HB Wealth Management LLC Invests $349,000 in Cloudflare, Inc. (NYSE:NET)

Key Points

• HB Wealth Management LLC invested approximately $349,000 in Cloudflare, acquiring 3,094 shares of the company during the 1st quarter.
• CEO Matthew Prince and insider Michelle Zatlyn both sold significant amounts of Cloudflare stock recently, with Prince selling over 52,000 shares for nearly $9 million.
• Cloudflare received positive analyst ratings, with price targets increasing up to $230.00 from multiple research firms, despite a recent stock price drop of 3.5%.

HB Wealth Management LLC acquired a new stake in Cloudflare, Inc. (NYSE:NET - Free Report) in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund acquired 3,094 shares of the company's stock, valued at approximately $349,000.

A number of other hedge funds and other institutional investors have also made changes to their positions in the business. CreativeOne Wealth LLC lifted its stake in shares of Cloudflare by 0.8% during the fourth quarter. CreativeOne Wealth LLC now owns 6,982 shares of the company's stock worth $752,000 after purchasing an additional 58 shares in the last quarter. Spire Wealth Management lifted its stake in shares of Cloudflare by 11.0% during the first quarter. Spire Wealth Management now owns 962 shares of the company's stock worth $108,000 after purchasing an additional 95 shares in the last quarter. Yousif Capital Management LLC lifted its stake in shares of Cloudflare by 2.5% during the first quarter. Yousif Capital Management LLC now owns 3,969 shares of the company's stock worth $447,000 after purchasing an additional 98 shares in the last quarter. Ellevest Inc. lifted its stake in shares of Cloudflare by 2.3% in the fourth quarter. Ellevest Inc. now owns 4,538 shares of the company's stock worth $489,000 after acquiring an additional 102 shares in the last quarter. Finally, Versant Capital Management Inc lifted its stake in shares of Cloudflare by 19.3% in the first quarter. Versant Capital Management Inc now owns 655 shares of the company's stock worth $74,000 after acquiring an additional 106 shares in the last quarter. Hedge funds and other institutional investors own 82.68% of the company's stock.

Insider Activity at Cloudflare

In other news, insider Douglas James Kramer sold 3,000 shares of the stock in a transaction on Friday, August 1st. The stock was sold at an average price of $198.22, for a total value of $594,660.00. Following the completion of the sale, the insider owned 157,377 shares in the company, valued at $31,195,268.94. This represents a 1.87% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Thomas J. Seifert sold 34,270 shares of the stock in a transaction on Monday, July 21st. The shares were 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 owned 241,550 shares of the company's stock, valued at $48,351,063.50. The trade was a 12.42% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 691,062 shares of company stock worth $122,093,547. 10.89% of the stock is owned by corporate insiders.

Cloudflare Price Performance

NET traded up $8.34 during trading on Monday, reaching $208.45. The stock had a trading volume of 3,651,785 shares, compared to its average volume of 3,399,755. The firm has a market capitalization of $72.25 billion, a price-to-earnings ratio of -613.09 and a beta of 1.84. The company has a quick ratio of 5.14, a current ratio of 5.14 and a debt-to-equity ratio of 2.63. Cloudflare, Inc. has a 1-year low of $69.26 and a 1-year high of $211.75. The stock has a 50 day moving average of $185.49 and a two-hundred day moving average of $150.17.

Cloudflare (NYSE:NET - Get Free Report) last released its earnings results on Thursday, July 31st. The company reported $0.21 earnings per share for the quarter, topping analysts' consensus estimates of $0.18 by $0.03. The firm had revenue of $512.32 million during the quarter, compared to the consensus estimate of $501.58 million. Cloudflare had a negative return on equity of 8.42% and a negative net margin of 6.22%. The firm's revenue for the quarter was up 27.8% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.20 earnings per share. As a group, equities analysts anticipate that Cloudflare, Inc. will post -0.11 EPS for the current fiscal year.

Analysts Set New Price Targets

Several research firms recently commented on NET. Citigroup reiterated an "outperform" rating on shares of Cloudflare in a research note on Monday, July 28th. Oppenheimer reiterated an "outperform" rating and issued a $200.00 price target (up previously from $165.00) on shares of Cloudflare in a research note on Thursday, June 5th. Scotiabank boosted their price target on Cloudflare from $135.00 to $200.00 and gave the stock a "sector perform" rating in a research note on Friday. DZ Bank reiterated a "sell" rating and issued a $170.00 price target on shares of Cloudflare in a research note on Tuesday, July 22nd. Finally, Cantor Fitzgerald boosted their price objective on Cloudflare from $162.00 to $199.00 and gave the company a "neutral" rating in a report on Friday. Three research analysts have rated the stock with a sell rating, nine have given a hold rating, fifteen have given a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $186.88.

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.