Netflix (NASDAQ:NFLX) Trading 2.3% Higher – Time to Buy?

Netflix, Inc. (NASDAQ:NFLX) shares shot up 2.3% during mid-day trading on Thursday . The stock traded as high as $86.50 and last traded at $84.5810. 69,175,191 shares changed hands during trading, an increase of 41% from the average session volume of 49,183,746 shares. The stock had previously closed at $82.70.

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

Wall Street Analysts Forecast Growth

A number of brokerages have issued reports on NFLX. Barclays reissued a “neutral” rating and set a $110.00 price objective on shares of Netflix in a research report on Friday, December 5th. Susquehanna raised shares of Netflix to a “positive” rating and set a $112.00 target price on the stock in a research note on Wednesday, January 21st. Benchmark reissued a “hold” rating on shares of Netflix in a research note on Tuesday, January 13th. Oppenheimer set a $125.00 target price on Netflix and gave the stock an “outperform” rating in a report on Wednesday, January 21st. Finally, HSBC lowered their target price on Netflix from $107.00 to $106.00 and set a “buy” rating for the company in a research note on Wednesday, January 21st. Two analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating and fifteen have given a Hold rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $115.91.

Netflix Stock Up 13.8%

The company has a market capitalization of $406.34 billion, a PE ratio of 38.08, a P/E/G ratio of 1.50 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 company’s 50-day moving average is $85.83 and its 200 day moving average is $104.52.

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

Insider Activity

In related news, CEO Gregory K. Peters sold 105,781 shares of the stock in a transaction on Thursday, January 29th. The stock was sold at an average price of $82.94, for a total transaction of $8,773,476.14. Following the sale, the chief executive officer directly owned 122,140 shares of the company’s stock, valued at $10,130,291.60. This trade represents a 46.41% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, CFO Spencer Adam Neumann sold 9,248 shares of the business’s stock in a transaction dated Friday, February 6th. The stock was sold at an average price of $81.27, for a total value of $751,584.96. Following the completion of the transaction, the chief financial officer directly owned 73,787 shares of the company’s stock, valued at approximately $5,996,669.49. This trade represents a 11.14% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 1,399,163 shares of company stock valued at $129,899,103. Corporate insiders own 1.37% of the company’s stock.

Hedge Funds Weigh In On Netflix

Institutional investors and hedge funds have recently modified their holdings of the company. Vanguard Group Inc. lifted its stake in shares of Netflix by 912.5% in the 4th quarter. Vanguard Group Inc. now owns 390,014,981 shares of the Internet television network’s stock worth $36,567,805,000 after purchasing an additional 351,493,659 shares during the period. State Street Corp grew its position in Netflix by 927.6% during the fourth quarter. State Street Corp now owns 176,780,995 shares of the Internet television network’s stock valued at $16,574,986,000 after buying an additional 159,578,053 shares during the period. Geode Capital Management LLC increased its holdings in Netflix by 892.0% during the fourth quarter. Geode Capital Management LLC now owns 99,598,678 shares of the Internet television network’s stock valued at $9,305,336,000 after buying an additional 89,558,684 shares during the last quarter. Capital World Investors raised its position in Netflix by 859.1% in the fourth quarter. Capital World Investors now owns 89,341,444 shares of the Internet television network’s stock worth $8,376,656,000 after acquiring an additional 80,025,890 shares during the period. Finally, Price T Rowe Associates Inc. MD raised its position in Netflix by 685.8% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 86,058,878 shares of the Internet television network’s stock worth $8,068,882,000 after acquiring an additional 75,107,069 shares during the period. 80.93% of the stock is currently owned by hedge funds and other institutional investors.

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.