TD Cowen Reaffirms Buy Rating for Netflix (NASDAQ:NFLX)

Netflix (NASDAQ:NFLX)‘s stock had its “buy” rating reiterated by TD Cowen in a note issued to investors on Wednesday, Benzinga reports. They currently have a $100.00 target price on the Internet television network’s stock. TD Cowen‘s target price suggests a potential upside of 52.16% from the stock’s previous close.

A number of other equities research analysts have also recently issued reports on the stock. China Renaissance decreased their price objective on shares of Netflix from $100.00 to $80.00 and set a “hold” rating for the company in a report on Friday, July 17th. HSBC cut shares of Netflix from a “buy” rating to a “hold” rating and decreased their price objective for the stock from $96.00 to $76.00 in a report on Tuesday, September 22nd. Piper Sandler reiterated an “overweight” rating and issued a $78.00 price objective (down from $85.00) on shares of Netflix in a report on Wednesday. Sanford C. Bernstein reiterated an “outperform” rating and issued a $80.00 price objective (down from $95.00) on shares of Netflix in a report on Wednesday. Finally, Oppenheimer reiterated an “outperform” rating and issued a $80.00 price objective (down from $85.00) on shares of Netflix in a report on Wednesday. Three analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating, sixteen have given a Hold rating and three have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $90.06.

Netflix Stock Down 4.3%

NASDAQ NFLX traded down $2.97 on Wednesday, reaching $65.72. The stock had a trading volume of 72,758,224 shares, compared to its average volume of 42,493,313. The business has a 50 day moving average price of $74.92 and a 200 day moving average price of $80.20. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 0.39. Netflix has a 1 year low of $64.10 and a 1 year high of $116.73. The company has a market capitalization of $273.66 billion, a price-to-earnings ratio of 20.63, a P/E/G ratio of 0.99 and a beta of 1.62.

Netflix (NASDAQ:NFLX) last issued its earnings results on Tuesday, October 20th. The Internet television network reported $0.87 EPS for the quarter, beating analysts’ consensus estimates of $0.82 by $0.05. The firm had revenue of $12.87 billion for the quarter, compared to the consensus estimate of $12.87 billion. Netflix had a return on equity of 40.02% and a net margin of 28.22%. The business’s quarterly revenue was up 11.9% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.59 earnings per share. On average, analysts forecast that Netflix will post 3.59 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, CEO Gregory Peters sold 27,312 shares of Netflix stock in a transaction dated Thursday, August 6th. The stock was sold at an average price of $73.54, for a total value of $2,008,524.48. Following the transaction, the chief executive officer directly owned 120,931 shares in the company, valued at approximately $8,893,265.74. The trade was a 18.42% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CFO Spencer Neumann sold 9,248 shares of the stock in a transaction that occurred on Monday, August 10th. The shares were sold at an average price of $75.79, for a total value of $700,905.92. Following the sale, the chief financial officer owned 73,787 shares of the company’s stock, valued at approximately $5,592,316.73. The trade was a 11.14% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 179,045 shares of company stock valued at $13,132,194 in the last ninety days. Company insiders own 1.24% of the company’s stock.

Institutional Investors Weigh In On Netflix

Several hedge funds have recently modified their holdings of the business. Arvest Investments Inc. increased its stake in Netflix by 52.7% in the 3rd quarter. Arvest Investments Inc. now owns 9,085 shares of the Internet television network’s stock valued at $632,000 after buying an additional 3,137 shares during the last quarter. Canoe Financial LP bought a new position in shares of Netflix during the 3rd quarter worth approximately $52,000. Sawyer & Company Inc bought a new position in shares of Netflix during the 3rd quarter worth approximately $27,000. LifeWealth Investments LLC bought a new position in shares of Netflix during the 3rd quarter worth approximately $355,000. Finally, Atticus Wealth Management LLC lifted its position in shares of Netflix by 8.1% during the 3rd quarter. Atticus Wealth Management LLC now owns 9,561 shares of the Internet television network’s stock worth $665,000 after buying an additional 720 shares in the last quarter. 80.93% of the stock is owned by institutional investors.

Netflix News Roundup

Here are the key news stories impacting Netflix this week:

• Positive Sentiment: Netflix reported third-quarter adjusted EPS of $0.87, above the $0.82 analyst consensus, while revenue of $12.87 billion was broadly in line with expectations. Net income rose about 44% year over year to $3.66 billion, and operating margin expanded to 34.6%. Netflix slides as weak profit, ad outlook intensify investor anxiety
• Positive Sentiment: Management continues to target double-digit revenue growth and expects advertising revenue to grow more than 80% in 2026. Netflix also pointed to pricing, its content pipeline and live events—including NFL programming—as potential drivers of future engagement and membership. NFLX Q3 Earnings Call Highlights Advertising Growth and Content Strategy
• Neutral Sentiment: Some analysts view the decline as a valuation opportunity. BMO cited substantial upside, while TD Cowen maintained a Buy rating with a $100 target; however, JPMorgan, Guggenheim and Bank of America reduced their targets, reflecting greater uncertainty around execution and growth.
• Negative Sentiment: Netflix lowered its 2026 advertising-revenue forecast to approximately $2.7 billion from $3 billion because ad-product rollouts are taking longer than expected. The shortfall undermines a key part of the company’s growth strategy. Netflix Cut Its Ad Revenue Forecast by $300 Million
• Negative Sentiment: Fourth-quarter revenue guidance of roughly $13.4 billion fell short of Wall Street expectations, implying another slowdown in sales growth. The company also reduced its 2026 free-cash-flow outlook to about $12 billion, while restructuring costs are expected to pressure fourth-quarter margins.
• Negative Sentiment: Management acknowledged investor concern about stagnant viewing-hour growth, particularly in the U.S. and Canada, and said content execution needs to improve. Analysts are questioning whether Netflix’s large content budget still provides a durable advantage against YouTube, TikTok and increasingly competitive streaming services. Is Netflix losing one of its longest-standing edge?

Netflix Company Profile

Netflix, Inc (NASDAQ:NFLX) is a global entertainment company that provides subscription-based streaming services. Its platform offers a broad selection of television series, films, documentaries, stand-up specials and other programming, including content produced by Netflix and licensed from third-party studios and creators.

The company also develops and distributes original productions under the Netflix brand and has expanded into additional entertainment offerings, including mobile and cloud-based games in select markets and live programming.