Netflix (NASDAQ:NFLX) Hits New 52-Week High on Strong Earnings

Netflix, Inc. (NASDAQ:NFLX) reached a new 52-week high 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 changing hands. The stock had previously closed at $869.68.

The Internet television network reported $4.27 EPS for the quarter, topping the consensus estimate of $4.20 by $0.07. Netflix had a return on equity of 35.86% and a net margin of 20.70%. The company had revenue of $10.25 billion during the quarter, compared to analyst estimates of $10,141,900 billion. During the same period in the previous year, the business earned $2.11 EPS. Netflix’s quarterly revenue was up 16.0% on a year-over-year basis.

Wall Street Analysts Forecast Growth

A number of equities analysts recently commented on the company. StockNews.com upgraded Netflix from a “hold” rating to a “buy” rating in a report on Saturday, December 21st. Bank of America raised their price target on shares of Netflix from $1,000.00 to $1,175.00 and gave the company a “buy” rating in a research report on Wednesday. BMO Capital Markets reaffirmed an “outperform” rating and set a $1,175.00 price objective (up previously from $1,000.00) on shares of Netflix in a research report on Wednesday. Loop Capital lifted their target price on Netflix from $925.00 to $1,000.00 and gave the company a “hold” rating in a report on Wednesday. Finally, Canaccord Genuity Group raised Netflix from a “hold” rating to a “buy” rating and increased their price target for the company from $940.00 to $1,150.00 in a research report on Wednesday. One research analyst has rated the stock with a sell rating, eight have given a hold rating, twenty-six have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $972.00.

Insider Buying and Selling

In other Netflix news, Director Anne M. Sweeney sold 589 shares of the company’s stock in a transaction dated Wednesday, November 20th. The shares were sold at an average price of $880.00, for a total value of $518,320.00. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, Chairman Reed Hastings sold 48,363 shares of Netflix stock in a transaction that occurred on Monday, December 2nd. The stock was sold at an average price of $896.60, for a total value of $43,362,265.80. Following the transaction, the chairman now owns 114 shares of the company’s stock, valued at $102,212.40. This represents a 99.76 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 152,198 shares of company stock valued at $127,616,898. Corporate insiders own 1.76% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the business. RPg Family Wealth Advisory LLC acquired a new position in Netflix in the third quarter valued at $25,000. E Fund Management Hong Kong Co. Ltd. lifted its holdings in shares of Netflix by 700.0% during the 3rd quarter. E Fund Management Hong Kong Co. Ltd. now owns 48 shares of the Internet television network’s stock worth $34,000 after acquiring an additional 42 shares during the period. MidAtlantic Capital Management Inc. purchased a new position in shares of Netflix during the 3rd quarter worth about $37,000. FSA Wealth Management LLC purchased a new stake in Netflix in the third quarter valued at approximately $38,000. Finally, First Personal Financial Services acquired a new position in Netflix during the third quarter worth approximately $40,000. 80.93% of the stock is currently owned by institutional investors and hedge funds.

Netflix Stock Performance

The company has a market cap of $417.30 billion, a PE ratio of 55.25, a P/E/G ratio of 1.40 and a beta of 1.27. The stock’s 50 day simple moving average is $886.64 and its two-hundred day simple moving average is $762.07. The company has a quick ratio of 1.13, a current ratio of 1.13 and a debt-to-equity ratio of 0.62.

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.