Forsta AP Fonden Acquires 39,100 Shares of Cloudflare, Inc. $NET

Key Points

• Forsta AP Fonden increased its Cloudflare stake by 58.4% in the fourth quarter, buying 39,100 additional shares and bringing its total holding to 106,100 shares worth about $20.9 million.
• Cloudflare reported strong quarterly results, with EPS of $0.25 beating estimates and revenue of $639.76 million topping forecasts; revenue also rose 33.5% year over year.
• Despite the solid results, insiders sold shares recently, including CEO Matthew Prince and Director Carl Ledbetter, while analysts currently rate the stock a Moderate Buy with an average target price of $236.68.

Forsta AP Fonden grew its holdings in Cloudflare, Inc. (NYSE:NET - Free Report) by 58.4% in the fourth quarter, according to its most recent filing with the Securities & Exchange Commission. The institutional investor owned 106,100 shares of the company's stock after buying an additional 39,100 shares during the period. Forsta AP Fonden's holdings in Cloudflare were worth $20,918,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other large investors have also recently made changes to their positions in the business. Physician Wealth Advisors Inc. raised its position in shares of Cloudflare by 693.3% during the 3rd quarter. Physician Wealth Advisors Inc. now owns 119 shares of the company's stock valued at $26,000 after buying an additional 104 shares in the last quarter. Wiser Advisor Group LLC purchased a new stake in shares of Cloudflare during the 3rd quarter valued at about $26,000. Westside Investment Management Inc. raised its position in shares of Cloudflare by 100.0% during the 3rd quarter. Westside Investment Management Inc. now owns 130 shares of the company's stock valued at $28,000 after buying an additional 65 shares in the last quarter. Wexford Capital LP purchased a new stake in shares of Cloudflare during the 3rd quarter valued at about $30,000. Finally, Ameriflex Group Inc. raised its position in shares of Cloudflare by 105.6% during the 3rd quarter. Ameriflex Group Inc. now owns 148 shares of the company's stock valued at $32,000 after buying an additional 76 shares in the last quarter. 82.68% of the stock is currently owned by institutional investors.

Cloudflare Stock Performance

NYSE:NET opened at $241.82 on Friday. The stock's fifty day moving average is $208.57 and its 200 day moving average is $198.97. Cloudflare, Inc. has a fifty-two week low of $158.83 and a fifty-two week high of $260.00. The firm has a market capitalization of $85.48 billion, a PE ratio of -967.27 and a beta of 1.67. The company has a debt-to-equity ratio of 1.29, a quick ratio of 1.96 and a current ratio of 1.96.

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

Insiders Place Their Bets

In other Cloudflare news, CEO Matthew Prince sold 52,384 shares of the stock in a transaction on Thursday, May 21st. The stock was sold at an average price of $210.66, for a total value of $11,035,213.44. Following the sale, the chief executive officer owned 25,550 shares in the company, valued at $5,382,363. This trade represents a 67.22% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. 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 on Tuesday, May 5th. The stock was sold at an average price of $238.12, for a total value of $3,571,800.00. Following the completion of the sale, the director owned 908,073 shares in the company, valued at approximately $216,230,342.76. The trade was a 1.63% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 585,862 shares of company stock valued at $121,988,011. Insiders own 10.89% of the company's stock.

Analysts Set New Price Targets

Several analysts have recently issued reports on NET shares. KeyCorp cut shares of Cloudflare from an "overweight" rating to a "hold" rating in a research report on Wednesday, April 15th. Royal Bank Of Canada restated an "outperform" rating on shares of Cloudflare in a report on Friday, May 22nd. Mizuho decreased their price target on Cloudflare from $255.00 to $235.00 and set an "outperform" rating on the stock in a report on Tuesday, April 14th. Susquehanna increased their price target on Cloudflare from $190.00 to $200.00 and gave the company a "neutral" rating in a report on Monday, May 11th. Finally, Jefferies Financial Group initiated coverage on Cloudflare in a report on Wednesday, April 15th. They set a "buy" rating on the stock. Eighteen analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and three have given a Sell rating to the company's stock. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average target price of $236.68.

Cloudflare Company Profile

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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