Cloudflare (NYSE:NET) Price Target Raised to $300.00

Cloudflare (NYSE:NET) had its price target lifted by Susquehanna from $200.00 to $300.00 in a research report released on Monday, MarketBeat reports. The brokerage currently has a neutral rating on the stock.

Other research analysts have also recently issued reports about the company. Stifel Nicolaus set a $260.00 price objective on Cloudflare in a research report on Friday, May 8th. Wells Fargo & Company lifted their target price on Cloudflare from $300.00 to $380.00 and gave the company an “overweight” rating in a research report on Friday, August 7th. Citizens Jmp boosted their target price on Cloudflare from $330.00 to $394.00 and gave the company a “market outperform” rating in a research note on Friday, August 7th. Zacks Research raised Cloudflare from a “hold” rating to a “strong-buy” rating in a research report on Monday, July 20th. Finally, Guggenheim raised their price target on shares of Cloudflare from $140.00 to $160.00 and gave the stock a “sell” rating in a research note on Friday, August 7th. Two analysts have rated the stock with a Strong Buy rating, twenty-one have assigned a Buy rating, six have given a Hold rating and four have assigned a Sell rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $320.19.

Cloudflare Trading Up 1.5%

Shares of NYSE:NET opened at $311.48 on Monday. The firm has a market cap of $110.10 billion, a price-to-earnings ratio of -537.03, a PEG ratio of 189.82 and a beta of 1.65. Cloudflare has a 12 month low of $158.83 and a 12 month high of $324.73. The company’s fifty day simple moving average is $259.43 and its 200 day simple moving average is $221.96. The company has a quick ratio of 1.82, a current ratio of 1.82 and a debt-to-equity ratio of 1.22.

Cloudflare (NYSE:NET) last announced its earnings results on Wednesday, August 5th. The company reported $0.29 earnings per share for the quarter, topping analysts’ consensus estimates of $0.27 by $0.02. The firm had revenue of $696.06 million during the quarter, compared to analyst estimates of $664.66 million. Cloudflare had a negative net margin of 8.21% and a negative return on equity of 3.88%. The company’s revenue for the quarter was up 35.9% compared to the same quarter last year. During the same period in the prior year, the business earned $0.21 EPS. As a group, research analysts forecast that Cloudflare will post 0.03 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, CFO Thomas J. Seifert sold 55,000 shares of the company’s stock in a transaction that occurred 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 sale, the chief financial officer owned 113,790 shares in the company, valued at $34,171,137. This represents a 32.58% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Michelle Zatlyn sold 35,080 shares of the stock in a transaction that occurred on Friday, May 22nd. The shares were sold at an average price of $213.98, for a total value of $7,506,418.40. Following the completion of the sale, the insider directly owned 47,425 shares of the company’s stock, valued at approximately $10,148,001.50. The trade was a 42.52% 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. Insiders have sold 752,052 shares of company stock valued at $184,648,633 in the last 90 days. 10.66% of the stock is currently owned by insiders.

Institutional Trading of Cloudflare

A number of large investors have recently added to or reduced their stakes in NET. CX Institutional grew its holdings in shares of Cloudflare by 49.4% during the second quarter. CX Institutional now owns 133 shares of the company’s stock worth $33,000 after purchasing an additional 44 shares during the last quarter. Wealth Architects LLC raised its holdings in Cloudflare by 4.6% in the 2nd quarter. Wealth Architects LLC now owns 1,022 shares of the company’s stock valued at $251,000 after buying an additional 45 shares during the last quarter. Forum Financial Management LP boosted its position in Cloudflare by 3.5% during the 2nd quarter. Forum Financial Management LP now owns 1,498 shares of the company’s stock worth $367,000 after buying an additional 50 shares during the period. Quadrant Private Wealth Management LLC boosted its position in Cloudflare by 3.2% during the 1st quarter. Quadrant Private Wealth Management LLC now owns 1,653 shares of the company’s stock worth $341,000 after buying an additional 51 shares during the period. Finally, Essential Partners LLC grew its holdings in Cloudflare by 14.5% during the 1st quarter. Essential Partners LLC now owns 402 shares of the company’s stock worth $83,000 after acquiring an additional 51 shares during the last quarter. Institutional investors and hedge funds own 82.68% of the company’s stock.

Trending Headlines about Cloudflare

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Strong second-quarter results support the rally. Cloudflare reported revenue of approximately $696.1 million, up 35.9% year over year and above expectations, while non-GAAP EPS of $0.29 exceeded consensus. Next-quarter revenue guidance of $736.5 million also topped analyst estimates, reinforcing confidence in continued growth. Cloudflare Q2 Deep Dive
• Positive Sentiment: AI security and enterprise demand are strengthening the growth story. Cloudflare’s AI-security strategy is supporting demand for SASE and Zero Trust products, while its agentic-AI and developer-platform offerings could help it win larger enterprise contracts and compete more directly with Palo Alto Networks and Zscaler. Cloudflare AI Security Strategy
• Positive Sentiment: New partnerships and government certifications expand Cloudflare’s addressable market. Signal selected Cloudflare as an independent Key Transparency auditor, adding credibility to Cloudflare’s privacy and security platform. Separately, FedRAMP High and GovRAMP Moderate authorizations position Cloudflare to pursue more government and regulated-industry contracts. Signal Partnership
• Neutral Sentiment: Analyst sentiment remains favorable but expectations are high. Cloudflare has a consensus “Moderate Buy” rating and an average target near $320, with several firms setting targets above that level. However, some target increases still imply limited upside after the stock’s substantial recent advance. Cloudflare Moderate Buy Rating
• Negative Sentiment: The $2.175 billion zero-coupon convertible-note offering creates a potential dilution overhang. The financing provides capital without cash interest payments, but conversions could dilute existing shareholders and increase future obligations. Cloudflare Convertible Notes Deal
• Negative Sentiment: Valuation and profitability remain risks. Cloudflare continues to post GAAP losses, and its premium valuation leaves the stock vulnerable if growth or margins disappoint. A director’s sale of 2,520 shares was conducted under a pre-arranged Rule 10b5-1 plan and is a relatively minor overhang. SEC Insider Transaction Filing

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.