On August 20, 2024, David Hyman, Chief Legal Officer of Netflix Inc (NASDAQ:NFLX), executed a sale of 13,791 shares of the company. The transaction was filed on the same day with the SEC. Following this transaction, the insider now owns 31,610 shares of Netflix Inc.
Netflix Inc operates as a streaming entertainment service company, offering TV series, documentaries, and feature films across a wide variety of genres and languages. The company provides members the ability to receive streaming content through a host of internet-connected devices.
The shares were sold at a price of $700 each, valuing the transaction at approximately $9,653,700. This sale contributes to a broader pattern observed over the past year, where the insider has sold a total of 113,226 shares and made no purchase transactions.
Over the past year, Netflix Inc has seen a total of 48 insider sells and no insider buys. This trend in insider transactions can be visualized in the following insider trend image:
As of the transaction date, Netflix Inc had a market cap of approximately $299.18 billion. The stock’s price-earnings ratio stood at 43.57, which is above the industry median of 17.72.
The current stock price of $700 places Netflix Inc as significantly overvalued according to the GF Value, which is set at $500.97. This results in a price-to-GF-Value ratio of 1.4. The GF Value is calculated based on historical trading multiples, an adjustment factor from GuruFocus, and future business performance estimates from analysts.
This sale by the insider might be of interest to current and potential investors, providing insight into how insiders are reacting to the company’s current valuation and stock performance.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
This article first appeared on GuruFocus.
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