Rafferty Asset Management LLC Sells 8,007 Shares of Cloudflare, Inc. $NET

Key Points

• Rafferty Asset Management LLC sold 8,007 shares of Cloudflare, reducing its stake by 33.3%, bringing its total share ownership to 16,033, valued at approximately $1.8 million.
• Cloudflare's stock is currently down 2.1% and has a market capitalization of $72.82 billion, with a P/E ratio of -614.60.
• Cloudflare reported a 27.8% year-over-year revenue increase of $512.32 million and an EPS of $0.21, beating analysts' expectations by $0.03.

Rafferty Asset Management LLC lessened its holdings in shares of Cloudflare, Inc. (NYSE:NET - Free Report) by 33.3% during the first quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 16,033 shares of the company's stock after selling 8,007 shares during the period. Rafferty Asset Management LLC's holdings in Cloudflare were worth $1,807,000 as of its most recent filing with the SEC.

Other institutional investors and hedge funds have also bought and sold shares of the company. Dimensional Fund Advisors LP increased its position in shares of Cloudflare by 5.4% during the fourth quarter. Dimensional Fund Advisors LP now owns 361,607 shares of the company's stock worth $38,943,000 after buying an additional 18,457 shares during the period. Tower Research Capital LLC TRC lifted its stake in shares of Cloudflare by 184.3% in the 4th quarter. Tower Research Capital LLC TRC now owns 2,547 shares of the company's stock valued at $274,000 after purchasing an additional 1,651 shares during the period. Coldstream Capital Management Inc. bought a new stake in shares of Cloudflare during the 4th quarter valued at about $235,000. Lido Advisors LLC grew its stake in Cloudflare by 55.3% during the fourth quarter. Lido Advisors LLC now owns 3,149 shares of the company's stock worth $339,000 after purchasing an additional 1,121 shares during the period. Finally, Comerica Bank lifted its stake in Cloudflare by 9.4% in the fourth quarter. Comerica Bank now owns 8,856 shares of the company's stock valued at $954,000 after buying an additional 764 shares during the period. 82.68% of the stock is currently owned by institutional investors and hedge funds.

Insider Activity at Cloudflare

In other news, CFO Thomas J. Seifert sold 34,270 shares of the company's stock in a transaction dated Monday, July 21st. The stock was sold at an average price of $200.17, for a total value of $6,859,825.90. Following the completion of the transaction, the chief financial officer directly owned 241,550 shares in the company, valued at approximately $48,351,063.50. This represents a 12.42% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Michelle Zatlyn sold 35,100 shares of the firm's stock in a transaction dated Thursday, August 21st. The shares were sold at an average price of $191.71, for a total value of $6,729,021.00. Following the transaction, the insider directly owned 14,575 shares in the company, valued at approximately $2,794,173.25. This represents a 70.66% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 676,814 shares of company stock worth $128,862,556 over the last quarter. 10.89% of the stock is currently owned by corporate insiders.

Cloudflare Price Performance

Cloudflare stock traded up $5.11 during midday trading on Thursday, reaching $210.82. 904,663 shares of the stock were exchanged, compared to its average volume of 3,529,667. Cloudflare, Inc. has a 52 week low of $74.88 and a 52 week high of $219.00. The company has a debt-to-equity ratio of 2.63, a quick ratio of 5.14 and a current ratio of 5.14. The firm has a market cap of $73.47 billion, a PE ratio of -620.04 and a beta of 1.95. The company's fifty day moving average is $197.41 and its 200-day moving average is $158.99.

Cloudflare (NYSE:NET - Get Free Report) last released its quarterly earnings results on Thursday, July 31st. The company reported $0.21 earnings per share 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 firm had revenue of $512.32 million for the quarter, compared to analysts' expectations of $501.58 million. During the same quarter in the prior year, the firm posted $0.20 earnings per share. The business'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, sell-side analysts forecast that Cloudflare, Inc. will post -0.11 EPS for the current year.

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on NET. Cowen reissued a "buy" rating on shares of Cloudflare in a research note on Monday, June 16th. Susquehanna decreased their price target on shares of Cloudflare from $170.00 to $140.00 and set a "neutral" rating for the company in a research note on Monday, May 12th. Oppenheimer restated an "outperform" rating and set a $200.00 price objective (up previously from $165.00) on shares of Cloudflare in a report on Thursday, June 5th. Needham & Company LLC raised their price objective on shares of Cloudflare from $200.00 to $240.00 and gave the company a "buy" rating in a research note on Friday, August 1st. Finally, DZ Bank reissued a "sell" rating and set a $170.00 price objective on shares of Cloudflare in a report on Tuesday, July 22nd. One research analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, nine have issued a Hold rating and three have assigned a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $191.28.

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.