Cloudflare (NYSE:NET) CEO Sells $10,952,446.72 in Stock

Key Points

• Matthew Prince, Cloudflare's CEO, sold 52,384 shares on March 16 at an average of $209.08 for a total of $10,952,446.72 and has executed multiple other large open‑market sales in recent weeks.
• Shares jumped about 6.6% to $225.45 on heavy volume after the company reported $0.28 EPS and $614.5M revenue (up 33.6% YoY), though Cloudflare still posts a negative net margin and return on equity.
• Sentiment is mixed: analysts largely maintain a "Moderate Buy" view with an average target near $233, citing an AI/edge growth narrative, while concentrated insider selling (including the CFO) poses a potential near‑term concern.

Cloudflare, Inc. (NYSE:NET - Get Free Report) CEO Matthew Prince sold 52,384 shares of the business's stock in a transaction that occurred on Monday, March 16th. The shares were sold at an average price of $209.08, for a total transaction of $10,952,446.72. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website.

Matthew Prince also recently made the following trade(s):

• On Wednesday, March 18th, Matthew Prince sold 38,766 shares of Cloudflare stock. The stock was sold at an average price of $218.87, for a total transaction of $8,484,714.42.
• On Wednesday, March 18th, Matthew Prince sold 13,618 shares of Cloudflare stock. The shares were sold at an average price of $227.80, for a total transaction of $3,102,180.40.
• On Thursday, February 26th, Matthew Prince sold 52,384 shares of Cloudflare stock. The shares were sold at an average price of $173.78, for a total transaction of $9,103,291.52.
• On Tuesday, February 24th, Matthew Prince sold 52,384 shares of Cloudflare stock. The stock was sold at an average price of $164.15, for a total value of $8,598,833.60.
• On Thursday, January 8th, Matthew Prince sold 52,384 shares of Cloudflare stock. The shares were sold at an average price of $189.47, for a total value of $9,925,196.48.
• On Tuesday, January 6th, Matthew Prince sold 52,384 shares of Cloudflare stock. The stock was sold at an average price of $194.77, for a total value of $10,202,831.68.

Cloudflare Trading Up 6.6%

Shares of Cloudflare stock traded up $13.93 during trading hours on Wednesday, reaching $225.45. The stock had a trading volume of 5,965,172 shares, compared to its average volume of 3,931,818. Cloudflare, Inc. has a 1 year low of $89.42 and a 1 year high of $260.00. The company has a debt-to-equity ratio of 1.35, a quick ratio of 1.98 and a current ratio of 1.98. The firm has a 50 day simple moving average of $186.34 and a two-hundred day simple moving average of $203.14.

Cloudflare (NYSE:NET - Get Free Report) last issued its earnings results on Tuesday, February 10th. The company reported $0.28 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.27 by $0.01. The business had revenue of $614.51 million during the quarter, compared to analysts' expectations of $591.67 million. Cloudflare had a negative return on equity of 7.24% and a negative net margin of 4.72%.The company's revenue for the quarter was up 33.6% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.19 EPS. On average, analysts expect that Cloudflare, Inc. will post -0.11 earnings per share for the current fiscal year.

Cloudflare News Roundup

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Order-flow bullish signal (“Power Inflow”) triggered, drawing momentum and institutional order-flow buying that can accelerate short-term moves. Cloudflare Shares Rise Nearly 7% After Key Trading Signal
• Positive Sentiment: AI/enterprise growth narrative: analysts and commentators point to rising AI-driven network activity, bigger enterprise deals, and Cloudflare’s edge/AI positioning as the fundamental rationale for upside. Cloudflare shares rise as AI/enterprise growth narrative keeps gaining traction
• Positive Sentiment: Technology/edge angle: coverage calling Cloudflare well positioned for AI at the edge has added retail/momentum interest. Cloudflare Surges 8%: NVIDIA's AI Boom Is Coming for the Edge and This Stock Is Ready
• Neutral Sentiment: Analyst/target activity is supportive (multiple buy/outperform ratings and elevated median targets) but analysts’ estimates still reflect near-term profitability headwinds—so impact is mixed. Analyst Coverage Summary
• Negative Sentiment: CEO Matthew Prince executed large open-market sales this week (multiple filings) that materially reduced his direct stake — a signal some investors interpret as a near-term negative. SEC Form 4 — Matthew Prince
• Negative Sentiment: CFO Thomas Seifert also sold shares (SEC filing), and data show heavy insider selling activity across the company lately — this can weigh on sentiment if investors read it as insiders cashing out. CFO Sale / Insider Trades

Institutional Investors Weigh In On Cloudflare

A number of institutional investors have recently made changes to their positions in the company. Reliant Investment Partners LLC increased its stake in shares of Cloudflare by 1.5% in the third quarter. Reliant Investment Partners LLC now owns 3,316 shares of the company's stock valued at $718,000 after purchasing an additional 50 shares during the period. Frank Rimerman Advisors LLC grew its holdings in Cloudflare by 1.8% in the 3rd quarter. Frank Rimerman Advisors LLC now owns 2,821 shares of the company's stock worth $605,000 after buying an additional 51 shares in the last quarter. IMA Advisory Services Inc. increased its position in Cloudflare by 4.5% in the 4th quarter. IMA Advisory Services Inc. now owns 1,290 shares of the company's stock valued at $254,000 after acquiring an additional 55 shares during the period. Brown Brothers Harriman & Co. increased its position in Cloudflare by 55.4% in the 3rd quarter. Brown Brothers Harriman & Co. now owns 157 shares of the company's stock valued at $34,000 after acquiring an additional 56 shares during the period. Finally, Silver Oak Securities Incorporated raised its stake in Cloudflare by 5.5% during the 4th quarter. Silver Oak Securities Incorporated now owns 1,090 shares of the company's stock valued at $218,000 after acquiring an additional 57 shares in the last quarter. 82.68% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

A number of brokerages have commented on NET. Needham & Company LLC reduced their price objective on Cloudflare from $285.00 to $250.00 and set a "buy" rating on the stock in a research note on Wednesday, February 11th. KeyCorp reiterated an "overweight" rating on shares of Cloudflare in a research note on Wednesday, February 11th. Wells Fargo & Company raised their price objective on Cloudflare from $265.00 to $270.00 and gave the company an "overweight" rating in a research note on Wednesday, February 11th. Guggenheim lifted their price objective on Cloudflare from $117.00 to $140.00 and gave the stock a "sell" rating in a report on Wednesday, February 11th. Finally, DZ Bank upgraded Cloudflare from a "hold" rating to a "buy" rating and set a $215.00 target price for the company in a research note on Friday, February 13th. One research analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating, eight have assigned a Hold rating and two have issued a Sell rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $233.38.

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.

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