Billionaires Snatch Up Netflix Stock Again After Warner Bros Deal Loss

Three of the astir intimately watched hedge funds connected Wall Street added aggressively to their Netflix (NASDAQ:NFLX) positions successful Q4 2025 arsenic the company's projected acquisition of Warner Bros. Discovery (NASDAQ:WBD) collapsed. Ken Griffin's Citadel Investors added 5.8 cardinal shares, a 549% increase; Jim Simons' Renaissance Technologies added 4.5 cardinal shares, up 164%; and Philippe Laffont's Coatue Management added 4.7 cardinal shares, up 75.5%. The timing is deliberate: each steadfast accumulated shares arsenic woody uncertainty weighed connected Netflix's valuation, positioning them up of a cardinal re-rating.

Netflix announced an all-cash acquisition of Warner Bros. Discovery astatine $27.75 per share, backed by a $42.2 cardinal span facility. The woody was called disconnected aft Paramount's connection was deemed superior, triggering a breakup interest script and ending Netflix's astir ambitious M&A push. Share buybacks had been paused to money the deal, and astir $275 cardinal successful acquisition-related expenses were already baked into 2026 guidance.

For galore investors, the woody illness was a relief. The Street rapidly refocused connected Netflix's standalone maturation trajectory, and the upgrade rhythm that followed was swift. Goldman Sachs upgraded Netflix to Buy with a $120 terms people connected April 7, citing stronger gross growth, improved margins, and imaginable for greater shareholder returns. Morgan Stanley maintained its Overweight standing with a $115 people connected April 9, pointing to easing concerns astir engagement maturation and margins. BMO Capital reiterated Buy with a $135 people connected April 8.

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