Key Takeaways
- • Bill Ackman's Pershing Square re-entered Netflix with a 3.15 million-share stake (4.9% of portfolio) as of June 30, 2026, marking a return to the stock four years after exiting a position with losses exceeding $400 million in 2022.
- • Ackman cited Netflix's 50% decline from its June 2025 high as the catalyst for the new investment, positioning the valuation as a substantial discount despite the company's dominance in streaming and expected double-digit revenue growth.
- • Pershing Square disclosed six new positions in the first half of 2026, including Netflix, Visa, Mastercard, S&P Global, Intercontinental Exchange, and Alcon, as Ackman identified opportunities created by market focus on artificial intelligence.
- • Netflix stock surged approximately 4% on the announcement of Ackman's stake, reflecting institutional investor confidence in his reassessment despite his previous $400 million loss on the company.
- • Microsoft remains Pershing Square's largest holding at 12.4% of portfolio, with Uber at 12% and Meta at approximately 3%, indicating a diversified technology and financial services positioning.
Summary
Bill Ackman's Pershing Square Capital Management has returned to Netflix after a four-year absence, acquiring 3.15 million shares representing 4.9% of the firm's portfolio as of June 30, 2026. This move marks a striking reversal from Ackman's previous Netflix investment, which began in early 2022 with over $1 billion committed but ended with losses exceeding $400 million after the streaming company reported its first subscriber decline in decades.
Ackman and Pershing Square Chief Investment Officer Ryan Israel attributed the new investment opportunity to Netflix's sharp valuation reset. The stock had fallen approximately 50% from its June 2025 high, creating what Ackman described as a "substantial discount" to the company's intrinsic value. In a second-quarter letter to investors, the fund stated that "Netflix has since effectively won the streaming wars" and projected the company to compound revenue at double-digit growth rates with content costs expanding more slowly than revenue, driving continued margin expansion.
The Netflix stake represents one of six new positions Pershing Square initiated during the first half of 2026, a period the fund attributed to market opportunities created by investor focus on artificial intelligence. The additional five positions include Visa, Mastercard, S&P Global, Intercontinental Exchange, and Alcon. Stakes in Alcon and Intercontinental Exchange were acquired after the June 30 reporting date.
The market responded positively to Ackman's return to Netflix, with shares rising approximately 4% on the announcement. However, despite this rally, Netflix remained down 16% year-to-date through the disclosure period. Microsoft maintained the largest position in Pershing Square's portfolio at 12.4%, followed by Uber Technologies at 12% and Meta Platforms at approximately 3%, reflecting Ackman's continued emphasis on technology and financial infrastructure companies.
Ackman and Pershing Square Chief Investment Officer Ryan Israel attributed the new investment opportunity to Netflix's sharp valuation reset. The stock had fallen approximately 50% from its June 2025 high, creating what Ackman described as a "substantial discount" to the company's intrinsic value. In a second-quarter letter to investors, the fund stated that "Netflix has since effectively won the streaming wars" and projected the company to compound revenue at double-digit growth rates with content costs expanding more slowly than revenue, driving continued margin expansion.
The Netflix stake represents one of six new positions Pershing Square initiated during the first half of 2026, a period the fund attributed to market opportunities created by investor focus on artificial intelligence. The additional five positions include Visa, Mastercard, S&P Global, Intercontinental Exchange, and Alcon. Stakes in Alcon and Intercontinental Exchange were acquired after the June 30 reporting date.
The market responded positively to Ackman's return to Netflix, with shares rising approximately 4% on the announcement. However, despite this rally, Netflix remained down 16% year-to-date through the disclosure period. Microsoft maintained the largest position in Pershing Square's portfolio at 12.4%, followed by Uber Technologies at 12% and Meta Platforms at approximately 3%, reflecting Ackman's continued emphasis on technology and financial infrastructure companies.
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