--- title: "Four years ago, Pershing Square liquidated its position in Netflix at a loss of $400 million. Now, Ackman is re-establishing his position, buying 3 million shares of Netflix" type: "News" locale: "en" url: "https://longbridge.com/en/news/295959509.md" description: "On August 13, 2026, Pershing Square's Bill Ackman disclosed a new position of approximately 3 million shares of Netflix, accounting for 4.9% of the portfolio. This move is part of his largest portfolio adjustment in years, while also building positions in Visa, Mastercard, and six other stocks. Ackman is optimistic about its strong earnings growth expectations; previously, the fund had completely exited Netflix and incurred a loss of $400 million, but now his viewpoint has completely reversed" datetime: "2026-08-14T16:54:46.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/295959509.md) - [en](https://longbridge.com/en/news/295959509.md) - [zh-HK](https://longbridge.com/zh-HK/news/295959509.md) --- # Four years ago, Pershing Square liquidated its position in Netflix at a loss of $400 million. Now, Ackman is re-establishing his position, buying 3 million shares of Netflix Four years ago, Pershing Square completely sold off its Netflix shares, reportedly incurring a loss of $400 million; now Ackman has re-entered, acquiring 3 million shares of Netflix. Netflix, along with Visa, Mastercard, and others, is among six newly established positions, marking the largest portfolio adjustment by Pershing Square in many years. Josh Brown stated that among the S&P 500 constituents, only two stocks have a forward P/E ratio of 20 times while also having an expected earnings growth rate of 42%, and Netflix is one of them. Bill Ackman professional portrait On August 13, 2026 (Thursday), Pershing Square disclosed a new position of approximately 3 million shares of Netflix (NASDAQ: NFLX), which accounts for about 4.9% of the fund's asset portfolio. Ackman revealed on the "Investment Committee" program that he began buying in batches starting in the second quarter, with these shares held by several of his funds, including the Pershing Square U.S. Fund, which was listed on the New York Stock Exchange in April 2026. **Overview of the New Position** The investment in Netflix is part of a large-scale portfolio adjustment. Ackman disclosed six new positions at once: Netflix, Visa, Mastercard, ophthalmic company Alcon, exchange operator Intercontinental Exchange, and financial data provider S&P Global. Reuters reported that this is the largest portfolio adjustment by this billionaire investor in many years. Pershing Square's traditional holdings typically do not exceed a dozen companies. Ackman stated that he is optimistic about these companies' earnings, which are expected to grow strongly, as long-term earnings growth is the most important factor driving investment value. Reuters further reported that Pershing Square's existing holdings also include Microsoft (established earlier in 2026), Meta, Amazon, Fannie Mae, and Freddie Mac. The information regarding the new positions will be officially disclosed in the 13F filing on Friday. **2022 Exit vs. 2026 Bullish Logic** In April 2022, Ackman expressed a loss of confidence in Netflix's prospects and chose to sell. Four years later, his viewpoint has completely reversed. The program host summarized Pershing Square's core argument: "Netflix has essentially won the streaming war, with a subscriber base significantly ahead of all competitors; the scale advantage creates a positive cycle, allowing it to invest more in content than its rivals." Guest Malcolm suggested that the company's next focus is on monetization: "I believe Netflix is no longer solely chasing new subscribers but is finding ways to activate its existing 300 million subscribers to increase revenue." Netflix is indeed advancing along this path. In the earnings call on July 16, 2026, co-CEO Greg Peters stated that the difference in average revenue per user (ARM) between the ad-supported plan and the standard membership plan essentially represents **unrealized revenue growth potential in the short term**. The company guided that this year's ad revenue is expected to nearly double, reaching about $3 billion; according to the Q2 8-K announcement, the board approved a maximum stock repurchase amount of $27.1 billion **Bullish Logic** Josh Brown provides the clearest interpretation: "This is a typical Ackman investment style: looking for high-quality companies with moats and strong brands that are facing temporary difficulties or a cooling market sentiment. He patiently waits for the right opportunity and ultimately reaps the rewards." Regarding valuation and growth, he points out: "Netflix's forward price-to-earnings ratio is only 20 times, with expected earnings growth of 42% next year. There are very few stocks in the S&P 500 that meet both a 40% earnings growth and a 20 times valuation; I can think of two: one is Uber (which Ackman also holds), and the other is Netflix." On monetization strategies, he adds: "Over the past decade, Netflix has raised membership prices almost every year; it has launched a low-cost ad-supported plan for users unwilling to bear price increases; and it is also cracking down on account sharing." **Underlying Real Issues** As of July 2026, the Pershing Square American Fund listed on the New York Stock Exchange has fallen 3.5% this year, while the Pershing Square Holdings listed in London has dropped 9.2%; during the same period, the S&P 500 total return index has risen 10%. Against the backdrop of the fund underperforming the market, Ackman's largest reallocation in years is the real storyline behind this news. Previously, Ackman’s $65 billion acquisition offer for Universal Music Group was rejected, after which he liquidated about $1.5 billion in Universal Music holdings. Now he positions himself as a value investor, no longer an activist investor. **Current Stock Price Situation of Netflix** Netflix closed at $78.24 on Thursday, up 5.43% for the day. According to Reuters, the stock rose 3.3% in early trading, with further gains in the afternoon. The longer-term trend is not optimistic: compared to the price of $120.44 on August 13, 2025, it has fallen 35.04% over the past year; compared to the end of 2025 price of $93.76, it has dropped 16.55% this year. Analysts tracking the stock have an average target price of $94.04, with 36 buy ratings, 15 hold ratings, and no sell ratings. **Key Points** Ackman admits that his timing for investing in Netflix in 2022 was too early and his judgment was incorrect. The core logic for this bullish stance: industry leader position + massive existing user monetization. Whether this investment can avoid the fate of the last one depends on two major factors: whether the ad-supported plan can quickly narrow the membership revenue gap; and how much of the $27.1 billion buyback plan the company will execute, given that the current stock price is far below the 52-week high of $126.71 ### Related Stocks - [MA.US](https://longbridge.com/en/quote/MA.US.md) - [NFLX.US](https://longbridge.com/en/quote/NFLX.US.md) - [V.US](https://longbridge.com/en/quote/V.US.md) - [NFXL.US](https://longbridge.com/en/quote/NFXL.US.md) - [NFXS.US](https://longbridge.com/en/quote/NFXS.US.md) - [NFLU.US](https://longbridge.com/en/quote/NFLU.US.md) - [NFLW.US](https://longbridge.com/en/quote/NFLW.US.md) - [PSHZF.US](https://longbridge.com/en/quote/PSHZF.US.md) - [NFLY.US](https://longbridge.com/en/quote/NFLY.US.md) - [NFLP.US](https://longbridge.com/en/quote/NFLP.US.md) - [PSUS.US](https://longbridge.com/en/quote/PSUS.US.md) - [.SPX.US](https://longbridge.com/en/quote/.SPX.US.md) - [ALC.US](https://longbridge.com/en/quote/ALC.US.md) - [ICE.US](https://longbridge.com/en/quote/ICE.US.md) - [SPGI.US](https://longbridge.com/en/quote/SPGI.US.md) - [MSFT.US](https://longbridge.com/en/quote/MSFT.US.md) - [META.US](https://longbridge.com/en/quote/META.US.md) - [AMZN.US](https://longbridge.com/en/quote/AMZN.US.md) - [FNMA.US](https://longbridge.com/en/quote/FNMA.US.md) - [FMCC.US](https://longbridge.com/en/quote/FMCC.US.md) - [UBER.US](https://longbridge.com/en/quote/UBER.US.md) ## Related News & Research - [BREAKINGVIEWS-Bill Ackman commands far too big a premium](https://longbridge.com/en/news/295832715.md) - [IFP Advisors Inc Buys 2,418 Shares of Mastercard Incorporated $MA](https://longbridge.com/en/news/295915035.md) - [Norris Perne & French LLP MI Acquires 18,873 Shares of Mastercard Incorporated $MA](https://longbridge.com/en/news/295997814.md) - [Can Visa (V) Hold Its Ground As Europe Pushes New Payment Rails?](https://longbridge.com/en/news/295837063.md) - [Mastercard announces Q2 2026 distribution of R$ 0.09 per unit, payable Aug. 14](https://longbridge.com/en/news/295442613.md)