European session activity in mid-to-late September 2026 was shaped by two notable macro developments. The Federal Reserve raised interest rates by 25 basis points on 17 September 2026 — its first hike in three years — in a unanimous decision with Fed Chair Kevin Warsh presiding [Brief - 2026-09-17]. Concurrently, energy markets faced disruption following a Red Sea pipeline attack that constrained Saudi Aramco's supply to European refiners, adding pressure to commodity-sensitive sectors [Brief - 2026-09-18]. These developments formed the broader backdrop against which NFLX institutional positioning shifts were recorded [Brief - 2026-09-19].
Netflix reported trailing twelve-month revenue of $48.37 billion as of 30 June 2026, representing year-over-year growth of 13.37%. Net income on a TTM basis stood at $13.65 billion, with a net margin of 28.22% and an operating margin of 29.68%. Gross margin was recorded at 20.09%. EPS grew 11.11% year-over-year. The company held $9.10 billion in cash against total debt of $14.31 billion. Market capitalisation was approximately $296.24 billion, and the trailing P/E ratio stood at 22.37 [SEC 10-Q - NFLX - 2026-06-30].
Insider activity over the past 30 days recorded seven transactions with a net direction of selling, totalling a net disposal value of approximately $164,974 [SEC Form 4 - NFLX - 2026-09]. On the institutional side, Coatue (Philippe Laffont) reduced its NFLX position by 32%, and AQR Capital (Cliff Asness) reduced its position by 14% [SEC 13F - Coatue - Q2 2026] [SEC 13F - AQR Capital - Q2 2026]. These reductions across two notable institutional holders constitute the material position changes that triggered this report.
The 10-year US Treasury yield stood at 5.18% and the 2-year yield at 4.87% as of the generation date, with the yield curve in a normal configuration [FRED DGS10] [FRED DGS2]. The Federal Reserve's 25 basis point rate increase, the first in three years, represented a shift in the prevailing rate environment. Higher benchmark rates affect the discount rates applied to equity valuations across growth-oriented equities, a category in which Netflix has historically been classified based on its revenue trajectory.