Netflix (NASDAQ:NFLX) Shares Gap Up Following Analyst Upgrade

Netflix, Inc. (NASDAQ:NFLX)’s share price gapped up prior to trading on Friday after Huber Research upgraded the stock from a strong sell rating to a strong-buy rating. The stock had previously closed at $84.59, but opened at $94.30. Netflix shares last traded at $92.8650, with a volume of 66,031,796 shares.

Other analysts have also issued reports about the stock. Argus decreased their price target on shares of Netflix from $141.00 to $110.00 and set a “buy” rating on the stock in a research report on Thursday, January 22nd. DZ Bank reiterated a “buy” rating on shares of Netflix in a research note on Friday. Pivotal Research decreased their target price on Netflix from $105.00 to $95.00 and set a “hold” rating on the stock in a research report on Wednesday, January 21st. President Capital raised Netflix from a “neutral” rating to a “buy” rating and set a $130.00 price target for the company in a report on Monday, November 3rd. Finally, Wedbush reissued an “outperform” rating and set a $115.00 price objective on shares of Netflix in a report on Friday, February 20th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-three have given a Buy rating and fifteen have assigned a Hold rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $115.91.

Insider Buying and Selling at Netflix

In related news, insider David A. Hyman sold 23,439 shares of the business’s stock in a transaction on Friday, January 16th. The stock was sold at an average price of $88.11, for a total value of $2,065,210.29. Following the sale, the insider owned 316,100 shares of the company’s stock, valued at $27,851,571. The trade was a 6.90% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Gregory K. Peters sold 105,781 shares of the company’s stock in a transaction on Thursday, January 29th. The shares were sold at an average price of $82.94, for a total value of $8,773,476.14. Following the completion of the sale, the chief executive officer owned 122,140 shares in the company, valued at $10,130,291.60. This trade represents a 46.41% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 1,399,163 shares of company stock worth $129,899,103 over the last three months. 1.37% of the stock is currently owned by insiders.

Trending Headlines about Netflix

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix formally declined to match Paramount Skydance’s higher offer for Warner Bros., ending the bidding war and securing a large breakup / termination payment that preserves cash and avoids taking on a complex, debt‑heavy asset. Netflix Receives Termination Fee After WBD Deal Collapse
• Positive Sentiment: Investors cheered the exit as it reduces near‑term strategic risk and potential integration headaches; commentators and analysts framed the decision as disciplined capital allocation, which helped lift shares. Netflix, Paramount shares jump as months-long fight for Warner ends
• Positive Sentiment: Regulatory and political risk eased — a planned Senate antitrust hearing tied to the deal was canceled after Netflix withdrew, removing a headline risk that would have attracted more scrutiny. After Netflix Drops Warner Bros. Bid, GOP Senator Cancels Planned Antitrust Hearing
• Positive Sentiment: Analysts and brokers responded with upgrades and higher price targets (Wolfe, Arete, Evercore coverage appears), supporting the rally and signaling refreshed bullish conviction. Wolfe Research adjusts price target on Netflix to $110 from $95; maintains outperform
• Positive Sentiment: Operational news also helped sentiment: Netflix expanded live sports/content reach by partnering with Apple to co‑broadcast the Canadian F1 Grand Prix, reinforcing content momentum outside M&A headlines. Apple and Netflix team up to air Formula 1 Canadian Grand Prix
• Neutral Sentiment: Market structure changed: Paramount Skydance looks set to win the Warner Bros. deal, which removes one strategic path for Netflix but also eliminates a costly contest; outcome may affect industry dynamics long‑term rather than Netflix’s near‑term earnings. Project Warrior: How Paramount beat Netflix in $110bn battle for Warner
• Negative Sentiment: Some opinion pieces warn of political/antitrust fallout and reputational/strategic implications from the episode (claims the fight became politicized and that Netflix’s positioning could invite scrutiny). These narratives could re‑emerge if Netflix pursues other large deals. Opinion | Why Netflix Lost Warner to Paramount

Hedge Funds Weigh In On Netflix

A number of institutional investors and hedge funds have recently added to or reduced their stakes in NFLX. Brighton Jones LLC boosted its stake in Netflix by 5.0% in the fourth quarter. Brighton Jones LLC now owns 5,390 shares of the Internet television network’s stock worth $4,804,000 after purchasing an additional 257 shares in the last quarter. Revolve Wealth Partners LLC lifted its position in Netflix by 16.4% during the 4th quarter. Revolve Wealth Partners LLC now owns 1,023 shares of the Internet television network’s stock worth $912,000 after buying an additional 144 shares in the last quarter. Sivia Capital Partners LLC lifted its position in Netflix by 21.2% during the 2nd quarter. Sivia Capital Partners LLC now owns 1,406 shares of the Internet television network’s stock worth $1,883,000 after buying an additional 246 shares in the last quarter. Strategic Investment Advisors MI grew its holdings in Netflix by 18.9% during the 2nd quarter. Strategic Investment Advisors MI now owns 774 shares of the Internet television network’s stock worth $1,036,000 after acquiring an additional 123 shares during the last quarter. Finally, Schnieders Capital Management LLC. increased its position in Netflix by 12.1% in the 2nd quarter. Schnieders Capital Management LLC. now owns 2,115 shares of the Internet television network’s stock valued at $2,832,000 after acquiring an additional 228 shares in the last quarter. 80.93% of the stock is currently owned by institutional investors and hedge funds.

Netflix Stock Up 13.8%

The stock has a market cap of $406.34 billion, a price-to-earnings ratio of 38.08, a PEG ratio of 1.71 and a beta of 1.71. The company has a debt-to-equity ratio of 0.51, a quick ratio of 1.19 and a current ratio of 1.19. The firm’s 50-day simple moving average is $85.83 and its two-hundred day simple moving average is $104.52.

Netflix (NASDAQ:NFLX) last released its quarterly earnings results on Tuesday, January 20th. The Internet television network reported $0.56 EPS for the quarter, beating the consensus estimate of $0.55 by $0.01. The business had revenue of $12.05 billion for the quarter, compared to analysts’ expectations of $11.97 billion. Netflix had a net margin of 24.30% and a return on equity of 43.26%. Netflix’s revenue was up 17.6% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.43 earnings per share. Netflix has set its Q1 2026 guidance at 0.760-0.760 EPS. On average, sell-side analysts expect that Netflix, Inc. will post 24.58 EPS for the current fiscal year.

Netflix Company Profile

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.