Traders Purchase High Volume of Cloudflare Call Options (NYSE:NET)

Cloudflare, Inc. (NYSE:NET) was the recipient of some unusual options trading on Friday. Investors purchased 32,322 call options on the company. This is an increase of 100% compared to the average daily volume of 16,156 call options.

Insider Activity at Cloudflare

In other Cloudflare news, CAO Janel Riley sold 4,327 shares of the firm’s stock in a transaction on Tuesday, February 18th. The shares were sold at an average price of $167.60, for a total transaction of $725,205.20. Following the transaction, the chief accounting officer now directly owns 74,698 shares of the company’s stock, valued at approximately $12,519,384.80. This trade represents a 5.48 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CFO Thomas J. Seifert sold 28,635 shares of the stock in a transaction dated Wednesday, February 19th. The stock was sold at an average price of $162.07, for a total transaction of $4,640,874.45. Following the sale, the chief financial officer now owns 293,582 shares of the company’s stock, valued at $47,580,834.74. This trade represents a 8.89 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 492,492 shares of company stock valued at $63,757,685 in the last three months. 12.83% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Cloudflare

A number of institutional investors have recently added to or reduced their stakes in the company. Mather Group LLC. grew its holdings in shares of Cloudflare by 1,188.2% during the 1st quarter. Mather Group LLC. now owns 219 shares of the company’s stock worth $25,000 after purchasing an additional 202 shares in the last quarter. NBC Securities Inc. acquired a new stake in Cloudflare during the first quarter worth $27,000. GPS Wealth Strategies Group LLC increased its holdings in Cloudflare by 213.4% in the 1st quarter. GPS Wealth Strategies Group LLC now owns 257 shares of the company’s stock valued at $29,000 after buying an additional 175 shares during the period. MassMutual Private Wealth & Trust FSB lifted its holdings in shares of Cloudflare by 115.4% during the 1st quarter. MassMutual Private Wealth & Trust FSB now owns 265 shares of the company’s stock worth $30,000 after acquiring an additional 142 shares during the period. Finally, Gordian Capital Singapore Pte Ltd acquired a new stake in shares of Cloudflare during the 4th quarter valued at about $43,000. 82.68% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently weighed in on the company. Piper Sandler restated a “neutral” rating and issued a $151.00 price target (up previously from $112.00) on shares of Cloudflare in a report on Friday. Needham & Company LLC lifted their price target on Cloudflare from $145.00 to $160.00 and gave the stock a “buy” rating in a research note on Friday. The Goldman Sachs Group lowered their price objective on shares of Cloudflare from $183.00 to $161.00 and set a “buy” rating on the stock in a research note on Friday, March 14th. Morgan Stanley lifted their target price on shares of Cloudflare from $144.00 to $150.00 and gave the stock an “overweight” rating in a research report on Friday. Finally, Truist Financial increased their price target on shares of Cloudflare from $120.00 to $140.00 and gave the company a “buy” rating in a research report on Tuesday, January 28th. Three investment analysts have rated the stock with a sell rating, ten have assigned a hold rating and twelve have issued a buy rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $142.57.

Cloudflare Price Performance

NYSE NET opened at $132.42 on Friday. The stock has a 50-day simple moving average of $116.02 and a 200 day simple moving average of $117.55. Cloudflare has a twelve month low of $66.24 and a twelve month high of $177.37. The stock has a market capitalization of $45.69 billion, a PE ratio of -601.91 and a beta of 1.78. The company has a debt-to-equity ratio of 1.32, a quick ratio of 3.37 and a current ratio of 3.37.

Cloudflare (NYSE:NET) last issued its quarterly earnings results on Thursday, May 8th. The company reported $0.16 EPS for the quarter, missing analysts’ consensus estimates of $0.17 by ($0.01). Cloudflare had a negative return on equity of 5.52% and a negative net margin of 4.72%. The business had revenue of $479.09 million for the quarter, compared to analyst estimates of $469.49 million. During the same quarter last year, the firm earned $0.16 earnings per share. The firm’s quarterly revenue was up 26.5% compared to the same quarter last year. Research analysts anticipate that Cloudflare will post -0.11 EPS for the current year.

Cloudflare Company Profile

Cloudflare, Inc operates as a cloud services provider that delivers a range of services to businesses worldwide. The company provides 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; and website and application security products comprising web application firewall, bot management, distributed denial of service, API gateways, SSL/TLS encryption, script management, security center, and rate limiting products.