DNB Asset Management AS Sells 9,341 Shares of Cloudflare, Inc. $NET

Key Points

• DNB Asset Management AS trimmed its Cloudflare stake by 10% in the fourth quarter, selling 9,341 shares and leaving it with 84,301 shares valued at about $16.6 million.
• Cloudflare reported better-than-expected Q1 results, posting EPS of $0.25 on revenue of $639.8 million, with revenue up 33.5% year over year. The company also issued FY2026 and Q2 2026 guidance above prior-period results.
• Despite some mixed analyst moves, Wall Street still sees Cloudflare positively overall, with a Moderate Buy consensus and an average price target of $236.68. Insider selling has also been notable, with directors John Graham-Cumming and Carl Ledbetter making recent sales under Rule 10b5-1 plans.

DNB Asset Management AS lessened its holdings in Cloudflare, Inc. (NYSE:NET - Free Report) by 10.0% during the 4th quarter, according to its most recent filing with the Securities & Exchange Commission. The firm owned 84,301 shares of the company's stock after selling 9,341 shares during the period. DNB Asset Management AS's holdings in Cloudflare were worth $16,620,000 at the end of the most recent reporting period.

Several other institutional investors have also recently made changes to their positions in NET. Jennison Associates LLC lifted its stake in shares of Cloudflare by 802.6% in the 4th quarter. Jennison Associates LLC now owns 1,863,612 shares of the company's stock worth $367,411,000 after purchasing an additional 1,657,144 shares during the period. Groupama Asset Managment lifted its stake in shares of Cloudflare by 82.6% in the 3rd quarter. Groupama Asset Managment now owns 2,100,000 shares of the company's stock worth $450,639,000 after purchasing an additional 950,000 shares during the period. Vanguard Group Inc. lifted its stake in shares of Cloudflare by 2.6% in the 3rd quarter. Vanguard Group Inc. now owns 32,317,249 shares of the company's stock worth $6,934,958,000 after purchasing an additional 821,684 shares during the period. Rakuten Investment Management Inc. bought a new position in shares of Cloudflare in the 3rd quarter worth approximately $138,660,000. Finally, Massachusetts Financial Services Co. MA lifted its stake in shares of Cloudflare by 96.3% in the 3rd quarter. Massachusetts Financial Services Co. MA now owns 1,302,893 shares of the company's stock worth $279,588,000 after purchasing an additional 639,245 shares during the period. Institutional investors own 82.68% of the company's stock.

Insider Buying and Selling at Cloudflare

In other Cloudflare news, Director John Graham-Cumming sold 2,520 shares of the stock in a transaction that occurred on Monday, May 4th. The shares were sold at an average price of $221.58, for a total transaction of $558,381.60. Following the completion of the sale, the director directly owned 494,067 shares of the company's stock, valued at $109,475,365.86. This trade represents a 0.51% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Carl Ledbetter sold 15,000 shares of the stock in a transaction that occurred on Tuesday, May 5th. The shares were sold at an average price of $238.12, for a total transaction of $3,571,800.00. Following the sale, the director directly owned 908,073 shares of the company's stock, valued at approximately $216,230,342.76. This trade represents a 1.63% 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 90 days, insiders sold 636,246 shares of company stock worth $125,320,379. Insiders own 10.89% of the company's stock.

Cloudflare Trading Down 1.3%

Cloudflare stock opened at $197.14 on Friday. The firm has a 50 day moving average of $206.94 and a 200 day moving average of $200.09. The firm has a market capitalization of $69.68 billion, a price-to-earnings ratio of -788.54 and a beta of 1.67. Cloudflare, Inc. has a 12-month low of $152.41 and a 12-month high of $260.00. The company has a current ratio of 1.96, a quick ratio of 1.98 and a debt-to-equity ratio of 1.29.

Cloudflare (NYSE:NET - Get Free Report) last released its earnings results on Thursday, May 7th. The company reported $0.25 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.23 by $0.02. Cloudflare had a negative net margin of 3.72% and a negative return on equity of 5.65%. The company had revenue of $639.76 million during the quarter, compared to analyst estimates of $620.83 million. During the same period in the prior year, the firm posted $0.16 EPS. The firm's quarterly revenue 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, research analysts predict that Cloudflare, Inc. will post -0.09 earnings per share for the current year.

Wall Street Analysts Forecast Growth

NET has been the topic of several recent research reports. Piper Sandler reiterated an "overweight" rating and issued a $250.00 price objective (up from $222.00) on shares of Cloudflare in a research note on Friday, May 8th. Robert W. Baird set a $260.00 price objective on shares of Cloudflare and gave the stock an "outperform" rating in a research note on Wednesday, February 11th. The Goldman Sachs Group cut shares of Cloudflare from a "buy" rating to a "sell" rating in a research note on Wednesday, April 15th. KeyCorp cut shares of Cloudflare from an "overweight" rating to a "hold" rating in a research note on Wednesday, April 15th. Finally, DZ Bank raised shares of Cloudflare from a "hold" rating to a "buy" rating and set a $215.00 target price for the company in a report on Friday, February 13th. Eighteen analysts have rated the stock with a Buy rating, seven have issued a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $236.68.

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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