Cloudflare (NYSE:NET) Raised to Buy at Wall Street Zen

Cloudflare (NYSE:NET) was upgraded by analysts at Wall Street Zen from a “hold” rating to a “buy” rating in a research report issued to clients and investors on Saturday.

A number of other research analysts also recently weighed in on the stock. Scotiabank raised their target price on shares of Cloudflare from $200.00 to $225.00 and gave the company a “sector perform” rating in a research report on Friday, October 31st. Wells Fargo & Company raised their price objective on Cloudflare from $250.00 to $265.00 and gave the company an “overweight” rating in a report on Friday, October 31st. JMP Securities set a $270.00 target price on Cloudflare in a research report on Friday, October 31st. KeyCorp increased their price target on Cloudflare from $235.00 to $300.00 and gave the company an “overweight” rating in a research report on Friday, October 31st. Finally, Morgan Stanley boosted their price target on Cloudflare from $225.00 to $235.00 and gave the stock an “overweight” rating in a research report on Friday, August 1st. One investment analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating, ten have issued a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $234.16.

Cloudflare Stock Up 3.2%

NYSE:NET opened at $233.03 on Friday. The stock has a 50-day simple moving average of $220.49 and a 200 day simple moving average of $191.23. Cloudflare has a 52-week low of $87.24 and a 52-week high of $260.00. The company has a market cap of $81.21 billion, a PE ratio of -776.77 and a beta of 2.10. 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 earnings results on Thursday, October 30th. The company reported $0.27 EPS for the quarter, beating the consensus estimate of $0.23 by $0.04. The firm had revenue of $430.08 million for the quarter, compared to analysts’ expectations of $544.87 million. Cloudflare had a negative return on equity of 6.54% and a negative net margin of 5.12%.The business’s quarterly revenue was up 30.7% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.20 EPS. Cloudflare has set its Q4 2025 guidance at 0.270-0.270 EPS. FY 2025 guidance at 0.910-0.910 EPS. On average, sell-side analysts expect that Cloudflare will post -0.11 EPS for the current fiscal year.

Insider Buying and Selling

In other Cloudflare news, CEO Matthew Prince sold 52,384 shares of Cloudflare stock in a transaction on Thursday, September 11th. The shares were sold at an average price of $226.46, for a total transaction of $11,862,880.64. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Thomas J. Seifert sold 41,555 shares of the company’s stock in a transaction on Wednesday, August 20th. The shares were sold at an average price of $190.64, for a total transaction of $7,922,045.20. Following the completion of the transaction, the chief financial officer owned 189,517 shares in the company, valued at approximately $36,129,520.88. This represents a 17.98% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 638,060 shares of company stock valued at $133,217,328. 10.89% of the stock is owned by insiders.

Institutional Trading of Cloudflare

Hedge funds and other institutional investors have recently modified their holdings of the stock. Fiera Capital Corp raised its holdings in Cloudflare by 20.9% in the 3rd quarter. Fiera Capital Corp now owns 92,116 shares of the company’s stock valued at $19,767,000 after acquiring an additional 15,932 shares during the period. Avestar Capital LLC increased its stake in shares of Cloudflare by 18.4% during the third quarter. Avestar Capital LLC now owns 2,407 shares of the company’s stock worth $517,000 after purchasing an additional 374 shares during the period. NewEdge Wealth LLC boosted its stake in Cloudflare by 168.1% in the 3rd quarter. NewEdge Wealth LLC now owns 8,053 shares of the company’s stock valued at $1,840,000 after purchasing an additional 5,049 shares during the period. Readystate Asset Management LP acquired a new position in Cloudflare in the 3rd quarter valued at $250,000. Finally, Drucker Wealth 3.0 LLC acquired a new position in Cloudflare in the 3rd quarter valued at $229,000. Institutional investors own 82.68% of the company’s stock.

About Cloudflare

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.