Polar Capital Holdings Plc Cuts Position in Cloudflare, Inc. $NET

Polar Capital Holdings Plc decreased its position in Cloudflare, Inc. (NYSE:NET) by 48.1% during the fourth quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 930,366 shares of the company’s stock after selling 863,149 shares during the quarter. Cloudflare accounts for approximately 0.7% of Polar Capital Holdings Plc’s portfolio, making the stock its 28th largest position. Polar Capital Holdings Plc owned about 0.27% of Cloudflare worth $183,422,000 at the end of the most recent reporting period.

Several other institutional investors have also modified their holdings of NET. Empowered Funds LLC grew its stake in shares of Cloudflare by 34.2% in the first quarter. Empowered Funds LLC now owns 6,656 shares of the company’s stock worth $750,000 after acquiring an additional 1,696 shares in the last quarter. Sivia Capital Partners LLC acquired a new position in shares of Cloudflare in the second quarter worth $424,000. Cerity Partners LLC grew its stake in shares of Cloudflare by 30.1% in the second quarter. Cerity Partners LLC now owns 27,531 shares of the company’s stock worth $5,391,000 after acquiring an additional 6,363 shares in the last quarter. Sei Investments Co. grew its stake in shares of Cloudflare by 40.1% in the second quarter. Sei Investments Co. now owns 329,036 shares of the company’s stock worth $64,432,000 after acquiring an additional 94,112 shares in the last quarter. Finally, The Manufacturers Life Insurance Company grew its stake in shares of Cloudflare by 14.6% in the second quarter. The Manufacturers Life Insurance Company now owns 16,461 shares of the company’s stock worth $3,224,000 after acquiring an additional 2,093 shares in the last quarter. Institutional investors and hedge funds own 82.68% of the company’s stock.

Cloudflare Stock Performance

NYSE:NET opened at $231.19 on Wednesday. The firm has a market capitalization of $81.72 billion, a PE ratio of -924.75, a price-to-earnings-growth ratio of 496.37 and a beta of 1.70. The business’s fifty day moving average price is $216.97 and its 200 day moving average price is $202.23. The company has a debt-to-equity ratio of 1.29, a current ratio of 1.96 and a quick ratio of 1.96. Cloudflare, Inc. has a 12 month low of $158.83 and a 12 month high of $276.82.

Cloudflare (NYSE:NET) last posted its earnings results on Thursday, May 7th. The company reported $0.25 EPS for the quarter, beating the consensus estimate of $0.23 by $0.02. The firm had revenue of $639.76 million for the quarter, compared to analyst estimates of $620.83 million. Cloudflare had a negative return on equity of 5.65% and a negative net margin of 3.72%.Cloudflare’s revenue for the quarter was up 33.5% compared to the same quarter last year. During the same quarter in the prior year, the company posted $0.16 earnings per share. Cloudflare has set its FY 2026 guidance at 1.190-1.200 EPS and its Q2 2026 guidance at 0.270-0.270 EPS. On average, sell-side analysts anticipate that Cloudflare, Inc. will post 0.01 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, Director Carl Ledbetter sold 15,000 shares of the stock in a transaction on Tuesday, May 5th. The stock was sold at an average price of $238.12, for a total value of $3,571,800.00. Following the transaction, the director owned 908,073 shares of the company’s stock, valued at $216,230,342.76. This represents a 1.63% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Alissa Michelle Starzak sold 16,243 shares of the company’s stock in a transaction on Thursday, May 28th. The shares were sold at an average price of $216.15, for a total transaction of $3,510,924.45. Following the completion of the transaction, the insider owned 118,395 shares of the company’s stock, valued at $25,591,079.25. This represents a 12.06% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 400,195 shares of company stock worth $84,257,925. 10.66% of the stock is owned by corporate insiders.

Analyst Upgrades and Downgrades

NET has been the subject of several research reports. Stifel Nicolaus set a $260.00 price target on shares of Cloudflare in a research note on Friday, May 8th. New Street Research restated a “market outperform” rating on shares of Cloudflare in a research note on Monday. Susquehanna boosted their price target on shares of Cloudflare from $190.00 to $200.00 and gave the stock a “neutral” rating in a research note on Monday, May 11th. Morgan Stanley restated an “overweight” rating and issued a $305.00 price target on shares of Cloudflare in a research note on Thursday, June 4th. Finally, Citizens Jmp restated a “market outperform” rating and issued a $270.00 price target on shares of Cloudflare in a research note on Monday. Twenty-one research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and three have given a Sell rating to the company’s stock. According to data from MarketBeat, Cloudflare presently has a consensus rating of “Moderate Buy” and a consensus price target of $241.35.

Cloudflare News Roundup

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Cloudflare continued to attract investor attention as one of Zacks’ most watched stocks, and the company also saw upbeat analyst support when Citizens JMP reaffirmed its “market outperform” rating with a $270 price target, implying meaningful upside from current levels.
• Positive Sentiment: Shares had recently benefited from broader enthusiasm for AI security plays, with Cloudflare mentioned alongside other cybersecurity names as investors rotated into the theme.
• Neutral Sentiment: A new third-party announcement highlighted a no-code Cloudflare integration from Spur to improve session enrichment and traffic enforcement, reinforcing Cloudflare’s ecosystem presence but not directly changing fundamentals.
• Neutral Sentiment: JLens urged shareholders to withhold votes on two directors ahead of the June 30 annual meeting, adding a governance-related headline that could keep some investors cautious.
• Negative Sentiment: A director, John Graham-Cumming, disclosed the sale of 2,520 shares under a pre-arranged trading plan, which can still weigh on sentiment even though the transaction was routine and small relative to his holdings.
• Negative Sentiment: Cloudflare also fell more than the broader market in the latest session, reflecting some profit-taking after earlier strength and mixed investor positioning.

Cloudflare Profile

Cloudflare, Inc is a global web infrastructure and security company that provides a suite of services designed to improve the performance, reliability and security of internet properties. Its core offerings include a content delivery network (CDN), distributed denial-of-service (DDoS) protection, managed DNS, and a web application firewall (WAF). Cloudflare also provides tools for bot management, SSL/TLS, load balancing and rate limiting to help organizations maintain uptime and protect web applications from attack.

In addition to traditional edge and security services, Cloudflare has expanded into edge computing and developer platforms.