Cloudflare, Inc. (NYSE:NET) Receives Consensus Recommendation of “Moderate Buy” from Brokerages

Shares of Cloudflare, Inc. (NYSE:NET) have been given a consensus rating of “Moderate Buy” by the twenty-eight brokerages that are currently covering the stock, MarketBeat.com reports. Three investment analysts have rated the stock with a sell recommendation, seven have given a hold recommendation and eighteen have issued a buy recommendation on the company. The average 1 year target price among analysts that have issued a report on the stock in the last year is $239.08.

NET has been the subject of several recent analyst reports. Piper Sandler restated an “overweight” rating and set a $250.00 target price (up from $222.00) on shares of Cloudflare in a research note on Friday, May 8th. Guggenheim increased their price target on Cloudflare from $117.00 to $140.00 and gave the company a “sell” rating in a report on Wednesday, February 11th. KeyCorp lowered Cloudflare from an “overweight” rating to a “hold” rating in a research note on Wednesday, April 15th. Susquehanna lifted their price objective on Cloudflare from $190.00 to $200.00 and gave the stock a “neutral” rating in a report on Monday, May 11th. Finally, UBS Group reaffirmed a “neutral” rating and issued a $220.00 target price on shares of Cloudflare in a research report on Wednesday, February 11th.

Cloudflare Price Performance

Shares of NET stock opened at $269.18 on Friday. The firm has a fifty day simple moving average of $212.68 and a 200-day simple moving average of $200.03. The company has a market capitalization of $95.14 billion, a PE ratio of -1,076.71 and a beta of 1.70. Cloudflare has a twelve month low of $158.83 and a twelve month high of $276.82. 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 released its quarterly earnings results on Thursday, May 7th. The company reported $0.25 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.23 by $0.02. Cloudflare had a negative net margin of 3.72% and a negative return on equity of 5.65%. The firm had revenue of $639.76 million for the quarter, compared to the consensus estimate of $620.83 million. During the same quarter in the previous year, the firm posted $0.16 EPS. The firm’s quarterly revenue was up 33.5% on a year-over-year basis. Cloudflare has set its FY 2026 guidance at 1.190-1.200 EPS and its Q2 2026 guidance at 0.270-0.270 EPS.

Insiders Place Their Bets

In related news, insider Michelle Zatlyn sold 25,641 shares of the company’s stock in a transaction on Tuesday, May 26th. The shares were sold at an average price of $211.83, for a total value of $5,431,533.03. Following the sale, the insider directly owned 47,425 shares of the company’s stock, valued at $10,046,037.75. This represents a 35.09% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Matthew Prince sold 52,384 shares of the stock in a transaction on Thursday, May 21st. The shares were sold at an average price of $210.66, for a total transaction of $11,035,213.44. Following the transaction, the chief executive officer owned 25,550 shares in the company, valued at $5,382,363. This trade represents a 67.22% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 527,491 shares of company stock valued at $111,729,711. 10.89% of the stock is owned by insiders.

Hedge Funds Weigh In On Cloudflare

Hedge funds have recently bought and sold shares of the company. Parallel Advisors LLC increased its holdings in Cloudflare by 8.0% in the first quarter. Parallel Advisors LLC now owns 5,510 shares of the company’s stock valued at $1,137,000 after buying an additional 406 shares during the last quarter. Verus Capital Partners LLC lifted its holdings in Cloudflare by 7.5% during the 1st quarter. Verus Capital Partners LLC now owns 1,345 shares of the company’s stock worth $278,000 after buying an additional 94 shares during the last quarter. Essential Partners LLC grew its position in shares of Cloudflare by 14.5% in the 1st quarter. Essential Partners LLC now owns 402 shares of the company’s stock worth $83,000 after acquiring an additional 51 shares in the last quarter. Janus Henderson Group PLC grew its position in shares of Cloudflare by 583.1% in the 1st quarter. Janus Henderson Group PLC now owns 241,367 shares of the company’s stock worth $49,805,000 after acquiring an additional 206,032 shares in the last quarter. Finally, Centaurus Financial Inc. increased its holdings in shares of Cloudflare by 4.8% in the 1st quarter. Centaurus Financial Inc. now owns 1,780 shares of the company’s stock valued at $367,000 after acquiring an additional 82 shares during the last quarter. 82.68% of the stock is currently owned by institutional investors and hedge funds.

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.