5 Famous Tech Stocks Trading At Discount Today

3. Netflix, Inc. (NASDAQ:NFLX)

Number of Hedge Fund Holders: 113  

Decline in Share Price Over Past Six Months: 36.92%

Netflix, Inc. (NASDAQ:NFLX) provides entertainment services. As the streaming growth of the firm slows, it has started to expand in other digital entertainment sectors, like gaming. As part of a push into gaming, the company announced on March 24 that it had agreed to acquire Boss Fight Entertainment, a gaming house founded in 2013 with branches in Allen, Austin and Seattle. Some of the famous games Boss Fight has worked on include Dungeon Boss, CastleVille, Age of Empires and Rise of Nations, among others. 

On March 23, Cowen analyst John Blackledge maintained an Outperform rating on Netflix, Inc. (NASDAQ:NFLX) stock, noting that the firm was poised to grow revenue in the coming months if the results of a password sharing policy change test were positive. The analyst noted that the change in policy, if rolled out globally, would add over $1.6 billion in revenue for the company. 

Among the hedge funds being tracked by Insider Monkey, Chicago-based firm Citadel Investment Group is a leading shareholder in Netflix, Inc. (NASDAQ:NFLX) with 4.6 million shares worth more than $2.4 billion. 

In its Q4 2021 investor letter, Pershing Square Capital Management, an asset management firm, highlighted a few stocks and Netflix, Inc. (NASDAQ:NFLX) was one of them. Here is what the fund said:

“Amidst a volatile market backdrop in 2022, hedging gains provided the capital to fund the purchase of Netflix, Inc. (NASDAQ:NFLX). World’s leading streaming subscription video-on-demand company. Launched its category-pioneering streaming service in 2007. 222 million global paid subscribers in over 190 countries today. Vast and diverse library of high-quality content. Most Emmy-winning and Oscar-winning TV network / studio of 2021. Industry-leading volume of original content episodes released per quarter. High-performance culture led by a visionary management team. Subscription-based, highly recurring revenues. 26% annual streaming revenue growth and ~360 bps of average annual EBIT margin expansion over last three years. Modest financial leverage (1.5x Net Debt / EBITDA)…” (Click here to see the full text)