 24.76% return on equity. Netflix's revenue reached $8.83 billion for the quarter, slightly surpassing analysts' expectations of $8.72 billion. Compared to the same quarter in the previous year, their revenue increased by 12.5%. Analysts predict Netflix will achieve an EPS of 17.01 for the current fiscal year.

About Netflix

Netflix, Inc. serves up a wide variety of entertainment, offering its subscribers TV series, documentaries, feature films, and games in numerous genres and languages. Members can stream this content across a range of internet-connected devices, including various types of TVs, digital video players, set-top boxes, and mobile devices.

Netflix, Stock, Trading