Cloudflare, Inc. (NYSE:NET) Receives Average Rating of “Moderate Buy” from Analysts

Shares of Cloudflare, Inc. (NYSE:NET) have been given a consensus rating of “Moderate Buy” by the thirty-one research firms that are covering the company, MarketBeat Ratings reports. Three equities research analysts have rated the stock with a sell recommendation, seven have given a hold recommendation and twenty-one have given a buy recommendation to the company. The average 1-year target price among brokers that have issued ratings on the stock in the last year is $241.3462.

NET has been the subject of several research reports. Barclays reiterated an “overweight” rating and set a $250.00 price target on shares of Cloudflare in a research report on Monday, June 1st. TD Cowen reaffirmed a “buy” rating on shares of Cloudflare in a research note on Wednesday, June 10th. Stifel Nicolaus set a $260.00 price objective on shares of Cloudflare in a report on Friday, May 8th. Sanford C. Bernstein reaffirmed a “market perform” rating and set a $136.00 target price on shares of Cloudflare in a research note on Wednesday, June 10th. Finally, Royal Bank Of Canada boosted their target price on shares of Cloudflare from $240.00 to $260.00 and gave the company an “outperform” rating in a report on Wednesday, June 10th.

Insider Activity

In other Cloudflare news, insider Michelle Zatlyn sold 35,080 shares of Cloudflare stock in a transaction on Friday, May 22nd. The stock was sold at an average price of $213.98, for a total value of $7,506,418.40. Following the sale, the insider owned 47,425 shares in the company, valued at $10,148,001.50. The trade was a 42.52% decrease in their ownership of the stock. 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, CEO Matthew Prince sold 52,384 shares of Cloudflare stock in a transaction on Monday, April 6th. The shares were sold at an average price of $210.02, for a total value of $11,001,687.68. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 566,245 shares of company stock worth $121,338,593 over the last quarter. 10.66% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Cloudflare

A number of institutional investors and hedge funds have recently added to or reduced their stakes in NET. Norges Bank purchased a new stake in Cloudflare in the fourth quarter valued at $718,316,000. Jennison Associates LLC raised its position in Cloudflare by 135.8% in the first quarter. Jennison Associates LLC now owns 4,394,484 shares of the company’s stock valued at $906,758,000 after purchasing an additional 2,530,872 shares during the period. Corient Private Wealth LLC raised its position in Cloudflare by 4,042.6% in the fourth quarter. Corient Private Wealth LLC now owns 1,399,378 shares of the company’s stock valued at $275,887,000 after purchasing an additional 1,365,598 shares during the period. Groupama Asset Managment raised its position in Cloudflare by 82.6% in the third quarter. Groupama Asset Managment now owns 2,100,000 shares of the company’s stock valued at $450,639,000 after purchasing an additional 950,000 shares during the period. Finally, Swedbank AB raised its position in Cloudflare by 697.5% in the first quarter. Swedbank AB now owns 927,606 shares of the company’s stock valued at $191,402,000 after purchasing an additional 811,297 shares during the period. Hedge funds and other institutional investors own 82.68% of the company’s stock.

Cloudflare Stock Up 2.7%

Shares of NET opened at $243.70 on Tuesday. 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 has a one year low of $158.83 and a one year high of $276.82. The stock has a market capitalization of $86.14 billion, a price-to-earnings ratio of -974.80, a PEG ratio of 238.93 and a beta of 1.70. The stock has a 50 day moving average price of $222.98 and a 200 day moving average price of $203.84.

Cloudflare (NYSE:NET) last issued its quarterly earnings results on Thursday, May 7th. The company reported $0.25 EPS for the quarter, topping the consensus estimate of $0.23 by $0.02. Cloudflare had a negative return on equity of 5.65% and a negative net margin of 3.72%.The firm had revenue of $639.76 million during the quarter, compared to analysts’ expectations of $620.83 million. During the same period in the previous year, the business earned $0.16 earnings per share. The firm’s revenue for the quarter was up 33.5% on a year-over-year basis. Cloudflare has set its FY 2026 guidance at 1.190-1.200 EPS and its Q2 2026 guidance at 0.270-0.270 EPS. Equities research analysts forecast that Cloudflare will post 0.02 earnings per share for the current fiscal year.

About Cloudflare

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.