Zacks: Brokerages Anticipate Netflix, Inc. (NFLX) to Post $0.68 EPS

Analysts expect Netflix, Inc. (NASDAQ:NFLX) to report earnings per share (EPS) of $0.68 for the current quarter, according to Zacks Investment Research. Thirteen analysts have issued estimates for Netflix’s earnings. The lowest EPS estimate is $0.63 and the highest is $0.70. Netflix reported earnings per share of $0.29 in the same quarter last year, which would indicate a positive year-over-year growth rate of 134.5%. The business is expected to report its next quarterly earnings results after the market closes on Tuesday, October 16th.

According to Zacks, analysts expect that Netflix will report full-year earnings of $2.67 per share for the current year, with EPS estimates ranging from $2.52 to $2.87. For the next fiscal year, analysts forecast that the firm will post earnings of $4.27 per share, with EPS estimates ranging from $3.30 to $4.96. Zacks’ earnings per share calculations are an average based on a survey of research analysts that cover Netflix.

Netflix (NASDAQ:NFLX) last issued its quarterly earnings results on Monday, July 16th. The Internet television network reported $0.85 EPS for the quarter, beating analysts’ consensus estimates of $0.80 by $0.05. The firm had revenue of $3.91 billion during the quarter, compared to the consensus estimate of $3.94 billion. Netflix had a return on equity of 25.66% and a net margin of 7.13%. Netflix’s revenue for the quarter was up 40.3% on a year-over-year basis. During the same quarter in the prior year, the business posted $0.15 earnings per share.

A number of brokerages recently commented on NFLX. Cowen reduced their price target on Netflix from $430.00 to $400.00 and set an “outperform” rating for the company in a report on Tuesday, July 17th. Goldman Sachs Group set a $470.00 price target on Netflix and gave the company a “buy” rating in a report on Tuesday, October 2nd. Morgan Stanley set a $480.00 price target on Netflix and gave the company a “buy” rating in a report on Thursday, July 12th. ValuEngine downgraded Netflix from a “strong-buy” rating to a “buy” rating in a report on Wednesday, July 18th. Finally, Loop Capital reduced their price target on Netflix to $365.00 and set a “hold” rating for the company in a report on Tuesday, July 17th. Five investment analysts have rated the stock with a sell rating, fourteen have issued a hold rating and thirty-two have assigned a buy rating to the company. The company has a consensus rating of “Buy” and an average target price of $355.69.

In related news, CFO David B. Wells sold 1,000 shares of the firm’s stock in a transaction that occurred on Monday, July 16th. The stock was sold at an average price of $399.01, for a total value of $399,010.00. Following the sale, the chief financial officer now owns 1,000 shares of the company’s stock, valued at approximately $399,010. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, General Counsel David A. Hyman sold 38,976 shares of the firm’s stock in a transaction that occurred on Thursday, July 19th. The stock was sold at an average price of $371.20, for a total value of $14,467,891.20. Following the completion of the sale, the general counsel now directly owns 43,895 shares in the company, valued at approximately $16,293,824. The disclosure for this sale can be found here. In the last three months, insiders sold 419,778 shares of company stock worth $149,464,228. Company insiders own 4.29% of the company’s stock.

Several hedge funds and other institutional investors have recently made changes to their positions in NFLX. Berkeley Capital Partners LLC increased its position in Netflix by 17.3% in the 2nd quarter. Berkeley Capital Partners LLC now owns 1,008 shares of the Internet television network’s stock valued at $273,000 after acquiring an additional 149 shares during the period. Capstone Financial Advisors Inc. increased its position in Netflix by 17.8% in the 2nd quarter. Capstone Financial Advisors Inc. now owns 1,006 shares of the Internet television network’s stock valued at $394,000 after acquiring an additional 152 shares during the period. Cornerstone Advisors Inc. increased its position in Netflix by 9.6% in the 2nd quarter. Cornerstone Advisors Inc. now owns 1,740 shares of the Internet television network’s stock valued at $681,000 after acquiring an additional 153 shares during the period. Cobblestone Capital Advisors LLC NY increased its position in Netflix by 22.1% in the 2nd quarter. Cobblestone Capital Advisors LLC NY now owns 855 shares of the Internet television network’s stock valued at $335,000 after acquiring an additional 155 shares during the period. Finally, Sound Income Strategies LLC increased its position in Netflix by 30.6% in the 3rd quarter. Sound Income Strategies LLC now owns 675 shares of the Internet television network’s stock valued at $253,000 after acquiring an additional 158 shares during the period. 73.76% of the stock is currently owned by institutional investors and hedge funds.

NFLX traded down $2.25 on Monday, reaching $349.10. The company’s stock had a trading volume of 12,371,400 shares, compared to its average volume of 10,730,915. The company has a market capitalization of $162.92 billion, a P/E ratio of 281.08, a P/E/G ratio of 4.67 and a beta of 0.89. Netflix has a 1 year low of $178.38 and a 1 year high of $423.21. The company has a debt-to-equity ratio of 1.86, a quick ratio of 1.54 and a current ratio of 1.54.

About Netflix

Netflix, Inc, an Internet television network, engages in the Internet delivery of television (TV) shows and movies on various Internet-connected screens. It operates in three segments: Domestic Streaming, International Streaming, and Domestic DVD. The company offers TV shows and movies, including original series, documentaries, and feature films.

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