Cloudflare (NYSE:NET) Price Target Lowered to $225.00 at Scotiabank

Cloudflare (NYSE:NET) had its price objective decreased by Scotiabank from $255.00 to $225.00 in a research note released on Wednesday,Benzinga reports. Scotiabank currently has a sector perform rating on the stock.

A number of other brokerages also recently commented on NET. Royal Bank Of Canada reaffirmed an “outperform” rating on shares of Cloudflare in a research note on Tuesday, January 27th. Wolfe Research reaffirmed a “peer perform” rating on shares of Cloudflare in a report on Monday, January 26th. KeyCorp upped their price target on shares of Cloudflare from $235.00 to $300.00 and gave the stock an “overweight” rating in a research note on Friday, October 31st. BTIG Research increased their price objective on Cloudflare from $199.00 to $243.00 and gave the company a “buy” rating in a research note on Wednesday. Finally, UBS Group reiterated a “neutral” rating and issued a $220.00 target price on shares of Cloudflare in a report on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating, eight have given a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $235.21.

Cloudflare Trading Up 1.0%

Cloudflare stock traded up $1.86 during trading hours on Wednesday, hitting $191.27. The company had a trading volume of 1,545,058 shares, compared to its average volume of 5,036,843. Cloudflare has a 1 year low of $89.42 and a 1 year high of $260.00. The company has a 50-day moving average price of $190.74 and a two-hundred day moving average price of $204.92. The firm has a market cap of $67.00 billion, a P/E ratio of -659.53, a P/E/G ratio of 156.00 and a beta of 1.97. The company has a debt-to-equity ratio of 1.46, a quick ratio of 2.04 and a current ratio of 2.04.

Cloudflare (NYSE:NET) last released its quarterly earnings results on Tuesday, February 10th. The company reported $0.28 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.27 by $0.01. Cloudflare had a negative net margin of 4.72% and a negative return on equity of 7.40%. The business had revenue of $614.51 million for the quarter, compared to analyst estimates of $591.67 million. During the same period in the previous year, the company earned $0.19 earnings per share. The business’s revenue for the quarter was up 33.6% on a year-over-year basis. On average, sell-side analysts anticipate that Cloudflare will post -0.11 earnings per share for the current year.

Insider Activity

In related news, CEO Matthew Prince sold 52,384 shares of the firm’s stock in a transaction that occurred on Wednesday, November 19th. The stock was sold at an average price of $195.32, for a total transaction of $10,231,642.88. Following the completion of the transaction, the chief executive officer owned 22,175 shares in the company, valued at $4,331,221. This trade represents a 70.26% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Thomas J. Seifert sold 41,555 shares of Cloudflare stock in a transaction dated Thursday, November 20th. The stock was sold at an average price of $194.18, for a total value of $8,069,149.90. Following the completion of the sale, the chief financial officer owned 137,486 shares of the company’s stock, valued at approximately $26,697,031.48. The trade was a 23.21% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 633,347 shares of company stock worth $124,873,834. 10.89% of the stock is currently owned by corporate insiders.

Institutional Trading of Cloudflare

A number of institutional investors have recently modified their holdings of NET. Vanguard Group Inc. boosted its stake in shares of Cloudflare by 0.3% in the 4th quarter. Vanguard Group Inc. now owns 32,407,646 shares of the company’s stock valued at $6,389,167,000 after purchasing an additional 90,397 shares in the last quarter. Geode Capital Management LLC increased its stake in shares of Cloudflare by 4.2% in the 4th quarter. Geode Capital Management LLC now owns 6,018,175 shares of the company’s stock valued at $1,184,044,000 after acquiring an additional 241,981 shares in the last quarter. Invesco Ltd. raised its stake in Cloudflare by 1.3% during the 3rd quarter. Invesco Ltd. now owns 3,964,733 shares of the company’s stock worth $850,792,000 after buying an additional 49,485 shares during the period. Norges Bank bought a new stake in shares of Cloudflare during the fourth quarter worth about $718,316,000. Finally, Legal & General Group Plc grew its stake in shares of Cloudflare by 4.9% in the 4th quarter. Legal & General Group Plc now owns 2,824,772 shares of the company’s stock worth $556,904,000 after acquiring an additional 131,127 shares in the last quarter. 82.68% of the stock is currently owned by institutional investors.

Key Stories Impacting Cloudflare

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Q4 results beat expectations: revenue $614.5M (+33.6% YoY) and EPS $0.28, with management highlighting record new ACV and accelerating RPO metrics — supports higher revenue growth trajectory. Business Wire: Q4 results
• Positive Sentiment: Company raised FY‑2026 revenue outlook (~$2.795B) and guided above Street estimates for near term, reducing short‑term downside risk to top‑line expectations. Reuters: Guidance and AI demand
• Positive Sentiment: AI-agent tailwind: management and multiple outlets point to rising agentic traffic (e.g., Moltbot) boosting demand for Cloudflare’s networking and security stack — a structural growth catalyst for recurring revenue. CNBC: AI agent wave
• Positive Sentiment: Analyst upgrades and target hikes (including Robert W. Baird upgrade to Outperform, PT $260; Wells Fargo and Barclays raising targets) add momentum and give investors explicit upside scenarios. Zacks: Baird upgrade
• Neutral Sentiment: Valuation/catch‑up coverage: several outlets ran “valuation check” pieces after the earnings/guidance beat — useful context for investors weighing higher multiples vs. faster growth. Yahoo: Valuation check
• Neutral Sentiment: Analyst reactions are mixed: some firms maintained neutral ratings or trimmed targets (Cantor Fitzgerald $224 neutral; Needham trimmed PT but kept buy), showing divergence on pacing and margins. StreetInsider: Cantor Fitzgerald
• Negative Sentiment: Insider selling: a director sold 2,520 shares (small vs. holdings) — a possible near‑term psychological headwind for some investors. SEC: Form 4
• Negative Sentiment: Institutional trimming: at least one fund (Alfreton Capital) materially reduced its position, indicating some profit‑taking after recent run‑up. DefenseWorld: Alfreton selling

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.