Cloudflare (NYSE:NET) Given New $346.00 Price Target at Royal Bank Of Canada

Cloudflare (NYSE:NET) had its price target upped by Royal Bank Of Canada from $290.00 to $346.00 in a research note released on Friday,Benzinga reports. The firm currently has an outperform rating on the stock.

A number of other brokerages have also recently commented on NET. Wells Fargo & Company upped their price target on shares of Cloudflare from $300.00 to $380.00 and gave the company an “overweight” rating in a research note on Friday. Susquehanna lifted their price objective on shares of Cloudflare from $190.00 to $200.00 and gave the company a “neutral” rating in a research note on Monday, May 11th. Citizens Jmp boosted their target price on shares of Cloudflare from $330.00 to $394.00 and gave the company a “market outperform” rating in a report on Friday. Cantor Fitzgerald restated a “neutral” rating and set a $250.00 target price on shares of Cloudflare in a research report on Monday. Finally, Sanford C. Bernstein reaffirmed a “market perform” rating and issued a $136.00 price target on shares of Cloudflare in a report on Wednesday, June 10th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-two have issued a Buy rating, six have assigned a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $311.48.

Cloudflare Trading Up 5.8%

Shares of Cloudflare stock opened at $301.00 on Friday. Cloudflare has a 52-week low of $158.83 and a 52-week high of $324.73. The stock’s 50-day simple moving average is $257.02 and its 200 day simple moving average is $218.84. The stock has a market capitalization of $106.39 billion, a P/E ratio of -518.96, a P/E/G ratio of 212.72 and a beta of 1.65. The company has a debt-to-equity ratio of 1.29, a quick ratio of 1.96 and a current ratio of 1.96.

Cloudflare (NYSE:NET) last released its quarterly earnings data on Wednesday, August 5th. The company reported $0.29 EPS for the quarter, beating the consensus estimate of $0.27 by $0.02. The business had revenue of $696.06 million for the quarter, compared to the consensus estimate of $664.66 million. Cloudflare had a negative net margin of 8.21% and a negative return on equity of 3.99%. The company’s revenue was up 35.9% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.21 earnings per share. As a group, research analysts anticipate that Cloudflare will post 0.03 EPS for the current year.

Insider Activity

In other news, CEO Matthew Prince sold 33,631 shares of the business’s stock in a transaction on Wednesday, August 5th. The shares were sold at an average price of $296.10, for a total transaction of $9,958,139.10. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Thomas J. Seifert sold 55,000 shares of the company’s stock in a transaction on Tuesday, August 4th. The stock was sold at an average price of $300.30, for a total transaction of $16,516,500.00. Following the completion of the transaction, the chief financial officer directly owned 113,790 shares in the company, valued at approximately $34,171,137. The trade was a 32.58% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 749,532 shares of company stock worth $183,882,628. Insiders own 10.66% of the company’s stock.

Hedge Funds Weigh In On Cloudflare

Institutional investors have recently added to or reduced their stakes in the business. Plato Investment Management Ltd purchased a new stake in shares of Cloudflare in the 2nd quarter valued at about $1,499,000. MBM Wealth Consultants LLC boosted its position in shares of Cloudflare by 11.7% during the 2nd quarter. MBM Wealth Consultants LLC now owns 11,233 shares of the company’s stock valued at $2,755,000 after acquiring an additional 1,174 shares during the last quarter. Benjamin Edwards Inc. grew its holdings in shares of Cloudflare by 55.9% during the second quarter. Benjamin Edwards Inc. now owns 3,928 shares of the company’s stock worth $963,000 after purchasing an additional 1,408 shares in the last quarter. Catalyst Capital Advisors LLC purchased a new position in shares of Cloudflare during the second quarter worth about $477,000. Finally, Nilsine Partners LLC increased its position in shares of Cloudflare by 11.7% in the second quarter. Nilsine Partners LLC now owns 1,206 shares of the company’s stock worth $296,000 after purchasing an additional 126 shares during the last quarter. 82.68% of the stock is currently owned by institutional investors.

Key Headlines Impacting Cloudflare

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Q2 results beat expectations. Revenue rose 35.9% year over year to $696.1 million, exceeding the approximately $664.7 million consensus estimate. Adjusted EPS was $0.29 versus expectations of $0.27, supported by large-customer additions, Workers adoption and improved execution. Cloudflare Q2 earnings report
• Positive Sentiment: Cloudflare raised its forecast. Third-quarter guidance calls for approximately $736 million-$737 million in revenue and $0.34 EPS, above analyst estimates. Full-year 2026 revenue guidance was lifted to roughly $2.864 billion-$2.870 billion, while EPS guidance increased to $1.25-$1.26. Management cited resilient AI-agent demand across its network. Reuters outlook report
• Positive Sentiment: Analysts responded with higher targets. Citizens JMP raised its target to $394, while Oppenheimer and Needham increased targets to $380. BTIG, RBC, Piper Sandler and Truist also raised targets and maintained bullish ratings, signaling confidence in Cloudflare’s AI growth opportunity.
• Positive Sentiment: New AI products add potential growth avenues. Cloudflare launched Kitesurf, a cloud-hosted browser designed for AI agents, and an AEO Visibility Dashboard that helps brands track recommendations from AI assistants. TechCrunch Kitesurf report
• Neutral Sentiment: Valuation and volatility remain elevated. The rally has pushed Cloudflare near record levels, leaving the stock dependent on continued high growth, margin improvement and successful AI monetization.
• Negative Sentiment: Insider selling is a modest sentiment risk. CEO Matthew Prince, CFO Thomas Seifert and director Carl Ledbetter sold shares under pre-arranged Rule 10b5-1 plans. These transactions may concern investors but do not necessarily indicate weakening business fundamentals.

Cloudflare Company 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.