Geneos Wealth Management Inc. Raises Holdings in Cloudflare, Inc. $NET

Key Points

• Geneos Wealth Management Inc. has increased its stake in Cloudflare, Inc. by 20.2%, acquiring an additional 2,540 shares, bringing its total ownership to 15,112 shares valued at approximately $1.7 million.
• Analysts have raised their price targets for Cloudflare, with Needham & Company LLC setting a new target of $240.00, indicating strong growth expectations for the stock.
• Cloudflare's recent quarterly earnings showed a revenue increase of 27.8% year-over-year, with the company reporting $512.32 million in revenue and a positive earnings surprise.

Geneos Wealth Management Inc. raised its stake in shares of Cloudflare, Inc. (NYSE:NET - Free Report) by 20.2% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 15,112 shares of the company's stock after purchasing an additional 2,540 shares during the quarter. Geneos Wealth Management Inc.'s holdings in Cloudflare were worth $1,703,000 at the end of the most recent reporting period.

A number of other hedge funds have also bought and sold shares of NET. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in Cloudflare by 33.5% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 3,129,030 shares of the company's stock valued at $352,610,000 after purchasing an additional 786,063 shares in the last quarter. Nuveen LLC acquired a new position in Cloudflare during the 1st quarter valued at approximately $88,203,000. American Century Companies Inc. increased its stake in Cloudflare by 34.5% during the 1st quarter. American Century Companies Inc. now owns 3,037,420 shares of the company's stock valued at $342,287,000 after purchasing an additional 779,819 shares in the last quarter. Raymond James Financial Inc. increased its stake in shares of Cloudflare by 129.7% in the first quarter. Raymond James Financial Inc. now owns 1,097,235 shares of the company's stock worth $123,647,000 after acquiring an additional 619,526 shares during the period. Finally, Vanguard Group Inc. increased its stake in shares of Cloudflare by 1.8% in the first quarter. Vanguard Group Inc. now owns 30,836,909 shares of the company's stock worth $3,475,011,000 after acquiring an additional 538,850 shares during the period. Institutional investors and hedge funds own 82.68% of the company's stock.

Cloudflare Price Performance

Shares of NYSE:NET traded down $3.16 during trading on Friday, reaching $221.48. 1,552,402 shares of the company's stock traded hands, compared to its average volume of 1,979,402. Cloudflare, Inc. has a fifty-two week low of $77.60 and a fifty-two week high of $230.10. The company has a quick ratio of 5.14, a current ratio of 5.14 and a debt-to-equity ratio of 2.63. The firm has a market cap of $77.18 billion, a PE ratio of -651.41 and a beta of 1.95. The company has a 50-day simple moving average of $201.32 and a 200-day simple moving average of $162.23.

Cloudflare (NYSE:NET - Get Free Report) last posted its quarterly earnings data on Thursday, July 31st. The company reported $0.21 EPS for the quarter, beating analysts' consensus estimates of $0.18 by $0.03. The business had revenue of $512.32 million during the quarter, compared to analysts' expectations of $501.58 million. Cloudflare had a negative return on equity of 8.42% and a negative net margin of 6.22%.The business's revenue was up 27.8% compared to the same quarter last year. During the same period in the previous year, the business 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. As a group, analysts predict that Cloudflare, Inc. will post -0.11 earnings per share for the current year.

Insiders Place Their Bets

In other news, CFO Thomas J. Seifert sold 41,555 shares of the business's stock in a transaction that occurred on Wednesday, August 20th. The stock was sold at an average price of $190.64, for a total value of $7,922,045.20. Following the completion of the sale, the chief financial officer directly owned 189,517 shares in the company, valued at $36,129,520.88. The trade was a 17.98% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, Director Carl Ledbetter sold 15,000 shares of the business's stock in a transaction that occurred on 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 completion of the sale, the director owned 1,028,073 shares of the company's stock, valued at $201,224,728.29. This trade represents a 1.44% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 685,788 shares of company stock valued at $135,600,920. 10.89% of the stock is owned by insiders.

Analysts Set New Price Targets

A number of analysts have recently weighed in on the stock. Scotiabank increased their price objective 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. Robert W. Baird increased their price objective on shares of Cloudflare from $148.00 to $175.00 and gave the stock a "neutral" rating in a research note on Friday, July 25th. Guggenheim boosted their price target on Cloudflare from $70.00 to $111.00 and gave the company a "sell" rating in a report on Friday, August 1st. Royal Bank Of Canada upped their price objective on Cloudflare from $210.00 to $228.00 and gave the stock an "outperform" rating in a research report on Friday, August 1st. Finally, Morgan Stanley raised their price objective on shares of Cloudflare from $225.00 to $235.00 and gave the stock an "overweight" 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 assigned a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $191.28.

Cloudflare 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.