Lion Street Advisors LLC Buys New Shares in Cloudflare, Inc. $NET

Key Points

• Lion Street Advisors LLC acquired a new stake of 1,150 shares in Cloudflare, valued at approximately $225,000, during the second quarter of the year.
• Cloudflare's stock has received multiple upgrades from analysts, with Bank of America raising its target price from $235 to $240, indicating strong market confidence.
• The company reported a quarterly revenue of $512.32 million, exceeding analyst estimates, and a year-over-year revenue growth of 27.8%.

Lion Street Advisors LLC acquired a new stake in shares of Cloudflare, Inc. (NYSE:NET - Free Report) during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm acquired 1,150 shares of the company's stock, valued at approximately $225,000.

Other institutional investors and hedge funds have also recently modified their holdings of the company. MGO One Seven LLC bought a new position in Cloudflare during the 2nd quarter worth approximately $379,000. Index Fund Advisors Inc. bought a new position in Cloudflare during the 2nd quarter worth approximately $2,101,000. LRI Investments LLC grew its holdings in shares of Cloudflare by 680.5% in the second quarter. LRI Investments LLC now owns 320 shares of the company's stock worth $63,000 after purchasing an additional 279 shares during the last quarter. Alta Advisers Ltd bought a new position in shares of Cloudflare in the second quarter worth approximately $340,000. Finally, CWM LLC grew its holdings in Cloudflare by 35.6% in the 2nd quarter. CWM LLC now owns 15,855 shares of the company's stock worth $3,105,000 after acquiring an additional 4,163 shares during the last quarter. 82.68% of the stock is owned by institutional investors.

Analyst Ratings Changes

Several analysts recently issued reports on NET shares. Bank of America raised their target price on Cloudflare from $235.00 to $240.00 and gave the stock a "buy" rating in a research note on Friday, August 1st. Needham & Company LLC lifted their price objective on Cloudflare from $200.00 to $240.00 and gave the stock a "buy" rating in a research report on Friday, August 1st. Morgan Stanley lifted their price objective on Cloudflare from $225.00 to $235.00 and gave the stock an "overweight" rating in a research report on Friday, August 1st. Wells Fargo & Company lifted their price target on shares of Cloudflare from $225.00 to $250.00 and gave the company an "overweight" rating in a report on Friday, August 1st. Finally, Scotiabank lifted their price target on shares of Cloudflare from $135.00 to $200.00 and gave the company a "sector perform" rating in a report on Friday, August 1st. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, nine have issued a Hold rating and three have issued a Sell rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $196.54.

Cloudflare Stock Performance

Shares of NET stock opened at $222.42 on Tuesday. Cloudflare, Inc. has a 12 month low of $85.60 and a 12 month high of $230.10. The stock has a market cap of $77.51 billion, a PE ratio of -654.16 and a beta of 1.99. The company has a current ratio of 5.14, a quick ratio of 5.14 and a debt-to-equity ratio of 2.63. The company's fifty day moving average price is $212.27 and its 200-day moving average price is $176.32.

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, 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 analyst estimates of $501.58 million. During the same quarter in the previous year, the firm posted $0.20 earnings per share. Cloudflare's quarterly revenue was up 27.8% on a year-over-year basis. Cloudflare has set its FY 2025 guidance at 0.850-0.860 EPS. Q3 2025 guidance at 0.230-0.23 EPS. On average, equities analysts expect that Cloudflare, Inc. will post -0.11 EPS for the current fiscal year.

Insider Transactions at Cloudflare

In other news, insider Douglas James Kramer sold 9,000 shares of the business's stock in a transaction that occurred on Wednesday, October 1st. The stock was sold at an average price of $213.48, for a total value of $1,921,320.00. Following the sale, the insider directly owned 132,185 shares of the company's stock, valued at $28,218,853.80. The trade was a 6.37% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Carl Ledbetter sold 15,000 shares of the business's stock in a transaction that occurred on Monday, September 22nd. The stock was sold at an average price of $223.91, for a total value of $3,358,650.00. Following the completion of the sale, the director directly owned 1,013,073 shares in the company, valued at approximately $226,837,175.43. This represents a 1.46% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 647,893 shares of company stock worth $132,718,279. Company insiders own 10.89% of the company's stock.

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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