Hedge fund giant Ackman builds a position in Netflix again, having lost 400 million dollars four years ago
Bill Ackman, founder of the hedge fund Pershing Square, has recently re-established a position in Netflix, purchasing 3.15 million shares, which accounts for 4.9% of his portfolio. Previously, Ackman exited his position in 2022 after losing $400 million due to a decline in Netflix users. He now believes that Netflix has won the streaming war and is optimistic about its double-digit revenue growth and improved profit margins. This move reflects his renewed confidence in Netflix and is also part of the fund's portfolio adjustment for 2026, during which new positions in Visa, Mastercard, and other targets were added
American hedge fund giant Bill Ackman has recently increased his position in Netflix. Four years ago, he suffered a loss of $400 million on this stock, and now he has purchased 3.15 million shares.
This new position accounts for 4.9% of Ackman's Pershing Square fund portfolio, reflecting that Ackman is regaining confidence, believing that Netflix has emerged victorious in the streaming platform battle.
At the beginning of 2022, Pershing Square bought $1 billion worth of Netflix shares at $400 per share. However, months later, Netflix announced its first decline in subscribers in decades, prompting the fund to liquidate its position, selling at $225 per share in April 2022, resulting in a loss of over $400 million.
Netflix's stock rebounded to $700 per share in 2023. Ackman's hedge fund performed poorly in 2022 but achieved a rebound in 2023 and 2024.
However, Ackman has now changed his view.
According to Pershing Square's interim report for the six months ending June 30, 2026, the fund has once again increased its position in Netflix.
Pershing Square stated, "Since then, Netflix has actually won the streaming war." The hedge fund is optimistic about Netflix's future financial growth and added, "We expect Netflix's revenue to achieve double-digit compound growth, with content cost growth lower than revenue growth, continuously driving margin improvement."
This purchase of Netflix is just a glimpse of the significant adjustments in Pershing Square's holdings for 2026, as the fund has added six major core positions this year, with Netflix being one of them.
The fund disclosed that its new positions include Visa, Mastercard, S&P Global, Intercontinental Exchange, and Alcon.
Despite adding multiple stocks, the top two holdings of Pershing Square have not changed. Microsoft remains the fund's largest holding, with 1.52 million shares, accounting for 12.4% of the total portfolio.
Uber ranks as the second-largest holding, with 7.63 million shares, making up 12% of the portfolio. Meta is in third place, with 913,501 shares.
Pershing Square has seized what it sees as a market mispricing opportunity. The fund pointed out that Netflix "currently has a significant discount in valuation multiples," allowing it to acquire shares of this high-quality leading company at an attractive price
