Ieq Capital LLC Boosts Holdings in Cloudflare, Inc. $NET

Key Points

• Ieq Capital LLC increased its stake in Cloudflare, Inc. by 307.6% in the first quarter, owning 14,860 shares now valued at $1,675,000.
• Wall Street analysts are optimistic about Cloudflare's growth, with multiple firms raising their price targets; the average target price now stands at $191.28 with a consensus rating of "Moderate Buy."
• CFO Thomas J. Seifert sold over 41,000 shares worth approximately $7.9 million, leading to a significant decline in his ownership percentage of the company.

Ieq Capital LLC raised its stake in Cloudflare, Inc. (NYSE:NET - Free Report) by 307.6% in the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 14,860 shares of the company's stock after purchasing an additional 11,214 shares during the period. Ieq Capital LLC's holdings in Cloudflare were worth $1,675,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. CreativeOne Wealth LLC grew its holdings in shares of Cloudflare by 3.7% during the first quarter. CreativeOne Wealth LLC now owns 7,237 shares of the company's stock valued at $816,000 after buying an additional 255 shares during the last quarter. FORA Capital LLC acquired a new position in shares of Cloudflare during the first quarter valued at about $5,080,000. Bank of Hawaii acquired a new position in shares of Cloudflare during the first quarter valued at about $687,000. Connective Capital Management LLC acquired a new position in shares of Cloudflare during the first quarter valued at about $1,429,000. Finally, Comerica Bank grew its holdings in shares of Cloudflare by 46.2% during the first quarter. Comerica Bank now owns 12,947 shares of the company's stock valued at $1,459,000 after buying an additional 4,091 shares during the last quarter. 82.68% of the stock is owned by institutional investors.

Cloudflare Stock Performance

NET traded up $4.27 during midday trading on Friday, reaching $214.25. The company had a trading volume of 1,210,584 shares, compared to its average volume of 3,521,073. The company has a debt-to-equity ratio of 2.63, a quick ratio of 5.14 and a current ratio of 5.14. The stock has a market cap of $74.66 billion, a PE ratio of -630.64 and a beta of 1.95. Cloudflare, Inc. has a 12-month low of $74.88 and a 12-month high of $219.00. The business has a 50-day moving average price of $197.79 and a two-hundred day moving average price of $159.26.

Cloudflare (NYSE:NET - Get Free Report) last released its earnings results on Thursday, July 31st. The company reported $0.21 earnings per share for the quarter, beating analysts' consensus estimates 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 quarterly revenue was up 27.8% on a year-over-year basis. During the same period in the previous year, the company earned $0.20 earnings per share. Cloudflare has set its FY 2025 guidance at 0.850-0.860 EPS. Q3 2025 guidance at 0.230-0.23 EPS. On average, sell-side analysts expect that Cloudflare, Inc. will post -0.11 earnings per share for the current fiscal year.

Insider Activity at Cloudflare

In other news, CFO Thomas J. Seifert sold 34,270 shares of the business's stock in a transaction that occurred on 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. 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 at the SEC website. Also, CEO Matthew Prince sold 52,384 shares of the business's stock in a transaction that occurred on Friday, June 13th. The shares were sold at an average price of $171.25, for a total transaction of $8,970,760.00. Following the completion of the sale, the chief executive officer directly owned 381,213 shares in the company, valued at approximately $65,282,726.25. This trade represents a 12.08% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 687,029 shares of company stock valued at $130,970,115 in the last three months. Insiders own 10.89% of the company's stock.

Wall Street Analyst Weigh In

NET has been the subject of a number of analyst reports. Mizuho lifted their price objective on shares of Cloudflare from $220.00 to $240.00 and gave the company an "outperform" rating in a report on Friday, August 1st. Needham & Company LLC boosted their price target on shares of Cloudflare from $200.00 to $240.00 and gave the stock a "buy" rating in a report on Friday, August 1st. Susquehanna cut their price target on shares of Cloudflare from $170.00 to $140.00 and set a "neutral" rating on the stock in a report on Monday, May 12th. Cantor Fitzgerald boosted their price target on shares of Cloudflare from $162.00 to $199.00 and gave the stock a "neutral" rating in a report on Friday, August 1st. Finally, CICC Research upgraded shares of Cloudflare from a "market perform" rating to an "outperform" rating and set a $154.00 price target on the stock in a report on Monday, May 12th. One analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating, nine have given a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat, Cloudflare presently has an average rating of "Moderate Buy" and an average target price of $191.28.

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.