{"id":4708,"date":"2026-08-16T11:33:42","date_gmt":"2026-08-16T11:33:42","guid":{"rendered":"https:\/\/usmovingexpertss.com\/?p=4708"},"modified":"2026-08-16T11:33:42","modified_gmt":"2026-08-16T11:33:42","slug":"bill-ackman-buys-netflix-stock-again-makes-bold-claim","status":"publish","type":"post","link":"https:\/\/usmovingexpertss.com\/?p=4708","title":{"rendered":"Bill Ackman buys Netflix stock again, makes bold claim"},"content":{"rendered":"
<\/p>\n

Bill Ackman just did something few investors expected. He bought Netflix stock again.<\/p>\n

Read more Belgium\u2019s biggest wildfire on record heads towards Germany<\/a><\/p>\n

<\/p>\n

His hedge fund, Pershing Square Capital Management<\/strong>, disclosed a new Netflix<\/strong> (NFLX) position of 3.15 million shares<\/strong>. <\/p>\n

<\/p>\n

The stake now makes up about 4.9%<\/strong> of Pershing Square’s portfolio.<\/p>\n

<\/p>\n

The purchase is notable because of what happened last time. Ackman bought Netflix in early 2022<\/strong> and sold it three months later<\/strong> at a loss of more than $400 million<\/strong>.<\/p>\n

<\/p>\n

This time, his tone is very different. In Pershing Square’s mid-2026 investor letter, the firm wrote that “Netflix has since effectively won the streaming wars.”<\/p>\n

<\/p>\n

That line explains why one of Wall Street’s most-watched investors changed his mind on NFLX. <\/p>\n

<\/p>\n

Let’s break down what he sees now, what it means for Netflix stock, and what still has to happen for the bet to pay off.<\/p>\n

<\/p>\n

Why Bill Ackman reversed his 2022 exit from Netflix stock<\/h2>\n

<\/p>\n

Ackman’s return is a public reversal, and he is not hiding it.<\/p>\n

<\/p>\n

In 2022, Pershing Square bought more than 3 million<\/strong>Netflix shares<\/strong>. It sold the entire position about three months later after Netflix reported its first subscriber decline<\/strong> in a decade.<\/p>\n

<\/p>\n

The stock fell hard on that news, and Ackman locked in a loss of more than $400 million, CNBC reported.<\/p>\n

<\/p>\n

His reason for selling in 2022 was simple. He said changes to Netflix’s business model made future results too hard to predict for a fund that runs a small number of large bets.<\/p>\n

<\/p>\n

Four years later, Ackman says the business has settled into a clear leader. Netflix now serves more than 325 million paid subscribers<\/strong>worldwide<\/strong>, which is nearly double its closest rival.<\/p>\n

<\/p>\n

That scale is the core of his new call. A larger subscriber base gives Netflix more money to spend on shows while still keeping strong profit margins.<\/p>\n

<\/p>\n

John Lamb \/ Getty Images<\/p>\n

<\/p>\n

What Netflix’s numbers say about Ackman’s streaming call<\/h2>\n

<\/p>\n

Ackman’s claim rests on more than subscriber count. It rests on how much cash the business now produces.<\/p>\n

<\/p>\n

Netflix converts close to 90%<\/strong> of its earnings into free cash flow, Invezz reported. Free cash flow is the money a company has left after paying its bills and its investments.<\/p>\n

<\/p>\n

That cash funds two things Ackman likes: aggressive share buybacks<\/strong> and a fast-growing ad business<\/strong>.<\/p>\n

<\/p>\n

Netflix expects its ad-supported tier to bring in $3 billion a year<\/strong> by the end of 2026. That’s roughly double<\/strong> what it made the year before.<\/p>\n

<\/p>\n

The ad tier matters because it reaches a different type of customer. It’s cheaper, so it pulls in viewers who don’t want to pay for the standard plan.<\/p>\n

<\/p>\n

The most recent quarter supports this growth story. Netflix reported second-quarter revenue of $12.56 billion<\/strong>. That’s up 13.37%<\/strong> from the same quarter last year, according to the company’s SEC filing.<\/p>\n

<\/p>\n

Here is what makes the current setup attractive to Ackman.<\/p>\n

<\/p>\n

Why Ackman sees value in Netflix now<\/h3>\n

<\/p>\n