Netflix, Inc.

How has the stock done?

Change in closing price from the first day shown, or with Price the closing price itself. Prices: Yahoo Finance, to Nov 12, 2026. Dots on the line: a member of Congress whose Hunch portfolio holds NFLX filed a disclosure; its hover says what the disclosure reports of NFLX: each trade, bought or sold, with the amount range the member filed (the House asks for a range, not the amount), or in an annual report the range of the holding’s value, the ranges of its entries added up (“in all”) where the report lists NFLX more than once, in several accounts or share classes: a sum that bounds the value as the ranges do but is not a range the form offers. An annual report’s row has no latest trade. Filings: the Clerk of the House. Dashed lines: the days the company released earnings (its SEC 8-K filings); EPS estimates: Yahoo Finance. The stock's move after a release runs from the last close before its day to the close the day after (or five days after), so a release before the open counts like one after the close.

Is the business growing?

Quarters: Netflix, Inc.'s SEC filings, named by the month they end. Fiscal years: Netflix, Inc.'s annual reports to the SEC.

How it makes money

Of every $100 in revenue, $24.3 ends up as net income. Net margin rose from 14.2% to 24.3% over the past 3 years.

Circled: Mar 2026 (net 43.1%, operating 32.3%). Net margin is usually about 5 points below operating margin; in that quarter something below operating income (a tax charge or benefit, a gain or loss on investments, a write-down) moved it, not the business itself.

Each margin is that line of the income statement divided by revenue. Fiscal year: Netflix, Inc.'s annual reports to the SEC; quarters: SEC filings.

How much does it spend on building?

Netflix spent $933M on property and equipment in the four quarters to Sep 2026, 1.9% of its revenue, against 1.4% a year earlier. That is 8% of the cash its operations brought in.

From Netflix, Inc.'s SEC filings: payments for property and equipment by quarter (networks, data centers, buildings; software built for its own use where the company counts it in), the fourth quarter being the year minus nine months; the share is the four quarters' spending over their revenue.

How much goes into research?

Netflix spent $3.9B on research and development in the four quarters to Sep 2026, 7.8% of its revenue, against 7.6% a year earlier. Over the year its research spending rose 18.7% and its revenue rose 14.7%.

From Netflix, Inc.'s SEC filings: research and development expense by quarter, the fourth being the year minus nine months; its share is the four quarters' expense over their revenue. Some companies count the research they buy, through licences and acquisitions, in this line, so it jumps in the quarter they pay; others report that on a line of its own, not shown here.

Customers and suppliers

In its latest annual report Netflix buys from Amazon.

Their suppliers

e.l.f. Beauty ELFto Amazon

United Parcel Service UPSto Amazon

Applied Optoelectronics AAOIto Amazon

Show 3

Suppliers

Amazon AMZN

 

NFLXNetflix

Named in other companies’ filings

Comcast CMCSAdistribution deal with it · Streaming service included in video packages

Only the companies Netflix names in its 10-K filed Jan 23, 2026 (SEC). Named in other companies' filings: those whose own latest annual report or an 8-K since names Netflix. The supply chain joins the latest annual reports of the companies on it and the 8-Ks they filed since: a link shows when either side's report names the other, so it grows as more reports are read. Hover a name for the filing's own words.

Is it expensive?

P/E of 18.1x, in line with the peer median of 19.2x, with earnings still growing.

In line with the peer median of 19.2x (excludes 3 unprofitable peers).

At 18.1× trailing earnings NFLX is below most of its five-year range; the five-year median is 42.8×.

Closing price over diluted earnings per share of the last four reported quarters, as known on each day (a quarter counts 35 days after it ends). From SEC filings; earnings per share adjusted for splits.

What analysts expect

The average analyst price target is $84.76, 35% above the current price; 65% of 51 analysts rate it a buy; earnings beat estimates in 3 of the last 4 quarters.

Buy or Strong Buy: 33 analysts (65%). Sell or Strong Sell: 2.

Over the past year the average of the analysts' latest price targets went from $141.25 to $84.28 (−40%), while NFLX went from $115.42 to $62.69 (−46%). In the past three months targets were raised 3 times and cut 23 times. 5 upgrades and 8 downgrades over the year; the latest: Wolfe Research moved it to Peer Perform from Outperform on Oct 22, 2026.

The day after each of these reports the stock moved −3.0% (Dec 2025, beat); −9.7% (Mar 2026, missed); −6.4% (Jun 2026, beat); −6.9% (Sep 2026, beat).

For the quarter ending Dec 2026 (Netflix reports on Jan 19, 2027), analysts expect adjusted earnings of $0.68 a share, 21% more than the $0.56 of a year earlier, and revenue of $13.4B, up 12% on a year earlier. For the fiscal year ending Dec 2027, they expect adjusted earnings of $3.77 a share, 5% more than the year before's estimate of $3.58, and revenue of $56.6B, up 11% on the year before's estimate.

Targets, ratings and earnings estimates: Yahoo Finance. Rating and target changes: Yahoo Finance's list of upgrades and downgrades. The average target on each day is the average of every listed firm's latest target set in the 180 days before it, so it counts fewer analysts than the average target above, and the band is the middle half of those targets (a quarter of the firms are above it, a quarter below); a target set before a stock split is divided by the split. Expected figures: the average of the analysts' estimates (Yahoo Finance). Their EPS is adjusted, as analysts estimate it, so it is set against the adjusted EPS Yahoo reports for the same quarters, not the GAAP EPS of the growth and valuation sections; revenue against the SEC filings. No change is given against a quarter whose reported EPS was more than 50% off its own estimate (often a one-off gain or charge), nor against a year that counts one. Each estimate is pinned to its fiscal period by the report date or the period's end, and one that cannot be is left out.

Where the cash goes

Generated $11.4B in free cash flow over the year and returned more than it generated: $12.9B went back to shareholders (dividends plus buybacks), so $1.5B came from cash on hand or borrowing.

Free cash flow: operating cash flow minus capital spending on property, plant and equipment, from SEC filings, for the last 4 quarters and by quarter.

Financial health

Current ratio 1.2, short-term debt is manageable; debt-to-equity 0.5, debt is moderate.

Latest fiscal year balance sheet. Source: Yahoo Finance.

Who holds it

3 portfolios Hunch tracks hold NFLX: 1 member of Congress and 2 funds. It is 17.4% of Fundsmith's portfolio (3.7% as filed).

• FundFundsmithFund firm founded by Terry SmithNFLX is 17% of this portfolio4% as filed+31.7%2-year backtest
• FundPershing Square Capital ManagementHedge fund founded by Bill AckmanNFLX is 13% of this portfolio5% as filed+90.1%2-year backtest
• CongressCleo FieldsU.S. Representative (Louisiana)NFLX is 2% of this portfolio+32.2%2-year backtest

NFLX's weight in each portfolio is its target weight in the copy Hunch follows: the stocks of the latest filing that the app can trade, their weights scaled up to add to 100%. “As filed” is its weight in the filing itself: a fund’s latest 13F, or a member of Congress’s holdings from the last annual report and the trades disclosed since, each at the low end of its range. Returns are backtests based on public filings, not actual trading results. Photo credits

What did the funds Hunch tracks do?

Of the 83 funds whose 13F filings Hunch reads, 27 held NFLX at the end of their latest quarter (for most, Q2 2026). Over that quarter 9 added shares, 12 cut, 3 bought new, 4 sold all and 3 held the same. The largest of them is Norges Bank, 57.95M shares worth $4.1B at Jun 30, 2026, 6.4% fewer than at Dec 31, 2025.

From the 13F filings of the 83 funds Hunch tracks, not of every institution: each fund's shares of NFLX at its latest quarter end against the quarter before, as filed (long positions only, options left out), the quarter before put on the latest quarter's share count across a split. A fund files 45 days after its quarter ends, so some have a newer quarter than others. Value is at the quarter end. Norges Bank filed its 13F for Q1 2026 confidentially, with no holdings made public, so its row compares Q2 2026 with Q4 2025.

Are insiders buying or selling?

Officers and directors sold $320M of NFLX on the open market in the 12 months to Nov 12, 2026; none bought. 94% of the sales were made under 10b5-1 plans, set up in advance. The largest was Reed Hastings (Director), who sold $264M in 21 sales.

From the Form 4s filed with the SEC about Netflix, Inc. (187 in the 12 months): purchases (code P) and sales (code S) on the open market by its officers and directors, at the price each filing gives (often an average of the day's trades). A sale is a 10b5-1 sale when its filing says it was made under such a plan, set up in advance. Not counted: 164 other transactions (grants, option exercises, shares withheld for tax and gifts).

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