Cloudflare, Inc. (NYSE:NET) Receives Average Rating of “Moderate Buy” from Analysts

Cloudflare, Inc. (NYSE:NET) has received a consensus rating of “Moderate Buy” from the twenty-nine research firms that are currently covering the stock, Marketbeat.com reports. Three investment analysts have rated the stock with a sell recommendation, seven have issued a hold recommendation and nineteen have assigned a buy recommendation to the company. The average twelve-month price target among brokerages that have updated their coverage on the stock in the last year is $233.1154.

Several research firms have weighed in on NET. Susquehanna set a $190.00 price objective on shares of Cloudflare in a report on Thursday, February 12th. TD Cowen restated a “buy” rating on shares of Cloudflare in a report on Tuesday, January 27th. Barclays upped their price objective on shares of Cloudflare from $235.00 to $250.00 and gave the stock an “overweight” rating in a report on Wednesday, February 11th. Truist Financial set a $225.00 price objective on shares of Cloudflare in a report on Tuesday, January 20th. Finally, Cantor Fitzgerald restated a “neutral” rating and set a $224.00 price objective on shares of Cloudflare in a report on Wednesday, February 11th.

Cloudflare Stock Down 23.5%

Shares of NYSE NET opened at $196.56 on Monday. The firm has a market cap of $69.18 billion, a PE ratio of -786.22 and a beta of 1.67. Cloudflare has a 12-month low of $130.20 and a 12-month high of $260.00. The company’s fifty day simple moving average is $204.88 and its 200 day simple moving average is $200.83. The company has a quick ratio of 1.98, a current ratio of 1.98 and a debt-to-equity ratio of 1.35.

Cloudflare (NYSE:NET) last issued its earnings results on Thursday, May 7th. The company reported $0.25 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.23 by $0.02. Cloudflare had a negative net margin of 3.72% and a negative return on equity of 5.84%. The business had revenue of $639.76 million for the quarter, compared to analyst estimates of $620.83 million. During the same period in the prior year, the firm earned $0.16 earnings per share. Cloudflare’s revenue was up 33.5% on a year-over-year basis. Cloudflare has set its FY 2026 guidance at 1.190-1.200 EPS and its Q2 2026 guidance at 0.270-0.270 EPS. As a group, sell-side analysts forecast that Cloudflare will post -0.11 earnings per share for the current fiscal year.

Cloudflare News Summary

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Cloudflare reported first-quarter EPS of $0.25 and revenue of about $639.8 million, both above Wall Street expectations, with revenue up 33.5% year over year. Article Title
• Positive Sentiment: The company lifted its full-year 2026 outlook, signaling continued confidence in longer-term demand despite the post-earnings drop. Article Title
• Neutral Sentiment: Piper Sandler raised its price target to $250 and kept an Overweight rating, suggesting some analysts still see upside after the pullback. Article Title
• Neutral Sentiment: Cloudflare also highlighted AI as a major long-term growth driver and said it is shifting toward an AI-first operating model, which could improve efficiency over time. Article Title
• Negative Sentiment: The company said it will cut about 1,100 jobs, or roughly 20% of its workforce, as it restructures around AI, raising concerns about disruption and execution risk. Article Title
• Negative Sentiment: Investors were disappointed that Cloudflare’s near-term revenue guidance came in just below expectations, fueling fears that growth may slow as AI infrastructure costs pressure margins. Article Title

Insiders Place Their Bets

In other Cloudflare news, CFO Thomas J. Seifert sold 41,557 shares of the company’s stock in a transaction on Friday, February 20th. The shares were sold at an average price of $185.04, for a total transaction of $7,689,707.28. Following the transaction, the chief financial officer owned 85,452 shares in the company, valued at approximately $15,812,038.08. This represents a 32.72% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, insider Michelle Zatlyn sold 35,080 shares of the company’s stock in a transaction on Thursday, February 19th. The stock was sold at an average price of $187.39, for a total transaction of $6,573,641.20. Following the transaction, the insider owned 34,514 shares in the company, valued at approximately $6,467,578.46. The trade was a 50.41% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 638,766 shares of company stock worth $125,757,221. Insiders own 10.89% of the company’s stock.

Institutional Trading of Cloudflare

Several institutional investors and hedge funds have recently made changes to their positions in NET. HM Payson & Co. purchased a new stake in shares of Cloudflare in the fourth quarter valued at about $25,000. Physician Wealth Advisors Inc. raised its holdings in shares of Cloudflare by 693.3% in the third quarter. Physician Wealth Advisors Inc. now owns 119 shares of the company’s stock valued at $26,000 after purchasing an additional 104 shares during the last quarter. Wiser Advisor Group LLC purchased a new stake in shares of Cloudflare in the third quarter valued at about $26,000. Westside Investment Management Inc. raised its holdings in shares of Cloudflare by 100.0% in the third quarter. Westside Investment Management Inc. now owns 130 shares of the company’s stock valued at $28,000 after purchasing an additional 65 shares during the last quarter. Finally, ORG Wealth Partners LLC raised its holdings in shares of Cloudflare by 101.4% in the third quarter. ORG Wealth Partners LLC now owns 139 shares of the company’s stock valued at $30,000 after purchasing an additional 70 shares during the last quarter. Hedge funds and other institutional investors own 82.68% of the company’s stock.

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.