Janel Riley Sells 1,667 Shares of Cloudflare (NYSE:NET) Stock

Key Points

• Cloudflare CAO Janel Riley sold 1,667 shares for approximately $517,370 under a pre-arranged Rule 10b5-1 trading plan, reducing her direct holdings by 3.57% to 45,028 shares. She also recently sold 3,481 additional shares for about $1.06 million.
• Cloudflare reported quarterly revenue of $696.06 million, up 35.9% year over year, and adjusted earnings of $0.29 per share, exceeding analyst expectations. Shares traded at $292.03, while the company continued to report negative net margins and a very elevated valuation.
• Analyst sentiment remains positive, with a consensus rating of “Moderate Buy” and an average price target of $320.19; however, valuation concerns persist. Institutional investors own 82.68% of the stock, with several large firms recently increasing their positions.

Cloudflare, Inc. (NYSE:NET - Get Free Report) CAO Janel Riley sold 1,667 shares of the business's stock in a transaction on Monday, August 17th. The stock was sold at an average price of $310.36, for a total transaction of $517,370.12. Following the sale, the chief accounting officer directly owned 45,028 shares in the company, valued at approximately $13,974,890.08. The trade was a 3.57% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Janel Riley also recently made the following trade(s):

• On Tuesday, August 18th, Janel Riley sold 3,481 shares of Cloudflare stock. The shares were sold at an average price of $305.26, for a total value of $1,062,610.06.

Cloudflare Price Performance

Shares of NYSE NET traded down $9.33 during mid-day trading on Wednesday, hitting $292.03. 3,092,386 shares of the stock traded hands, compared to its average volume of 4,333,878. The company has a debt-to-equity ratio of 1.22, a current ratio of 1.82 and a quick ratio of 1.82. Cloudflare, Inc. has a twelve month low of $158.83 and a twelve month high of $332.22. The company has a market cap of $103.22 billion, a PE ratio of -503.50, a price-to-earnings-growth ratio of 230.77 and a beta of 1.65. The firm has a 50 day simple moving average of $264.47 and a two-hundred day simple moving average of $225.49.

Cloudflare (NYSE:NET - Get Free Report) last issued its quarterly earnings data on Thursday, August 6th. The company reported $0.29 earnings per share for the quarter, topping analysts' consensus estimates of $0.27 by $0.02. Cloudflare had a negative return on equity of 3.88% and a negative net margin of 8.21%.The business had revenue of $696.06 million for the quarter, compared to analyst estimates of $664.66 million. During the same quarter in the previous year, the company posted $0.21 EPS. Cloudflare's quarterly revenue was up 35.9% compared to the same quarter last year. Cloudflare has set its Q3 2026 guidance at 0.340-0.340 EPS and its FY 2026 guidance at 1.250-1.260 EPS. As a group, equities research analysts forecast that Cloudflare, Inc. will post 0.03 EPS for the current fiscal year.

Analyst Ratings Changes

A number of research analysts recently issued reports on the stock. Barclays raised their price objective on shares of Cloudflare from $300.00 to $355.00 and gave the company an "overweight" rating in a report on Friday, August 7th. Susquehanna upped their price target on shares of Cloudflare from $200.00 to $300.00 and gave the company a "neutral" rating in a research report on Monday, August 10th. Deutsche Bank Aktiengesellschaft raised shares of Cloudflare to a "buy" rating in a research note on Tuesday, July 7th. The Goldman Sachs Group reiterated a "buy" rating and set a $389.00 price target on shares of Cloudflare in a report on Friday, August 7th. Finally, BTIG Research boosted their price objective on shares of Cloudflare from $314.00 to $382.00 and gave the stock a "buy" rating in a research note on Friday, August 7th. One analyst has rated the stock with a Strong Buy rating, twenty-one have assigned a Buy rating, seven have assigned a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat.com, Cloudflare currently has a consensus rating of "Moderate Buy" and an average target price of $320.19.

Key Cloudflare News

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Cloudflare’s expanding AI-driven traffic and government-focused security certifications could support continued revenue growth and strengthen its long-term outlook. Cloudflare Stock May Look Stretched as AI Growth Lifts Outlook
• Neutral Sentiment: Recent insider sales were conducted under pre-arranged Rule 10b5-1 trading plans, which reduces their value as a direct signal that executives expect the stock to fall. Nevertheless, the transactions involved multiple insiders and occurred while shares were trading near recent highs. SEC filings show CFO Thomas J. Seifert sold 10,000 shares, while Chief Accounting Officer Janel Riley sold a combined 5,148 shares. Insider Alissa Michelle Starzak sold a combined 5,871 shares. Cloudflare CFO SEC Filing
• Negative Sentiment: Valuation remains the primary concern. Cloudflare has generated substantial gains over the past three years, but its elevated earnings multiples and ongoing losses leave investors questioning how much future AI-related growth is already reflected in the share price. A valuation analysis described the stock as still overvalued, contributing to selling pressure. Cloudflare Shares Fall as GF Value Says Stock Is Overvalued

Institutional Trading of Cloudflare

Institutional investors have recently added to or reduced their stakes in the stock. Norges Bank acquired a new position in shares of Cloudflare during the 4th quarter valued at $718,316,000. Jennison Associates LLC increased its stake in Cloudflare by 135.8% in the first quarter. Jennison Associates LLC now owns 4,394,484 shares of the company's stock valued at $906,758,000 after purchasing an additional 2,530,872 shares in the last quarter. Corient Private Wealth LLC raised its holdings in shares of Cloudflare by 4,042.6% during the fourth quarter. Corient Private Wealth LLC now owns 1,399,378 shares of the company's stock valued at $275,887,000 after purchasing an additional 1,365,598 shares during the period. Swedbank AB raised its holdings in shares of Cloudflare by 697.5% during the first quarter. Swedbank AB now owns 927,606 shares of the company's stock valued at $191,402,000 after purchasing an additional 811,297 shares during the period. Finally, National Pension Service boosted its position in shares of Cloudflare by 53.2% during the 4th quarter. National Pension Service now owns 948,003 shares of the company's stock worth $186,899,000 after purchasing an additional 329,341 shares in the last quarter. 82.68% of the stock is currently owned by institutional investors.

About Cloudflare

Cloudflare, Inc is a global web infrastructure and security company that provides a suite of services designed to improve the performance, reliability and security of internet properties. Its core offerings include a content delivery network (CDN), distributed denial-of-service (DDoS) protection, managed DNS, and a web application firewall (WAF). Cloudflare also provides tools for bot management, SSL/TLS, load balancing and rate limiting to help organizations maintain uptime and protect web applications from attack.

In addition to traditional edge and security services, Cloudflare has expanded into edge computing and developer platforms.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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