Focused Wealth Management Inc Takes Position in Cloudflare, Inc. $NET

Key Points

• Focused Wealth Management Inc has acquired a stake in Cloudflare, Inc. ($NET) worth approximately $296,000 by purchasing 1,513 shares in the second quarter.
• Cloudflare reported a quarterly earnings per share (EPS) of $0.21, surpassing estimates and showing a 27.8% increase in revenue year-over-year.
• A significant portion of Cloudflare's stock, approximately 82.68%, is owned by institutional investors and hedge funds, indicating strong institutional interest.

Focused Wealth Management Inc bought a new stake in Cloudflare, Inc. (NYSE:NET - Free Report) in the 2nd quarter, according to its most recent filing with the Securities & Exchange Commission. The institutional investor bought 1,513 shares of the company's stock, valued at approximately $296,000.

A number of other hedge funds have also recently added to or reduced their stakes in NET. Mather Group LLC. lifted its holdings in shares of Cloudflare by 1,188.2% during the 1st quarter. Mather Group LLC. now owns 219 shares of the company's stock worth $25,000 after acquiring an additional 202 shares during the period. NBC Securities Inc. purchased a new position in Cloudflare during the first quarter worth approximately $27,000. GPS Wealth Strategies Group LLC boosted its holdings in shares of Cloudflare by 213.4% in the 1st quarter. GPS Wealth Strategies Group LLC now owns 257 shares of the company's stock valued at $29,000 after purchasing an additional 175 shares during the last quarter. MassMutual Private Wealth & Trust FSB grew its stake in shares of Cloudflare by 115.4% during the 1st quarter. MassMutual Private Wealth & Trust FSB now owns 265 shares of the company's stock valued at $30,000 after buying an additional 142 shares during the period. Finally, Global Financial Private Client LLC increased its holdings in shares of Cloudflare by 38,100.0% during the 1st quarter. Global Financial Private Client LLC now owns 382 shares of the company's stock worth $43,000 after buying an additional 381 shares during the last quarter. 82.68% of the stock is owned by institutional investors and hedge funds.

Cloudflare Price Performance

NET opened at $228.21 on Tuesday. The company has a market capitalization of $79.52 billion, a P/E ratio of -671.19 and a beta of 1.95. The company has a 50-day moving average of $205.56 and a 200-day moving average of $165.78. The company has a debt-to-equity ratio of 2.63, a quick ratio of 5.14 and a current ratio of 5.14. Cloudflare, Inc. has a 1-year low of $77.80 and a 1-year high of $230.10.

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. Cloudflare had a negative net margin of 6.22% and a negative return on equity of 8.42%. The business had revenue of $512.32 million for the quarter, compared to analysts' expectations of $501.58 million. During the same quarter last year, the company posted $0.20 earnings per share. The company's quarterly revenue 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. Equities analysts expect that Cloudflare, Inc. will post -0.11 EPS for the current fiscal year.

Insider Transactions 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 stock was sold at an average price of $200.17, for a total value of $6,859,825.90. Following the completion of the sale, the chief financial officer directly owned 241,550 shares in the company, valued at approximately $48,351,063.50. The trade was a 12.42% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Michelle Zatlyn sold 35,100 shares of the firm's stock in a transaction on Thursday, August 21st. The stock was sold at an average price of $191.71, for a total value of $6,729,021.00. Following the transaction, the insider owned 14,575 shares in the company, valued at $2,794,173.25. This trade represents a 70.66% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 690,738 shares of company stock worth $137,603,592 in the last quarter. Insiders own 10.89% of the company's stock.

Analyst Ratings Changes

A number of brokerages recently weighed in on NET. Needham & Company LLC lifted their target price on Cloudflare from $200.00 to $240.00 and gave the company a "buy" rating in a report on Friday, August 1st. Morgan Stanley lifted their price objective on Cloudflare from $225.00 to $235.00 and gave the company an "overweight" rating in a research note on Friday, August 1st. Cowen reissued a "buy" rating on shares of Cloudflare in a research report on Monday, June 16th. Mizuho lifted their price target on shares of Cloudflare from $220.00 to $240.00 and gave the company an "outperform" rating in a research report on Friday, August 1st. Finally, Stifel Nicolaus boosted their price objective on shares of Cloudflare from $175.00 to $230.00 and gave the stock a "buy" rating in a research note on Friday, August 1st. One investment 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. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus 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.

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