Price T Rowe Associates Inc. MD Buys 148,578 Shares of Cloudflare, Inc. $NET

Key Points

• Price T Rowe Associates Inc. has increased its holdings in Cloudflare by 18.9%, owning approximately 935,920 shares valued at $105.47 million at the end of the last quarter.
• A notable insider transaction occurred when Director Carl Ledbetter sold 15,000 shares for nearly $3 million, reducing his ownership by 1.42%.
• Cloudflare recently reported a 27.8% year-over-year revenue increase with earnings per share of $0.21, exceeding analysts' estimates.

Price T Rowe Associates Inc. MD lifted its position in Cloudflare, Inc. (NYSE:NET - Free Report) by 18.9% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 935,920 shares of the company's stock after acquiring an additional 148,578 shares during the period. Price T Rowe Associates Inc. MD owned approximately 0.27% of Cloudflare worth $105,470,000 at the end of the most recent quarter.

A number of other hedge funds have also modified their holdings of the company. Vanguard Group Inc. grew its holdings in shares of Cloudflare by 1.8% in the 1st quarter. Vanguard Group Inc. now owns 30,836,909 shares of the company's stock valued at $3,475,011,000 after buying an additional 538,850 shares during the period. American Century Companies Inc. grew its stake in Cloudflare by 34.5% in the first quarter. American Century Companies Inc. now owns 3,037,420 shares of the company's stock valued at $342,287,000 after acquiring an additional 779,819 shares during the period. Northern Trust Corp grew its stake in Cloudflare by 1.7% in the first quarter. Northern Trust Corp now owns 1,880,888 shares of the company's stock valued at $211,957,000 after acquiring an additional 31,745 shares during the period. Charles Schwab Investment Management Inc. grew its stake in Cloudflare by 8.1% in the first quarter. Charles Schwab Investment Management Inc. now owns 1,321,208 shares of the company's stock valued at $148,887,000 after acquiring an additional 99,448 shares during the period. Finally, Raymond James Financial Inc. grew its stake in Cloudflare by 129.7% in the first quarter. Raymond James Financial Inc. now owns 1,097,235 shares of the company's stock valued at $123,647,000 after acquiring an additional 619,526 shares during the period. 82.68% of the stock is currently owned by institutional investors and hedge funds.

Cloudflare Stock Up 3.9%

NYSE:NET traded up $8.02 on Thursday, hitting $213.26. 2,732,248 shares of the company's stock were exchanged, compared to its average volume of 2,777,650. The firm has a 50-day moving average price of $195.56 and a 200-day moving average price of $158.03. 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, Inc. has a 52 week low of $74.88 and a 52 week high of $219.00. The company has a market cap of $74.32 billion, a P/E ratio of -627.24 and a beta of 1.84.

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

Wall Street Analysts Forecast Growth

A number of research firms have issued reports on NET. Capital One Financial raised Cloudflare from a "hold" rating to a "strong-buy" rating in a research note on Thursday, May 8th. Stifel Nicolaus boosted their target price on Cloudflare from $175.00 to $230.00 and gave the company a "buy" rating in a research note on Friday, August 1st. Bank of America upped their target price on shares of Cloudflare from $235.00 to $240.00 and gave the stock a "buy" rating in a research note on Friday, August 1st. Scotiabank upped their target price on shares of Cloudflare from $135.00 to $200.00 and gave the stock a "sector perform" rating in a research note on Friday, August 1st. Finally, Guggenheim upped their target price on shares of Cloudflare from $70.00 to $111.00 and gave the stock a "sell" rating in a research note on Friday, August 1st. One analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating, nine have assigned a Hold rating and three have given a Sell rating to the company's stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $191.28.

Insider Buying and Selling

In other Cloudflare news, Director Carl Ledbetter sold 15,000 shares of the stock in a transaction dated Monday, August 25th. The shares were sold at an average price of $195.73, for a total value of $2,935,950.00. Following the transaction, the director directly owned 1,028,073 shares of the company's stock, valued at $201,224,728.29. This represents a 1.44% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Douglas James Kramer sold 3,000 shares of the stock in a transaction dated Friday, August 1st. The shares were sold at an average price of $198.22, for a total transaction of $594,660.00. Following the completion of the transaction, the insider directly owned 157,377 shares in the company, valued at approximately $31,195,268.94. This represents a 1.87% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 731,705 shares of company stock worth $138,296,322 in the last 90 days. 10.89% of the stock is owned by corporate insiders.

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.