As of Wednesday close, Netflix Inc.’s (NASDAQ:NFLX) stock was down -$9.9, moving down -2.50 percent to $386.30. The average number of shares traded per day over the past five days has been 6,495,400 shares. 1 time new highs have been achieved over the past 5 days, with a -$25.94 fall in that time frame. In the last twenty days, the average volume was 5,244,635, while in the previous 50 days, it was 6,368,214.
Since last month, NFLX stock retreated -5.39%. Shares of the company fell to $386.12 on 09/20/23, the lowest level in the past month. A 52-week high of $485.00 was reached on 07/19/23 after having rallying from a 52-week low of $211.73. Since the beginning of this year, NFLX’s stock price has risen by 31.00% or $91.42, and marked a new high 29 times. However, the stock has declined by -20.35% since its 52-week high.
NFLX stock investors should be aware that Netflix Inc. (NFLX) stock had its last reported insider trading activity 10 days ago on Sep 11. BARTON RICHARD N, the Director of the company, disposed of 500 shares for $443.07 on Sep 11. It resulted in a $221,535 divestment by the insider. HASTINGS REED sold 17,969 shares at an average price of $440.60 on Sep 01. The insider now owns 0 shares following the transaction. On Aug 08, Director BARTON RICHARD N sold 500 shares at $440.36 apiece. The transaction was valued at $220,180.
Valuation Metrics
Right now, Netflix Inc. (NFLX) has a P/E ratio of about 44.98. The stock’s beta is 1.30. Besides these, the trailing price-to-sales (P/S) ratio of 5.38, the price-to-book (PB) ratio of 7.51, and the price-to-cash flow ratio of 40.54 may also be considered.
Financial Health
In the three months ended June 29, Netflix Inc.’s quick ratio stood at 1.30, while its current ratio was 1.30, showing that the company is able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending June 29 was 0.62, and the total debt-to-equity ratio was 0.63. On the profitability front, the trailing twelve-month gross margin is 38.80% percent. In the year ended June 29, EBITDA margin amounted to 63.25%, whereas operating margins totaled 17.50%. Based on annual data, NFLX earned $12.45 billion in gross profit and brought in $31.62 billion in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 12.80%. Return on equity (ROE) for the past 12 months was 19.80%.
In Netflix Inc.’s quarter-end financial report for June 29, it reported total debt of $14.07 billion. According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. NFLX’s revenue rose 2.65% to $8.16 billion during the quarter, while net income inched up to $8.19 billion. While analysts expected Netflix Inc. to report $2.86 quarterly earnings, the actual figure was $3.29 per share, beating the consensus estimate by 15.00%. During the quarter, the company generated $5.33 billion in EBITDA. The liabilities of Netflix Inc. were 27.99 billion at the end of its most recent quarter ended June 29, and its total debt was $16.99 billion. The value of shareholders’ equity is $443.15 million.
Technical Picture
This quick technical analysis looks at Netflix Inc.’s (NFLX) price momentum. With a historical volatility rate of 25.93%, the RSI 9-day stood at 23.91% on 20 September.
With respect to its five-day moving average, the current Netflix Inc. price is down by -6.29% percent or -$25.94. At present, NFLX shares trade -6.50% below its 20-day simple moving average and +18.55% percent above its 100-day simple moving average. However, the stock is currently trading approximately -12.25% below its SMA50 and +21.88% above its SMA200.
Stochastic coefficient K was 4.22% and Stochastic coefficient D was 3.94%, while ATR was 11.42. Given the Stochastic reading of 0.27% for the 14-day period, the RSI (14) reading has been calculated as 31.72%. As of today, the MACD Oscillator reading stands at -19.86, while the 14-day reading stands at -30.60.
Analyst Ratings
Evercore ISI reiterated its an Outperform rating on Netflix Inc. (NASDAQ: NFLX) in a note to investors. The analysts firm has however raised their price target to $500, representing a possible 29.76% increase in the stock price. Netflix Inc. (NFLX) has been rated Overweight by analysts. According to 2 brokerage firms, NFLX is a sell, and 17 firms recommend it is a Hold. There are 1 analyst who say the stock is underweight. A total of 2 analysts rate Netflix Inc. stock as buy, with 22 recommending it as overweight.
With a median target price of $492.50, the current consensus forecast for the stock is $293.00 – $600.00. Based on these forecasts, analysts predict Netflix Inc. (NFLX) will achieve an average price target of $463.36.
