Cloudflare (NYSE:NET) Given New $225.00 Price Target at JMP Securities

Key Points

• JMP Securities raised Cloudflare's price target from $180.00 to $225.00, suggesting a potential upside of 13.36% from its previous close.
• Cloudflare recently reported $479.09 million in revenue for the quarter, surpassing analysts' expectations but falling short on EPS estimates.
• Insiders sold a total of 615,332 shares worth over $106 million in the last three months, indicating a notable decrease in their stock ownership.

Cloudflare (NYSE:NET - Get Free Report) had its price objective upped by stock analysts at JMP Securities from $180.00 to $225.00 in a research report issued on Monday,Benzinga reports. The brokerage presently has a "market outperform" rating on the stock. JMP Securities' price objective indicates a potential upside of 13.36% from the stock's previous close.

Several other equities research analysts have also recently commented on NET. Capital One Financial raised shares of Cloudflare from a "hold" rating to a "strong-buy" rating in a research report on Thursday, May 8th. Morgan Stanley reissued an "overweight" rating and issued a $225.00 price target (up previously from $150.00) on shares of Cloudflare in a research note on Friday, July 11th. Cowen reissued a "buy" rating on shares of Cloudflare in a research note on Monday, June 16th. Susquehanna dropped their price target on Cloudflare from $170.00 to $140.00 and set a "neutral" rating on the stock in a research note on Monday, May 12th. Finally, Piper Sandler reissued a "neutral" rating and issued a $151.00 price target (up previously from $112.00) on shares of Cloudflare in a research note on Friday, May 9th. Three analysts have rated the stock with a sell rating, nine have issued a hold rating, fifteen have issued a buy rating and one has issued a strong buy rating to the company's stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $161.72.

Cloudflare Price Performance

NET opened at $198.49 on Monday. The company has a quick ratio of 3.20, a current ratio of 3.20 and a debt-to-equity ratio of 0.90. Cloudflare has a 12 month low of $69.26 and a 12 month high of $200.76. The company has a fifty day simple moving average of $180.09 and a 200 day simple moving average of $146.43. The stock has a market cap of $68.80 billion, a P/E ratio of -863.00 and a beta of 1.85.

Cloudflare (NYSE:NET - Get Free Report) last released its quarterly earnings data on Thursday, May 8th. The company reported $0.16 EPS for the quarter, missing analysts' consensus estimates of $0.17 by ($0.01). Cloudflare had a negative net margin of 4.62% and a negative return on equity of 6.31%. The firm had revenue of $479.09 million during the quarter, compared to the consensus estimate of $469.49 million. During the same quarter in the prior year, the company earned $0.16 EPS. Cloudflare's quarterly revenue was up 26.5% on a year-over-year basis. On average, research analysts expect that Cloudflare will post -0.11 EPS for the current year.

Insiders Place Their Bets

In other Cloudflare news, CFO Thomas J. Seifert sold 34,270 shares of Cloudflare stock in a transaction on Monday, July 21st. The shares were sold at an average price of $200.17, for a total transaction of $6,859,825.90. Following the completion of the transaction, the chief financial officer directly owned 241,550 shares of the company's stock, valued at $48,351,063.50. The trade was a 12.42% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Michelle Zatlyn sold 35,098 shares of Cloudflare stock in a transaction on Tuesday, May 20th. The stock was sold at an average price of $156.83, for a total transaction of $5,504,419.34. Following the transaction, the insider directly owned 6,390 shares of the company's stock, valued at approximately $1,002,143.70. This trade represents a 84.60% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 615,332 shares of company stock worth $106,709,878 in the last three months. 10.89% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Cloudflare

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in NET. Teacher Retirement System of Texas bought a new position in Cloudflare during the fourth quarter worth $307,000. LPL Financial LLC boosted its position in Cloudflare by 3.4% during the fourth quarter. LPL Financial LLC now owns 122,171 shares of the company's stock worth $13,155,000 after purchasing an additional 3,989 shares during the period. Mitsubishi UFJ Asset Management Co. Ltd. boosted its position in Cloudflare by 12.6% during the fourth quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 223,316 shares of the company's stock worth $25,621,000 after purchasing an additional 24,928 shares during the period. Orion Portfolio Solutions LLC bought a new position in Cloudflare during the fourth quarter worth $216,000. Finally, DnB Asset Management AS boosted its position in Cloudflare by 8.0% during the fourth quarter. DnB Asset Management AS now owns 51,393 shares of the company's stock worth $5,534,000 after purchasing an additional 3,824 shares during the period. 82.68% of the stock is owned by institutional investors.

Cloudflare Company Profile

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.