Cloudflare (NYSE:NET) Updates Q2 2024 Earnings Guidance

Cloudflare (NYSE:NET) issued an update on its second quarter 2024 earnings guidance on Friday morning. The company provided earnings per share guidance of 0.140-0.140 for the period, compared to the consensus earnings per share estimate of 0.130. The company issued revenue guidance of $393.5 million-$394.5 million, compared to the consensus revenue estimate of $393.5 million. Cloudflare also updated its FY 2024 guidance to 0.600-0.610 EPS.

Cloudflare Stock Down 0.1 %

Shares of NYSE NET traded down $0.11 during trading hours on Monday, hitting $74.29. The stock had a trading volume of 6,576,970 shares, compared to its average volume of 3,961,452. The company has a market capitalization of $25.08 billion, a P/E ratio of -141.34 and a beta of 1.15. The firm’s 50-day moving average price is $93.67 and its two-hundred day moving average price is $83.75. Cloudflare has a 52 week low of $44.60 and a 52 week high of $116.00. The company has a debt-to-equity ratio of 1.61, a quick ratio of 3.51 and a current ratio of 3.51.

Cloudflare (NYSE:NET) last announced its quarterly earnings results on Thursday, February 8th. The company reported ($0.06) EPS for the quarter, beating the consensus estimate of ($0.07) by $0.01. The business had revenue of $362.47 million during the quarter, compared to analysts’ expectations of $352.70 million. Cloudflare had a negative return on equity of 12.78% and a negative net margin of 13.10%. Analysts anticipate that Cloudflare will post -0.2 EPS for the current fiscal year.

Analysts Set New Price Targets

A number of analysts have issued reports on the company. Bank of America raised their target price on Cloudflare from $52.00 to $60.00 and gave the company an underperform rating in a report on Friday. Morgan Stanley raised their target price on Cloudflare from $66.00 to $92.00 and gave the stock an equal weight rating in a research report on Monday, February 12th. Cantor Fitzgerald lowered their price target on shares of Cloudflare from $100.00 to $80.00 and set a neutral rating on the stock in a report on Friday. DZ Bank downgraded shares of Cloudflare from a buy rating to a hold rating and set a $110.00 price objective for the company. in a report on Tuesday, February 13th. Finally, Oppenheimer lowered their target price on shares of Cloudflare from $122.00 to $110.00 and set an outperform rating on the stock in a research note on Friday. Four research analysts have rated the stock with a sell rating, ten have given a hold rating and nine have issued a buy rating to the company. According to MarketBeat, Cloudflare currently has a consensus rating of Hold and a consensus price target of $90.13.

Insiders Place Their Bets

In other Cloudflare news, insider Douglas James Kramer sold 6,000 shares of the business’s stock in a transaction on Friday, February 9th. The stock was sold at an average price of $110.08, for a total value of $660,480.00. Following the transaction, the insider now owns 216,114 shares of the company’s stock, valued at $23,789,829.12. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. In other news, insider Douglas James Kramer sold 6,000 shares of the company’s stock in a transaction on Friday, February 9th. The stock was sold at an average price of $110.08, for a total transaction of $660,480.00. Following the transaction, the insider now owns 216,114 shares of the company’s stock, valued at $23,789,829.12. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO Thomas J. Seifert sold 50,000 shares of the company’s stock in a transaction on Friday, February 9th. The shares were sold at an average price of $110.11, for a total value of $5,505,500.00. Following the transaction, the chief financial officer now directly owns 366,465 shares in the company, valued at approximately $40,351,461.15. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 1,044,347 shares of company stock valued at $101,703,776. 12.83% of the stock is currently owned by corporate insiders.

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.