Cloudflare (NYSE:NET) Stock Price Expected to Rise, Susquehanna Analyst Says

Key Points

• Susquehanna raised Cloudflare’s price target to $300 from $200 but maintained a neutral rating, implying only 0.28% upside from the previous close. The broader analyst consensus is “Moderate Buy,” with an average target of $315.19.
• Cloudflare reported strong quarterly results, including revenue of $696.06 million, up 35.9% year over year, and EPS of $0.29 versus the $0.27 consensus estimate. Analysts cited continued growth and the company’s expansion into AI-agent tools as potential catalysts.
• Risks remain, including negative net margins, a proposed $2.175 billion convertible-note offering that could create dilution, and substantial insider selling under pre-arranged trading plans.

Cloudflare (NYSE:NET - Get Free Report) had its price target raised by equities research analysts at Susquehanna from $200.00 to $300.00 in a research note issued to investors on Monday,Benzinga reports. The firm presently has a "neutral" rating on the stock. Susquehanna's price target would suggest a potential upside of 0.28% from the stock's previous close.

Several other research analysts have also commented on NET. Truist Financial boosted their price target on Cloudflare from $300.00 to $350.00 and gave the stock a "buy" rating in a research report on Friday. Wells Fargo & Company raised their price objective on Cloudflare from $300.00 to $380.00 and gave the stock an "overweight" rating in a research report on Friday. Raymond James Financial started coverage on Cloudflare in a research report on Tuesday, July 7th. They set a "strong-buy" rating on the stock. Weiss Ratings restated a "sell (d-)" rating on shares of Cloudflare in a research note on Friday, July 17th. Finally, Needham & Company LLC lifted their target price on shares of Cloudflare from $280.00 to $380.00 and gave the stock a "buy" rating in a research note on Friday. Two investment analysts have rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating, six have issued a Hold rating and three have given a Sell rating to the company. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $315.19.

Cloudflare Price Performance

NET stock opened at $299.17 on Monday. The stock has a market cap of $105.75 billion, a PE ratio of -520.32, a P/E/G ratio of 207.29 and a beta of 1.65. The company has a 50-day moving average price of $257.02 and a 200 day moving average price of $219.08. Cloudflare has a 12 month low of $158.83 and a 12 month high of $324.73. The company has a current ratio of 1.82, a quick ratio of 1.82 and a debt-to-equity ratio of 1.22.

Cloudflare (NYSE:NET - Get Free Report) last posted its quarterly earnings data on Wednesday, August 5th. The company reported $0.29 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.27 by $0.02. Cloudflare had a negative return on equity of 3.88% and a negative net margin of 8.21%.The company had revenue of $696.06 million during the quarter, compared to analysts' expectations of $664.66 million. During the same quarter in the previous year, the business earned $0.21 EPS. Cloudflare's revenue was up 35.9% compared to the same quarter last year. Equities research analysts anticipate that Cloudflare will post 0.03 earnings per share for the current year.

Insider Buying and Selling

In other news, CFO Thomas J. Seifert sold 55,000 shares of the company's stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $300.30, for a total value of $16,516,500.00. Following the transaction, the chief financial officer directly owned 113,790 shares in the company, valued at approximately $34,171,137. This represents a 32.58% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Matthew Prince sold 33,631 shares of Cloudflare stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $296.10, for a total transaction of $9,958,139.10. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 749,532 shares of company stock valued at $183,882,628 in the last quarter. Corporate insiders own 10.66% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the company. HM Payson & Co. acquired a new stake in shares of Cloudflare in the 4th quarter worth $25,000. Wiser Advisor Group LLC acquired a new position in shares of Cloudflare during the 3rd quarter worth approximately $26,000. Wexford Capital LP acquired a new stake in Cloudflare during the 3rd quarter valued at $30,000. CX Institutional boosted its stake in shares of Cloudflare by 49.4% during the second quarter. CX Institutional now owns 133 shares of the company's stock valued at $33,000 after acquiring an additional 44 shares during the last quarter. Finally, Cape Investment Advisory Inc. purchased a new stake in Cloudflare during the 2nd quarter worth about $33,000. Hedge funds and other institutional investors own 82.68% of the company's stock.

Cloudflare News Summary

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Raised outlook and strong Q2 results: Cloudflare reported revenue of $696.06 million, up 35.9% year over year and above estimates, while adjusted earnings also exceeded expectations. Management raised its third-quarter and full-year 2026 revenue outlook, strengthening the growth narrative. Cloudflare Is Up 7.6% After Raising 2026 Revenue Outlook And Expanding Its AI-Agent Platform
• Positive Sentiment: Expansion into agentic AI: Cloudflare introduced Cloudflare OS, an Identity-Aware AI Gateway, Cloudflare Wallets, and other tools aimed at helping developers and enterprises build, govern and monetize AI agents. Investors may view these products as expanding Cloudflare’s addressable market and supporting future platform growth. Cloudflare Expands Its AI Agent Platform With Cloudflare OS And Wallets
• Positive Sentiment: More favorable analyst views: Several analysts raised their price targets to $333, $346 and $380, while RBC Capital issued a Buy rating and Truist projected significant appreciation. The target increases reinforce confidence in Cloudflare’s growth and AI opportunity. Cloudflare Price Target Raised to $346
• Neutral Sentiment: Growth remains costly: Although revenue momentum is strong, Cloudflare’s net loss widened to approximately $170 million in the quarter and margins were broadly steady, leaving execution and profitability important issues for investors. NET Q2 Deep Dive
• Negative Sentiment: Convertible-note offering: Cloudflare announced a proposed private offering of $2.175 billion of convertible senior notes due 2031. The financing adds cash for corporate purposes but could increase debt obligations and create future shareholder dilution if the notes convert. Cloudflare Announces Proposed Private Offering
• Negative Sentiment: Insider selling: Cloudflare’s CFO sold approximately $16.5 million of stock, which may temper sentiment after the recent rally, although one executive transaction does not necessarily indicate a change in business prospects. Cloudflare CFO Sells Stock

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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