Archon Partners LLC Reduces Position in Cloudflare, Inc. $NET

Archon Partners LLC decreased its holdings in shares of Cloudflare, Inc. (NYSE:NET) by 9.1% in the fourth quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 50,000 shares of the company’s stock after selling 5,000 shares during the quarter. Archon Partners LLC’s holdings in Cloudflare were worth $9,858,000 as of its most recent SEC filing.

A number of other large investors have also modified their holdings of the business. Norges Bank purchased a new stake in Cloudflare in the 4th quarter valued at $718,316,000. Jennison Associates LLC grew its holdings in Cloudflare by 802.6% in the 4th quarter. Jennison Associates LLC now owns 1,863,612 shares of the company’s stock valued at $367,411,000 after buying an additional 1,657,144 shares in the last quarter. Groupama Asset Managment grew its holdings in Cloudflare by 82.6% in the 3rd quarter. Groupama Asset Managment now owns 2,100,000 shares of the company’s stock valued at $450,639,000 after buying an additional 950,000 shares in the last quarter. Massachusetts Financial Services Co. MA grew its holdings in Cloudflare by 25.8% in the 4th quarter. Massachusetts Financial Services Co. MA now owns 1,639,661 shares of the company’s stock valued at $323,259,000 after buying an additional 336,768 shares in the last quarter. Finally, National Pension Service grew its holdings in Cloudflare by 53.2% in the 4th quarter. National Pension Service now owns 948,003 shares of the company’s stock valued at $186,899,000 after buying an additional 329,341 shares in the last quarter. Hedge funds and other institutional investors own 82.68% of the company’s stock.

Key Stories Impacting Cloudflare

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Cloudflare announced a new Cloudflare One Design Partner Designation to help select global partners accelerate secure AI and SASE adoption, reinforcing demand for its enterprise security platform and supporting its long-term growth narrative.
• Positive Sentiment: Analyst and investor interest remains constructive, with Cloudflare highlighted as one of the more watched generative AI software names and previously supported by bullish analyst ratings and price targets.
• Neutral Sentiment: A third-party announcement about Spur’s no-code Cloudflare integration added ecosystem visibility, but it does not appear to materially change Cloudflare’s fundamentals.
• Neutral Sentiment: JLens urged shareholders to withhold votes on two directors ahead of the June 30 annual meeting, creating a governance headline that could keep some investors cautious.
• Negative Sentiment: Cloudflare CFO Thomas J. Seifert sold 10,000 shares under a pre-arranged trading plan, and Director John Graham-Cumming also sold shares, which may pressure sentiment even though the sales were routine and relatively small versus their holdings.
• Negative Sentiment: Shares have also been weaker than the broader market in the latest sessions, suggesting some profit-taking after a strong run and leaving the stock sensitive to any negative headlines.

Analysts Set New Price Targets

Several analysts have issued reports on NET shares. Needham & Company LLC upped their target price on Cloudflare from $250.00 to $280.00 and gave the company a “buy” rating in a report on Wednesday, June 10th. UBS Group upped their target price on Cloudflare from $220.00 to $250.00 and gave the company a “neutral” rating in a report on Wednesday, June 10th. Weiss Ratings restated a “sell (d-)” rating on shares of Cloudflare in a report on Monday, April 20th. New Street Research restated a “market outperform” rating on shares of Cloudflare in a report on Monday. Finally, Sanford C. Bernstein reiterated a “market perform” rating and issued a $136.00 price objective on shares of Cloudflare in a report on Wednesday, June 10th. Twenty-one research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $241.35.

Insiders Place Their Bets

In other news, Director Katrin Suder sold 293 shares of the business’s stock in a transaction that occurred on Monday, June 8th. The shares were sold at an average price of $252.92, for a total value of $74,105.56. Following the sale, the director directly owned 37,430 shares of the company’s stock, valued at approximately $9,466,795.60. The trade was a 0.78% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Thomas J. Seifert sold 10,000 shares of the business’s stock in a transaction that occurred on Wednesday, June 17th. The shares were sold at an average price of $232.39, for a total transaction of $2,323,900.00. Following the completion of the sale, the chief financial officer directly owned 116,733 shares in the company, valued at $27,127,581.87. This trade represents a 7.89% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 410,195 shares of company stock worth $86,581,825. Insiders own 10.66% of the company’s stock.

Cloudflare Stock Down 1.3%

Shares of NET opened at $228.07 on Thursday. The firm has a market cap of $80.62 billion, a P/E ratio of -912.28, a price-to-earnings-growth ratio of 411.56 and a beta of 1.70. Cloudflare, Inc. has a 12-month low of $158.83 and a 12-month high of $276.82. The company’s 50-day moving average price is $217.30 and its 200 day moving average price is $202.45. The company has a current ratio of 1.96, a quick ratio of 1.96 and a debt-to-equity ratio of 1.29.

Cloudflare (NYSE:NET) last issued its quarterly earnings data on Thursday, May 7th. The company reported $0.25 earnings per share (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 net margin of 3.72% and a negative return on equity of 5.65%. Cloudflare’s revenue was up 33.5% on a year-over-year basis. During the same period in the previous year, the firm earned $0.16 EPS. 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 forecast that Cloudflare, Inc. will post 0.01 earnings per share for the current year.

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.