Billionaire Bill Ackman's Pershing Square Capital Management invested approximately 5% of its portfolio in Netflix, acquiring 3.15 million shares. Ackman highlights Netflix's dominant global position with over 325 million subscribers, high free cash flow conversion, and growing ad revenue. Despite the stock being 42% off its peak, he argues it is a bargain trading under 25 times earnings, citing strong engagement metrics and potential for margin expansion.