Versor Investments LP Buys New Holdings in Cloudflare, Inc. $NET

Key Points

• Versor Investments LP acquired 2,637 shares of Cloudflare, Inc. valued at approximately $297,000, reflecting growing interest in the company among institutional investors.
• Cloudflare recently reported a 27.8% increase in revenue year-over-year, with earnings surpassing analysts' expectations at $0.21 EPS for the last quarter.
• Several brokerages have raised their price targets for Cloudflare, with Royal Bank of Canada setting a new target of $228.00, indicating strong potential for future growth.

Versor Investments LP acquired a new stake in shares of Cloudflare, Inc. (NYSE:NET - Free Report) during the first quarter, according to its most recent filing with the SEC. The fund acquired 2,637 shares of the company's stock, valued at approximately $297,000.

A number of other hedge funds and other institutional investors also recently made changes to their positions in the stock. Vanguard Group Inc. raised its stake in shares of Cloudflare by 1.8% during the 1st quarter. Vanguard Group Inc. now owns 30,836,909 shares of the company's stock valued at $3,475,011,000 after purchasing an additional 538,850 shares during the period. American Century Companies Inc. raised its stake in shares of Cloudflare by 34.5% during the 1st quarter. American Century Companies Inc. now owns 3,037,420 shares of the company's stock valued at $342,287,000 after purchasing an additional 779,819 shares during the period. Northern Trust Corp grew its position in Cloudflare by 13.5% during the fourth quarter. Northern Trust Corp now owns 1,849,143 shares of the company's stock worth $199,116,000 after buying an additional 219,764 shares in the last quarter. Charles Schwab Investment Management Inc. grew its position in Cloudflare by 8.1% during the first quarter. Charles Schwab Investment Management Inc. now owns 1,321,208 shares of the company's stock worth $148,887,000 after buying an additional 99,448 shares in the last quarter. Finally, Raymond James Financial Inc. grew its position in Cloudflare by 129.7% during the first quarter. Raymond James Financial Inc. now owns 1,097,235 shares of the company's stock worth $123,647,000 after buying an additional 619,526 shares in the last quarter. 82.68% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

Several equities analysts recently commented on NET shares. JMP Securities boosted their target price on Cloudflare from $180.00 to $225.00 and gave the stock a "market outperform" rating in a research report on Monday, July 28th. Wells Fargo & Company boosted their target price on Cloudflare from $225.00 to $250.00 and gave the stock an "overweight" rating in a research report on Friday, August 1st. Stifel Nicolaus boosted their target price on Cloudflare from $175.00 to $230.00 and gave the stock a "buy" rating in a research report on Friday, August 1st. Oppenheimer restated an "outperform" rating and set a $200.00 target price (up from $165.00) on shares of Cloudflare in a research report on Thursday, June 5th. Finally, Susquehanna reduced their target price on Cloudflare from $170.00 to $140.00 and set a "neutral" rating for the company in a research report on Monday, May 12th. One research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, nine have given a Hold rating and three have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $191.28.

Insider Buying and Selling

In related news, insider Michelle Zatlyn sold 25,642 shares of the stock in a transaction dated Wednesday, June 4th. The stock was sold at an average price of $173.00, for a total transaction of $4,436,066.00. Following the completion of the sale, the insider directly owned 6,390 shares in the company, valued at $1,105,470. This represents a 80.05% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CFO Thomas J. Seifert sold 34,270 shares of the stock in a transaction dated Monday, July 21st. The shares were sold at an average price of $200.17, for a total value of $6,859,825.90. Following the sale, the chief financial officer owned 241,550 shares of the company's stock, valued at $48,351,063.50. This represents a 12.42% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 630,323 shares of company stock valued at $118,661,105 over the last three months. 10.89% of the stock is owned by corporate insiders.

Cloudflare Trading Up 1.6%

Shares of NET traded up $3.1630 during midday trading on Friday, reaching $195.9330. The stock had a trading volume of 1,416,685 shares, compared to its average volume of 2,910,497. The company's 50-day moving average is $193.75 and its 200 day moving average is $156.93. Cloudflare, Inc. has a 12-month low of $74.88 and a 12-month high of $219.00. The company has a debt-to-equity ratio of 2.63, a current ratio of 5.14 and a quick ratio of 5.14.

Cloudflare (NYSE:NET - Get Free Report) last posted its quarterly earnings data on Thursday, July 31st. The company reported $0.21 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.18 by $0.03. Cloudflare had a negative return on equity of 8.42% and a negative net margin of 6.22%.The firm had revenue of $512.32 million during the quarter, compared to analysts' expectations of $501.58 million. During the same period in the prior year, the business earned $0.20 EPS. The company's revenue for the quarter was up 27.8% compared to the same quarter last year. Cloudflare has set its FY 2025 guidance at 0.850-0.860 EPS. Q3 2025 guidance at 0.230-0.23 EPS. Sell-side analysts expect that Cloudflare, Inc. will post -0.11 EPS for the current year.

Cloudflare 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.