Global Wealth Management Investment Advisory Inc. Sells 4,123 Shares of Cloudflare, Inc. $NET

Key Points

• Global Wealth Management Investment Advisory cut its Cloudflare stake by 16.9% in the third quarter, selling 4,123 shares and retaining 20,301 shares valued at about $7.05 million.
• Institutional investors’ moves were mixed: several funds increased holdings, and hedge funds and other institutions collectively owned 82.68% of Cloudflare’s stock.
• Cloudflare reported quarterly revenue growth of 39.2% to $782.5 million and EPS of $0.38, beating analyst expectations; analyst ratings remain mixed, with a MarketBeat consensus of “Moderate Buy.”

Global Wealth Management Investment Advisory Inc. lessened its holdings in Cloudflare, Inc. (NYSE:NET - Free Report) by 16.9% in the 3rd quarter, according to its most recent filing with the SEC. The firm owned 20,301 shares of the company's stock after selling 4,123 shares during the period. Global Wealth Management Investment Advisory Inc.'s holdings in Cloudflare were worth $7,050,000 at the end of the most recent quarter.

Several other hedge funds have also recently modified their holdings of NET. 71 West Capital Partners lifted its holdings in Cloudflare by 14.4% during the third quarter. 71 West Capital Partners now owns 1,158 shares of the company's stock worth $402,000 after buying an additional 146 shares during the period. AEGON ASSET MANAGEMENT UK Plc boosted its position in Cloudflare by 23.0% during the 3rd quarter. AEGON ASSET MANAGEMENT UK Plc now owns 237,582 shares of the company's stock valued at $82,507,000 after acquiring an additional 44,354 shares in the last quarter. Gryphon Financial Partners LLC bought a new stake in Cloudflare during the 3rd quarter valued at $249,000. Kestra Investment Management LLC increased its holdings in shares of Cloudflare by 34.2% in the 3rd quarter. Kestra Investment Management LLC now owns 2,216 shares of the company's stock valued at $769,000 after acquiring an additional 565 shares during the period. Finally, AlphaCore Capital LLC increased its holdings in shares of Cloudflare by 79.1% in the 3rd quarter. AlphaCore Capital LLC now owns 3,601 shares of the company's stock valued at $1,251,000 after acquiring an additional 1,590 shares during the period. Hedge funds and other institutional investors own 82.68% of the company's stock.

Trending Headlines about Cloudflare

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Q3 revenue rose 39.2% year over year to $782.5 million, beating expectations, while non-GAAP EPS of $0.38 also topped consensus. The company’s next-quarter revenue forecast was above analysts’ estimates, and management raised its 2026 outlook. NET Q3 2026 deep dive
• Positive Sentiment: Management cited strength in developer and security demand, including AI-related usage, and moved its target for GAAP profitability forward to Q4 2026. That could reassure investors that growth may translate into improved earnings. Cloudflare Q3 earnings call
• Neutral Sentiment: Analyst actions were mixed: Wolfe Research upgraded Cloudflare to Outperform, while Scotiabank, Needham and Cantor Fitzgerald lowered price targets. The differing views underscore uncertainty about how much of the strong outlook is already reflected in the shares. Wolfe Research upgrade Scotiabank price target
• Negative Sentiment: Reports flagged a growing margin challenge even as revenue growth accelerated. Cloudflare’s high valuation may also leave the stock vulnerable if growth or progress toward profitability disappoints. Cloudflare's best quarter ever hit with a growing margin challenge Cloudflare sell-off and valuation

Wall Street Analyst Weigh In

Several research firms have recently commented on NET. TD Cowen lowered Cloudflare from a "buy" rating to a "hold" rating in a research report on Tuesday, November 3rd. Wells Fargo & Company raised their price objective on Cloudflare from $380.00 to $400.00 and gave the company an "overweight" rating in a research report on Wednesday, October 28th. Citigroup reaffirmed a "market outperform" rating on shares of Cloudflare in a research report on Monday, August 31st. Truist Financial lifted their target price on Cloudflare from $300.00 to $350.00 and gave the company a "buy" rating in a research note on Friday, August 7th. Finally, Wolfe Research upgraded shares of Cloudflare from a "hold" rating to an "outperform" rating in a report on Friday. Twenty-five equities research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and four have given a Sell rating to the company's stock. According to MarketBeat, Cloudflare has an average rating of "Moderate Buy" and an average target price of $335.33.

Insider Activity

In other news, insider Michelle Zatlyn sold 33,003 shares of the company's stock in a transaction dated Tuesday, September 8th. The shares were sold at an average price of $277.43, for a total transaction of $9,156,022.29. Following the transaction, the insider owned 69,775 shares in the company, valued at $19,357,678.25. This represents a 32.11% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Thomas Seifert sold 12,500 shares of the stock in a transaction that occurred on Monday, October 19th. The shares were sold at an average price of $299.59, for a total transaction of $3,744,875.00. Following the completion of the transaction, the chief financial officer directly owned 104,958 shares of the company's stock, valued at $31,444,367.22. The trade was a 10.64% 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. Insiders have sold a total of 256,537 shares of company stock worth $78,750,901 over the last 90 days. 10.66% of the stock is currently owned by corporate insiders.

Cloudflare Trading Up 10.0%

Shares of NYSE:NET opened at $295.56 on Tuesday. The business's 50-day moving average is $318.15 and its 200 day moving average is $250.39. Cloudflare, Inc. has a 1 year low of $158.83 and a 1 year high of $370.35. The firm has a market capitalization of $104.47 billion, a P/E ratio of -434.64, a P/E/G ratio of 206.44 and a beta of 1.37. The company has a debt-to-equity ratio of 1.22, a current ratio of 1.82 and a quick ratio of 1.82.

Cloudflare (NYSE:NET - Get Free Report) last released its quarterly earnings results on Thursday, November 5th. The company reported $0.38 EPS for the quarter, beating analysts' consensus estimates of $0.34 by $0.04. The company had revenue of $782.51 million during the quarter, compared to analysts' expectations of $737.16 million. Cloudflare had a negative return on equity of 3.88% and a negative net margin of 8.21%. The firm's revenue was up 39.2% compared to the same quarter last year. During the same period last year, the business posted $0.27 earnings per share. On average, research analysts predict that Cloudflare, Inc. will post 0.03 earnings per share for the current fiscal year.

Cloudflare Company Profile

Cloudflare, Inc provides cloud-based services that help businesses and other organizations protect, connect and improve the performance of websites, applications and networks. Its global network delivers services including content delivery, domain name system management, and protection against distributed denial-of-service attacks and other cyber threats.

The company also offers web application security, bot management and Zero Trust services for securing access to applications and internal networks.

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