Billionaire investor Bill Ackman is giving Netflix another chance after his previous investment in the streaming company ended with a loss of more than $400 million. Pershing Square has now re-entered Netflix during the first half of 2026, making the streamer one of six new investments disclosed by Ackman’s investment firm.
The move represents a significant reversal from 2022, when Ackman sold Pershing Square’s Netflix position after the company reported its first quarterly subscriber decline in a decade. This time, however, Pershing Square believes Netflix has established a much stronger competitive position and sees its recent share-price decline as an opportunity.
Why Bill Ackman Is Bullish on Netflix Again
Pershing Square said Netflix has “effectively won the streaming wars,” pointing to its scale and position as the leading global streaming platform. The investment firm also highlighted Netflix’s growing advertising business, disciplined approach to content spending and ability to convert earnings into free cash flow.
The renewed investment comes after Netflix shares fell substantially from their 2025 highs, creating what Pershing Square viewed as an attractive entry point. The firm expects Netflix to continue growing revenue at a double-digit rate while keeping content costs below its revenue growth rate, potentially supporting further margin expansion.
Ackman’s return is particularly notable because his 2022 Netflix investment was short-lived. Pershing Square initially bought around 3.1 million shares, but sold them after Netflix’s subscriber losses triggered a major stock decline. Ackman subsequently said he had lost confidence in his ability to predict the company’s future prospects with sufficient certainty.
Netflix has since expanded beyond its traditional subscription model, with advertising, live programming and stricter password-sharing policies becoming important parts of its strategy. The company also continues to emphasize its global scale and technology, including recommendation and advertising systems.
Pershing Square’s Netflix purchase is part of a broader portfolio expansion that also includes Visa, Mastercard, S&P Global, Intercontinental Exchange and Alcon. Reuters reports that the additions represent Ackman’s biggest portfolio overhaul in years.
For Ackman, the Netflix investment therefore represents more than simply buying back a stock he previously sold at a steep loss. It signals that Pershing Square now believes Netflix has overcome many of the competitive and financial concerns that drove its 2022 exit.
