Netflix (NASDAQ:NFLX) Shares Down 3% - Should You Sell?

Netflix, Inc. (NASDAQ:NFLX - Get Free Report) shares dropped 3% on Friday . The stock traded as low as $949.40 and last traded at $947.58. Approximately 1,012,581 shares traded hands during mid-day trading, a decline of 71% from the average daily volume of 3,483,888 shares. The stock had previously closed at $976.72.

Analyst Ratings Changes

Several brokerages have recently weighed in on NFLX. Loop Capital reiterated a "hold" rating on shares of Netflix in a report on Monday, March 24th. Morgan Stanley upped their price target on Netflix from $1,050.00 to $1,150.00 and gave the stock an "overweight" rating in a research note on Wednesday, January 22nd. Wedbush reissued an "outperform" rating and issued a $1,150.00 price objective (up previously from $950.00) on shares of Netflix in a research note on Wednesday, January 22nd. StockNews.com lowered Netflix from a "buy" rating to a "hold" rating in a research report on Tuesday, February 4th. Finally, FBN Securities assumed coverage on shares of Netflix in a research report on Thursday. They issued an "outperform" rating and a $1,165.00 price target for the company. Ten investment analysts have rated the stock with a hold rating, twenty-seven have assigned a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $1,021.02.

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Netflix Trading Down 0.1 %

The stock's 50 day simple moving average is $971.74 and its two-hundred day simple moving average is $869.42. The stock has a market capitalization of $398.90 billion, a PE ratio of 47.03, a PEG ratio of 2.12 and a beta of 1.38. The company has a debt-to-equity ratio of 0.56, a current ratio of 1.22 and a quick ratio of 1.22.

Netflix (NASDAQ:NFLX - Get Free Report) last posted its quarterly earnings data on Tuesday, January 21st. The Internet television network reported $4.27 EPS for the quarter, beating the consensus estimate of $4.20 by $0.07. Netflix had a return on equity of 38.32% and a net margin of 22.34%. The business had revenue of $10.25 billion for the quarter, compared to the consensus estimate of $10.14 billion. During the same quarter in the prior year, the business earned $2.11 earnings per share. Netflix's revenue for the quarter was up 16.0% on a year-over-year basis. On average, sell-side analysts expect that Netflix, Inc. will post 24.58 EPS for the current year.

Insider Buying and Selling

In related news, CAO Jeffrey William Karbowski sold 160 shares of Netflix stock in a transaction that occurred on Tuesday, February 4th. The shares were sold at an average price of $1,000.00, for a total value of $160,000.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Gregory K. Peters sold 102,228 shares of the business's stock in a transaction on Thursday, January 30th. The shares were sold at an average price of $980.74, for a total transaction of $100,259,088.72. Following the sale, the chief executive officer now directly owns 12,950 shares in the company, valued at $12,700,583. The trade was a 88.76 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 288,583 shares of company stock valued at $279,611,567. 1.76% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the stock. Principal Financial Group Inc. grew its stake in Netflix by 13.3% during the third quarter. Principal Financial Group Inc. now owns 1,692,563 shares of the Internet television network's stock valued at $1,200,485,000 after acquiring an additional 198,148 shares in the last quarter. Tradition Wealth Management LLC grew its position in Netflix by 11.1% during the third quarter. Tradition Wealth Management LLC now owns 859 shares of the Internet television network's stock worth $609,000 after buying an additional 86 shares in the last quarter. Cobblestone Capital Advisors LLC NY increased its stake in Netflix by 5.6% in the 3rd quarter. Cobblestone Capital Advisors LLC NY now owns 681 shares of the Internet television network's stock worth $483,000 after acquiring an additional 36 shares during the last quarter. Erste Asset Management GmbH purchased a new stake in shares of Netflix in the 3rd quarter valued at about $145,252,000. Finally, Mark Sheptoff Financial Planning LLC boosted its position in shares of Netflix by 776.3% during the 3rd quarter. Mark Sheptoff Financial Planning LLC now owns 333 shares of the Internet television network's stock valued at $236,000 after acquiring an additional 295 shares during the last quarter. Hedge funds and other institutional investors own 80.93% of the company's stock.

About Netflix

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.