Oribel Capital Management LP Purchases New Position in Cloudflare, Inc. $NET

Key Points

• Oribel Capital Management LP invested approximately $3.28 million in Cloudflare, Inc. by acquiring 29,100 shares in the company's stock during the first quarter of the year.
• Analysts have varying price targets for Cloudflare, with Bank of America raising its target from $235 to $240 while Jefferies decreased their target from $170 to $150.
• Cloudflare reported a quarterly revenue of $512.32 million, surpassing the consensus estimate and indicating a year-over-year revenue growth of 27.8%.

Oribel Capital Management LP acquired a new stake in Cloudflare, Inc. (NYSE:NET - Free Report) in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 29,100 shares of the company's stock, valued at approximately $3,279,000.

Other institutional investors and hedge funds have also bought and sold shares of the company. Mather Group LLC. increased its holdings in Cloudflare by 1,188.2% in the first quarter. Mather Group LLC. now owns 219 shares of the company's stock valued at $25,000 after purchasing an additional 202 shares during the period. NBC Securities Inc. acquired a new stake in Cloudflare in the first quarter valued at $27,000. GPS Wealth Strategies Group LLC increased its holdings in Cloudflare by 213.4% in the first quarter. GPS Wealth Strategies Group LLC now owns 257 shares of the company's stock valued at $29,000 after purchasing an additional 175 shares during the period. MassMutual Private Wealth & Trust FSB increased its holdings in Cloudflare by 115.4% in the first quarter. MassMutual Private Wealth & Trust FSB now owns 265 shares of the company's stock valued at $30,000 after purchasing an additional 142 shares during the period. Finally, Global Financial Private Client LLC increased its holdings in Cloudflare by 38,100.0% in the first quarter. Global Financial Private Client LLC now owns 382 shares of the company's stock valued at $43,000 after purchasing an additional 381 shares during the period. 82.68% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling

In other news, Director Carl Ledbetter sold 15,000 shares of the firm's stock in a transaction dated Monday, August 25th. The stock was 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 directly owned 1,028,073 shares in the company, valued at $201,224,728.29. This trade represents a 1.44% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CEO Matthew Prince sold 536 shares of the firm's stock in a transaction dated Wednesday, August 20th. The shares were sold at an average price of $194.84, for a total value of $104,434.24. Following the completion of the sale, the chief executive officer owned 20,111 shares of the company's stock, valued at approximately $3,918,427.24. This represents a 2.60% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 731,705 shares of company stock worth $138,296,322 over the last 90 days. 10.89% of the stock is owned by company insiders.

Analyst Upgrades and Downgrades

NET has been the subject of a number of recent research reports. Mizuho increased their price objective on Cloudflare from $220.00 to $240.00 and gave the company an "outperform" rating in a report on Friday, August 1st. JMP Securities increased their price target on Cloudflare from $180.00 to $225.00 and gave the stock a "market outperform" rating in a report on Monday, July 28th. Scotiabank increased their price target on Cloudflare from $135.00 to $200.00 and gave the stock a "sector perform" rating in a report on Friday, August 1st. Morgan Stanley increased their price target on Cloudflare from $225.00 to $235.00 and gave the stock an "overweight" rating in a report on Friday, August 1st. Finally, Piper Sandler increased their price target on Cloudflare from $151.00 to $224.00 and gave the stock a "neutral" rating in a report on Friday, August 1st. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating, nine have given a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat.com, Cloudflare has an average rating of "Moderate Buy" and an average target price of $191.28.

Cloudflare Stock Down 2.4%

Shares of NET traded down $5.19 during trading hours on Friday, hitting $208.23. The stock had a trading volume of 789,054 shares, compared to its average volume of 3,560,566. The company has a debt-to-equity ratio of 2.63, a current ratio of 5.14 and a quick ratio of 5.14. The firm has a 50 day simple moving average of $195.56 and a 200-day simple moving average of $158.03. The firm has a market capitalization of $72.57 billion, a P/E ratio of -611.34 and a beta of 1.84. Cloudflare, Inc. has a 1-year low of $74.88 and a 1-year high of $219.00.

Cloudflare (NYSE:NET - Get Free Report) last issued its earnings results on Thursday, July 31st. The company reported $0.21 EPS for the quarter, beating the consensus estimate of $0.18 by $0.03. The company 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 last year, the business posted $0.20 EPS. Cloudflare has set its FY 2025 guidance at 0.850-0.860 EPS. Q3 2025 guidance at 0.230-0.23 EPS. Sell-side analysts predict that Cloudflare, Inc. will post -0.11 EPS for the current fiscal year.

About Cloudflare

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.