Netflix (NASDAQ:NFLX) Reaches New 52-Week High After Earnings Beat

Netflix, Inc. (NASDAQ:NFLX) hit a new 52-week high during mid-day trading on Wednesday following a stronger than expected earnings report. The stock traded as high as $997.00 and last traded at $984.48, with a volume of 574670 shares. The stock had previously closed at $869.68.

The Internet television network reported $4.27 EPS for the quarter, beating the consensus estimate of $4.20 by $0.07. Netflix had a net margin of 20.70% and a return on equity of 35.86%. The firm had revenue of $10.25 billion for the quarter, compared to analyst estimates of $10,141,900 billion. During the same quarter last year, the firm posted $2.11 earnings per share. Netflix’s revenue for the quarter was up 16.0% compared to the same quarter last year.

Wall Street Analysts Forecast Growth

A number of research analysts have commented on NFLX shares. Wedbush restated an “outperform” rating and set a $950.00 price objective (up previously from $800.00) on shares of Netflix in a research note on Monday, November 18th. Wells Fargo & Company lifted their price objective on shares of Netflix from $758.00 to $797.00 and gave the company an “overweight” rating in a research note on Friday, October 18th. The Goldman Sachs Group upped their target price on shares of Netflix from $750.00 to $850.00 and gave the company a “neutral” rating in a research note on Wednesday, January 8th. JPMorgan Chase & Co. boosted their price objective on shares of Netflix from $1,000.00 to $1,150.00 and gave the stock an “overweight” rating in a report on Wednesday. Finally, Loop Capital lifted their target price on Netflix from $925.00 to $1,000.00 and gave the stock a “hold” rating in a research report on Wednesday. One equities research analyst has rated the stock with a sell rating, eight have assigned a hold rating, twenty-six have issued a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, Netflix currently has an average rating of “Moderate Buy” and an average target price of $972.00.

Insiders Place Their Bets

In other news, Director Anne M. Sweeney sold 589 shares of the business’s stock in a transaction on Wednesday, November 20th. The stock was sold at an average price of $880.00, for a total transaction of $518,320.00. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Richard N. Barton sold 5,698 shares of the stock in a transaction on Friday, October 25th. The shares were sold at an average price of $756.00, for a total value of $4,307,688.00. Following the completion of the transaction, the director now owns 246 shares of the company’s stock, valued at $185,976. This trade represents a 95.86 % decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have 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

Several institutional investors and hedge funds have recently added to or reduced their stakes in NFLX. Stonehage Fleming Financial Services Holdings Ltd grew its stake in Netflix by 74,206.2% during the 4th quarter. Stonehage Fleming Financial Services Holdings Ltd now owns 167,189 shares of the Internet television network’s stock valued at $149,019,000 after acquiring an additional 166,964 shares in the last quarter. E Fund Management Hong Kong Co. Ltd. grew its position in Netflix by 285.4% during the fourth quarter. E Fund Management Hong Kong Co. Ltd. now owns 185 shares of the Internet television network’s stock valued at $165,000 after purchasing an additional 137 shares in the last quarter. M3 Advisory Group LLC increased its stake in Netflix by 2.0% in the 4th quarter. M3 Advisory Group LLC now owns 753 shares of the Internet television network’s stock valued at $671,000 after buying an additional 15 shares during the period. Clarendon Private LLC purchased a new stake in Netflix in the 4th quarter worth approximately $664,000. Finally, Marshall Financial Group LLC boosted its stake in shares of Netflix by 4.5% during the 4th quarter. Marshall Financial Group LLC now owns 3,436 shares of the Internet television network’s stock valued at $3,063,000 after buying an additional 147 shares during the period. 80.93% of the stock is currently owned by hedge funds and other institutional investors.

Netflix Stock Performance

The company has a current ratio of 1.13, a quick ratio of 1.13 and a debt-to-equity ratio of 0.62. The firm has a market capitalization of $417.30 billion, a PE ratio of 55.25, a PEG ratio of 1.40 and a beta of 1.27. The firm’s fifty day moving average price is $886.64 and its 200 day moving average price is $762.07.

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.