Cloudflare (NYSE:NET) Issues Quarterly Earnings Results

Cloudflare (NYSE:NET – Get Rating) posted its quarterly earnings results on Thursday. The company reported $0.01 EPS for the quarter, beating the consensus estimate of ($0.09) by $0.10, MarketWatch Earnings reports. The firm had revenue of $212.20 million during the quarter, compared to analysts’ expectations of $205.66 million. Cloudflare had a negative return on equity of 15.45% and a negative net margin of 39.65%. The company’s revenue for the quarter was up 53.7% on a year-over-year basis. During the same quarter in the prior year, the firm posted ($0.11) EPS. Cloudflare updated its FY22 guidance to $0.03-0.04 EPS.

NET traded down $12.20 during midday trading on Friday, hitting $65.61. The company had a trading volume of 16,745,459 shares, compared to its average volume of 3,464,551. The company has a debt-to-equity ratio of 1.41, a quick ratio of 6.78 and a current ratio of 6.78. The company has a market capitalization of $21.26 billion, a PE ratio of -79.05 and a beta of 1.01. Cloudflare has a twelve month low of $60.90 and a twelve month high of $221.64. The firm’s 50-day simple moving average is $104.98 and its 200-day simple moving average is $129.09.

Several equities analysts have commented on NET shares. Truist Financial cut their price target on Cloudflare from $180.00 to $140.00 in a report on Friday. Morgan Stanley lifted their target price on shares of Cloudflare from $91.00 to $100.00 and gave the company an “equal weight” rating in a research report on Friday, February 11th. Royal Bank of Canada decreased their target price on shares of Cloudflare from $155.00 to $120.00 in a research report on Monday, May 2nd. Cowen decreased their target price on shares of Cloudflare from $250.00 to $200.00 in a research report on Monday, May 2nd. Finally, Wells Fargo & Company lifted their target price on shares of Cloudflare from $95.00 to $120.00 and gave the company an “equal weight” rating in a research report on Friday, February 11th. One analyst has rated the stock with a sell rating, twelve have issued a hold rating and twelve have assigned a buy rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $139.57.

In other Cloudflare news, COO Michelle Zatlyn sold 89,747 shares of Cloudflare stock in a transaction on Wednesday, April 13th. The shares were sold at an average price of $120.70, for a total transaction of $10,832,462.90. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CAO Paul D. Underwood sold 2,000 shares of Cloudflare stock in a transaction on Friday, February 18th. The stock was sold at an average price of $105.11, for a total transaction of $210,220.00. The disclosure for this sale can be found here. Insiders sold a total of 599,294 shares of company stock valued at $65,886,479 in the last 90 days. Corporate insiders own 20.69% of the company’s stock.

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. EverSource Wealth Advisors LLC acquired a new stake in shares of Cloudflare in the 4th quarter valued at approximately $34,000. Advisors Asset Management Inc. grew its stake in Cloudflare by 128.4% in the fourth quarter. Advisors Asset Management Inc. now owns 1,462 shares of the company’s stock valued at $192,000 after acquiring an additional 822 shares during the period. Forum Financial Management LP acquired a new position in Cloudflare in the fourth quarter valued at about $313,000. JustInvest LLC grew its stake in Cloudflare by 33.5% in the fourth quarter. JustInvest LLC now owns 5,208 shares of the company’s stock valued at $685,000 after acquiring an additional 1,306 shares during the period. Finally, The Manufacturers Life Insurance Company grew its stake in Cloudflare by 38.5% in the fourth quarter. The Manufacturers Life Insurance Company now owns 7,764 shares of the company’s stock valued at $1,021,000 after acquiring an additional 2,157 shares during the period. 69.96% of the stock is owned by hedge funds and other institutional investors.

About Cloudflare (Get Rating)

CloudFlare, Inc operates as a cloud services provider that delivers a range of services to businesses worldwide. The company offers an integrated cloud-based security solution to secure a range of combination of platforms, including public cloud, private cloud, on-premise, software-as-a-service applications, and IoT devices.

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