Cloudflare (NYSE:NET) Issues Quarterly Earnings Results

Cloudflare (NYSE:NET) announced its quarterly earnings results on Thursday. The company reported ($0.03) earnings per share for the quarter, missing the consensus estimate of $0.18 by ($0.21), Zacks reports. Cloudflare had a negative net margin of 4.72% and a negative return on equity of 5.52%. Cloudflare updated its FY 2025 guidance to 0.790-0.800 EPS and its Q1 2025 guidance to 0.160-0.160 EPS.

Cloudflare Trading Up 17.9 %

NYSE:NET opened at $166.88 on Friday. The company has a quick ratio of 3.37, a current ratio of 3.37 and a debt-to-equity ratio of 1.32. Cloudflare has a 52-week low of $66.24 and a 52-week high of $171.38. The stock’s 50 day moving average price is $117.55 and its 200 day moving average price is $96.24. The company has a market capitalization of $57.27 billion, a PE ratio of -758.52 and a beta of 1.12.

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on NET. Mizuho lifted their price target on shares of Cloudflare from $102.00 to $125.00 and gave the company a “neutral” rating in a research report on Friday, December 13th. The Goldman Sachs Group boosted their price target on shares of Cloudflare from $140.00 to $183.00 and gave the stock a “buy” rating in a research note on Friday. Needham & Company LLC lifted their price objective on shares of Cloudflare from $110.00 to $160.00 and gave the company a “buy” rating in a report on Monday, February 3rd. Guggenheim raised their price target on shares of Cloudflare from $57.00 to $68.00 and gave the company a “sell” rating in a research report on Friday. Finally, Wells Fargo & Company increased their price objective on Cloudflare from $135.00 to $150.00 and gave the company an “overweight” rating in a research note on Monday, January 27th. Three research analysts have rated the stock with a sell rating, twelve have assigned a hold rating and twelve have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $128.48.

Insider Activity

In other Cloudflare news, insider Douglas James Kramer sold 2,481 shares of Cloudflare stock in a transaction dated Monday, February 3rd. The shares were sold at an average price of $131.66, for a total transaction of $326,648.46. Following the completion of the transaction, the insider now owns 175,688 shares in the company, valued at approximately $23,131,082.08. The trade was a 1.39 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Matthew Prince sold 52,384 shares of Cloudflare stock in a transaction that occurred on Friday, November 15th. The stock was sold at an average price of $89.06, for a total value of $4,665,319.04. Following the transaction, the chief executive officer now owns 192,177 shares of the company’s stock, valued at $17,115,283.62. This represents a 21.42 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 633,738 shares of company stock valued at $69,632,506. 12.83% of the stock is currently owned by company 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.