5 Best Media Stocks To Buy Now

3. Netflix, Inc. (NASDAQ:NFLX)

Number of Hedge Fund Holders: 113

Recently, Cowen appreciated the local production operations of Netflix, Inc. (NASDAQ:NFLX), combined with its global content distribution. The firm lifted its price target on Netflix, Inc. (NASDAQ:NFLX) to $750, with an Outperform rating on the shares.

At the end of Q2, 113 hedge funds tracked by Insider Monkey reported having stakes in Netflix, Inc. (NASDAQ:NFLX), up from 110 in the previous quarter. The total value of these stakes is over $13.2 billion.

Since the beginning of the year, Netflix, Inc. (NASDAQ:NFLX) delivered a 30% return to shareholders, while the stock gained 40% in the past year. In Q3, the company reported revenue of $7.4 billion, presenting a 16.1% growth from the prior-year quarter.

Ensemble Capital mentioned Netflix, Inc. (NASDAQ:NFLX) in its Q3 2021 investor letter. Here is what the firm has to say:

“Netflix stock had a disappointing first half of 2021 performance, treading water while the S&P 500 rallied, after a very strong 67% return in 2020. It benefited from the global pandemic in 2020, signing on 36.6 million new subscribers vs the typical 25 million or so it typically does. Total subscribers exceeded 200 million, up 22% over the previous year. However, in the first half of 2021, new subscriber additions slowed substantially, totaling only 5.5 million due to slower new content additions impacted by production delays, a resumption of outdoor activity as people everywhere adjusted to living with COVID, and the impact of a “pull-forward effect” on subscriber growth in last year’s very strong results. The third quarter saw new content velocity start to pick up, which is usually what drives new subscribers to the service, with expectations of an even stronger content slate going into the final quarter of the year, causing the stock to increase 15% in the quarter.”