Cloudflare (NYSE:NET) Price Target Raised to $300.00

Key Points

• Wells Fargo raised Cloudflare’s price target from $270 to $300 and kept an overweight rating, implying about 7.98% upside from the stock’s current price.
• Other analysts have also turned more bullish on NET, including Scotiabank and Truist, while the overall consensus remains a Moderate Buy with an average target price of $254.52.
• Cloudflare’s latest results showed strong revenue growth of 33.5% year over year and EPS of $0.25, but insiders have been selling shares recently, including CEO Matthew Prince.

Cloudflare (NYSE:NET - Get Free Report) had its price objective hoisted by stock analysts at Wells Fargo & Company from $270.00 to $300.00 in a research note issued on Monday,Benzinga reports. The brokerage currently has an "overweight" rating on the stock. Wells Fargo & Company's target price suggests a potential upside of 7.98% from the stock's current price.

A number of other research firms have also weighed in on NET. Truist Financial boosted their price objective on Cloudflare from $225.00 to $250.00 and gave the stock a "buy" rating in a research note on Thursday, June 11th. Raymond James Financial assumed coverage on Cloudflare in a report on Tuesday, July 7th. They set a "strong-buy" rating on the stock. Citigroup reissued a "market outperform" rating on shares of Cloudflare in a report on Monday. Royal Bank Of Canada reaffirmed an "outperform" rating and set a $290.00 target price on shares of Cloudflare in a research note on Thursday. Finally, Scotiabank upgraded shares of Cloudflare from a "sector perform" rating to a "sector outperform" rating and raised their price target for the stock from $225.00 to $300.00 in a report on Tuesday, July 7th. One analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating, seven have assigned a Hold rating and four have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $254.52.

Cloudflare Stock Up 0.1%

NET stock opened at $277.84 on Monday. The company has a current ratio of 1.96, a quick ratio of 1.96 and a debt-to-equity ratio of 1.29. The firm has a 50-day moving average of $236.36 and a two-hundred day moving average of $210.01. Cloudflare has a 12 month low of $158.83 and a 12 month high of $291.00. The company has a market cap of $98.21 billion, a price-to-earnings ratio of -1,111.37, a PEG ratio of 283.00 and a beta of 1.67.

Cloudflare (NYSE:NET - Get Free Report) last issued its earnings results on Thursday, May 7th. The company reported $0.25 earnings per share for the quarter, topping the consensus estimate of $0.23 by $0.02. Cloudflare had a negative return on equity of 5.65% and a negative net margin of 3.72%.The business had revenue of $639.75 million for the quarter, compared to analysts' expectations of $620.83 million. During the same period in the previous year, the firm posted $0.16 EPS. The business's revenue for the quarter was up 33.5% compared to the same quarter last year. Cloudflare has set its FY 2026 guidance at 1.190-1.200 EPS and its Q2 2026 guidance at 0.270-0.270 EPS. As a group, analysts forecast that Cloudflare will post 0.02 earnings per share for the current fiscal year.

Insider Activity at Cloudflare

In other news, CEO Matthew Prince sold 52,383 shares of the firm's stock in a transaction that occurred on Monday, July 6th. The shares were sold at an average price of $247.28, for a total value of $12,953,268.24. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director John Graham-Cumming sold 2,520 shares of the stock in a transaction that occurred on Monday, July 6th. The stock was sold at an average price of $247.28, for a total transaction of $623,145.60. Following the sale, the director owned 494,909 shares in the company, valued at approximately $122,381,097.52. This trade represents a 0.51% 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. Over the last three months, insiders sold 590,544 shares of company stock valued at $132,719,009. 10.66% of the stock is owned by company insiders.

Institutional Trading of Cloudflare

A number of large investors have recently made changes to their positions in NET. HM Payson & Co. acquired a new stake in shares of Cloudflare in the 4th quarter valued at $25,000. Wiser Advisor Group LLC acquired a new stake in shares of Cloudflare during the 3rd quarter worth about $26,000. Wexford Capital LP acquired a new position in Cloudflare in the third quarter valued at approximately $30,000. CX Institutional increased its stake in Cloudflare by 49.4% in the second quarter. CX Institutional now owns 133 shares of the company's stock valued at $33,000 after purchasing an additional 44 shares during the last quarter. Finally, Brown Brothers Harriman & Co. lifted its position in shares of Cloudflare by 55.4% during the 3rd quarter. Brown Brothers Harriman & Co. now owns 157 shares of the company's stock worth $34,000 after buying an additional 56 shares during the last quarter. 82.68% of the stock is currently owned by hedge funds and other institutional investors.

About Cloudflare

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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