Do Hedge Funds And Goldman Sachs Think Alike On These Promising Micro-Driven Stocks?

2. Netflix, Inc. (NASDAQ:NFLX)

Investors with Long Positions (as of June 30): 50

Aggregate Value of Investors’ Holdings (as of June 30): $6.15 Billion

Netflix, Inc. (NASDAQ:NFLX) is the only company in this list whose shares are trading in the green for the year, and very green at that, up by over 100%. Even though the shares of the company have slid by almost 20% from their peak in August, Goldman Sachs, having assigned it the highest dispersion score of 9.9, believes that it is poised to move higher by 30% to its price target. The number of hedge funds tracked by us that reported a stake in the company went up by three during the second quarter, when the company’s stock rose by 57.7%. At the same time, the aggregate value of hedge funds’ holdings in the company also saw a massive increase of $2.28 billion. In the past few weeks, some industry watchers have become skeptical about the stock, citing the increasing challenges it faces. The most prominent among them is that media companies, which provide the bulk of content on Netflix through licensing, are changing their tactics by increasing licensing costs and syndicating their content to other platforms. With Amazon having started a feature through which Prime users can download videos for offline viewing, experts believe that Netflix will have to follow suit and this could have a serious impact on its business model. Chase Coleman‘s Tiger Global Management LLC increased its stake in the stock by more than 15 times during the second quarter to over 2.5 million shares.