Carl Icahn Sells Half of His Netflix Stake

Carl Icahn has reduced his stake in Netflix (NASDAQ: NFLX  ) by about half.

According to a 13D SEC filing filed after Tuesday's market close, Icahn has offloaded about half of his Netflix stake to the Sargon portfolio, a fund co-managed by his son Brett Icahn.

Icahn Enterprises now falls below the 5% ownership limit that triggers expanded disclosure rules, down from just below 10%. This new arrangement lets both the buying and selling Icahn portfolios manage their shares out of the public eye.

"In our experience, there are few companies at any given time in history that represent the pure life blood of a colossal secular growth category, and even fewer where the CEO of that company instills deserved confidence among the company's investors by repeatedly exhibiting both vision and the ability to execute on that vision," Brett Icahn said in a press release. "We are proud to have identified Netflix as such a company and believe that it is well positioned for greatness."

"While I basically agree with David and Brett's assessment above and have often held positions for many years," said Carl Icahn, "as a hardened veteran of seven bear markets I have learned that when you are lucky and/or smart enough to have made a total return of 457% in only 14 months it is time to take some of the chips off the table."


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  • Report this Comment On October 22, 2013, at 6:27 PM, lovepeace wrote:

    Not very Foolish. At least his sons get it.

  • Report this Comment On October 22, 2013, at 6:38 PM, dapperone wrote:

    Mr Icahn walked away from slightly more than half his position at the perfect time - the combination of a market peak and on the day that his capital gains became long term. He now owns slightly less than 5% of shares, so his future sales do not require public disclosure. There's no reason why NFLX shouldn't rebound - forward guidance is favorable and subscribers are steadily increasing.

  • Report this Comment On October 22, 2013, at 7:09 PM, ckgod wrote:

    No big deal. I could do the same, and I have done so, but at much smaller scale of course.

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