Insider Selling: Cloudflare (NYSE:NET) Insider Sells 9,000 Shares of Stock

Key Points

• Douglas James Kramer, an insider at Cloudflare, sold 9,000 shares of stock on October 1st, totaling approximately $1.92 million, resulting in a 6.37% decrease in his ownership of the firm.
• Cloudflare's stock price increased by 1.3% during trading on the same day, reaching $217.44, with a 12-month high of $230.10 and a market cap of $75.78 billion.
• After strong quarterly earnings, Cloudflare has set its fiscal year 2025 guidance at 0.850-0.860 EPS, with an expected -0.11 EPS for the current year according to analysts.

Cloudflare, Inc. (NYSE:NET - Get Free Report) insider Douglas James Kramer sold 9,000 shares of the firm's stock in a transaction 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 in the company, 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 can be accessed through this hyperlink.

Douglas James Kramer also recently made the following trade(s):

• On Friday, August 1st, Douglas James Kramer sold 3,000 shares of Cloudflare stock. The stock was sold at an average price of $198.22, for a total value of $594,660.00.

Cloudflare Stock Up 1.3%

NET stock traded up $2.85 during trading hours on Wednesday, reaching $217.44. 2,325,998 shares of the stock were exchanged, compared to its average volume of 3,417,788. The firm's 50-day moving average is $208.67 and its 200-day moving average is $169.65. The company has a market cap of $75.78 billion, a price-to-earnings ratio of -639.54 and a beta of 1.95. The company has a debt-to-equity ratio of 2.63, a current ratio of 5.14 and a quick ratio of 5.14. Cloudflare, Inc. has a 12 month low of $77.80 and a 12 month high of $230.10.

Cloudflare (NYSE:NET - Get Free Report) last released its earnings results on Thursday, July 31st. The company reported $0.21 earnings per share (EPS) 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 analysts' expectations of $501.58 million. Cloudflare had a negative return on equity of 8.42% and a negative net margin of 6.22%.The company's revenue was up 27.8% on a year-over-year basis. During the same quarter in the prior year, the company earned $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. On average, equities research analysts expect that Cloudflare, Inc. will post -0.11 earnings per share for the current year.

Institutional Investors Weigh In On Cloudflare

Hedge funds have recently bought and sold shares of the stock. GAMMA Investing LLC lifted its position in Cloudflare by 86.8% during the first quarter. GAMMA Investing LLC now owns 1,093 shares of the company's stock worth $123,000 after acquiring an additional 508 shares during the last quarter. Wealthedge Investment Advisors LLC raised its position in shares of Cloudflare by 64.5% in the first quarter. Wealthedge Investment Advisors LLC now owns 12,132 shares of the company's stock valued at $1,367,000 after buying an additional 4,755 shares in the last quarter. American Century Companies Inc. raised its position in shares of Cloudflare by 34.5% in the first quarter. American Century Companies Inc. now owns 3,037,420 shares of the company's stock valued at $342,287,000 after buying an additional 779,819 shares in the last quarter. Generate Investment Management Ltd acquired a new stake in shares of Cloudflare in the second quarter valued at approximately $4,953,000. Finally, Crossmark Global Holdings Inc. raised its position in shares of Cloudflare by 9.6% in the first quarter. Crossmark Global Holdings Inc. now owns 2,635 shares of the company's stock valued at $297,000 after buying an additional 230 shares in the last quarter. 82.68% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several brokerages have recently weighed in on NET. Guggenheim raised their price objective on Cloudflare from $70.00 to $111.00 and gave the company a "sell" rating in a report on Friday, August 1st. Stifel Nicolaus raised their price objective on Cloudflare from $175.00 to $230.00 and gave the company a "buy" rating in a report on Friday, August 1st. Morgan Stanley raised their price objective on Cloudflare from $225.00 to $235.00 and gave the company an "overweight" rating in a report on Friday, August 1st. Oppenheimer restated an "outperform" rating and issued a $200.00 price objective (up previously from $165.00) on shares of Cloudflare in a report on Thursday, June 5th. Finally, Piper Sandler raised their price objective on Cloudflare from $151.00 to $224.00 and gave the company a "neutral" rating in a report on Friday, August 1st. One research analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, nine have given a Hold rating and three have given a Sell rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $191.28.

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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