Cloudflare, Inc. $NET Position Boosted by Rakuten Investment Management Inc.

Rakuten Investment Management Inc. lifted its position in Cloudflare, Inc. (NYSE:NET) by 14.2% during the third quarter, according to its most recent 13F filing with the SEC. The institutional investor owned 20,392 shares of the company’s stock after buying an additional 2,540 shares during the period. Rakuten Investment Management Inc.’s holdings in Cloudflare were worth $7,183,000 at the end of the most recent reporting period.

Several other institutional investors have also modified their holdings of NET. Andra AP fonden lifted its stake in Cloudflare by 44.5% during the second quarter. Andra AP fonden now owns 48,356 shares of the company’s stock valued at $11,861,000 after purchasing an additional 14,900 shares during the last quarter. Plato Investment Management Ltd purchased a new position in shares of Cloudflare during the second quarter valued at $1,499,000. Insight Holdings Group LLC purchased a new position in Cloudflare during the 1st quarter valued at about $6,768,000. Capula Management Ltd increased its stake in Cloudflare by 97.1% in the 1st quarter. Capula Management Ltd now owns 13,526 shares of the company’s stock valued at $2,791,000 after buying an additional 6,662 shares during the period. Finally, Generali Investments Management Co LLC increased its stake in shares of Cloudflare by 85.5% in the second quarter. Generali Investments Management Co LLC now owns 13,396 shares of the company’s stock worth $3,286,000 after acquiring an additional 6,174 shares during the last quarter. Institutional investors and hedge funds own 82.68% of the company’s stock.

Wall Street Analysts Forecast Growth

NET has been the topic of a number of research reports. Truist Financial increased their price objective on Cloudflare from $300.00 to $350.00 and gave the stock a “buy” rating in a report on Friday, August 7th. Craig Hallum upgraded shares of Cloudflare to a “buy” rating in a research note on Tuesday. DZ Bank downgraded shares of Cloudflare from a “strong-buy” rating to a “strong sell” rating in a research report on Friday, August 7th. Cantor Fitzgerald restated a “neutral” rating and set a $340.00 price target on shares of Cloudflare in a research note on Monday, October 5th. Finally, Oppenheimer initiated coverage on shares of Cloudflare in a research note on Tuesday. They set an “outperform” rating on the stock. Twenty-four equities research analysts have rated the stock with a Buy rating, eight have given a Hold rating and five have issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $333.21.

Key Cloudflare News

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Cloudflare reported quarterly earnings of $0.38 per share, above analyst estimates, while revenue rose 39.2% year over year to $782.51 million and also topped expectations. Zacks earnings article
• Positive Sentiment: The company raised its full-year revenue outlook to about $2.96 billion, up from its prior range of $2.86 billion to $2.87 billion, signaling confidence in continued growth. Wall Street Journal outlook article
• Neutral Sentiment: Cloudflare appointed Christian Smith as President of Revenue to lead its worldwide go-to-market organization and support its growth ambitions. Appointment announcement
• Negative Sentiment: Cloudflare fell alongside other cybersecurity stocks amid a broader pullback in AI-related shares, suggesting sector-wide selling contributed to the decline. TIKR market article
• Negative Sentiment: Valuation concerns and recent share-price weakness had weighed on sentiment ahead of earnings. This may help explain why strong results and guidance did not prevent a pullback. Invezz article

Cloudflare Price Performance

Shares of NYSE:NET opened at $243.79 on Friday. The business has a 50 day moving average price of $319.02 and a 200 day moving average price of $249.31. The company has a market cap of $86.17 billion, a price-to-earnings ratio of -420.32, a PEG ratio of 206.44 and a beta of 1.37. The company has a quick ratio of 1.82, a current ratio of 1.82 and a debt-to-equity ratio of 1.22. Cloudflare, Inc. has a twelve month low of $158.83 and a twelve month high of $370.35.

Cloudflare (NYSE:NET) last announced its earnings results on Thursday, November 5th. The company reported $0.38 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.34 by $0.04. The business had revenue of $782.51 million for the quarter, compared to analyst estimates of $737.16 million. Cloudflare had a negative net margin of 8.21% and a negative return on equity of 3.88%. Cloudflare’s revenue was up 39.2% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.27 earnings per share. Research analysts predict that Cloudflare, Inc. will post 0.03 earnings per share for the current year.

Insider Transactions at Cloudflare

In other news, Director Carl Ledbetter sold 5,000 shares of the business’s stock in a transaction that occurred on Monday, October 19th. The stock was sold at an average price of $304.40, for a total transaction of $1,522,000.00. Following the sale, the director directly owned 868,073 shares in the company, valued at approximately $264,241,421.20. The trade was a 0.57% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Michelle Zatlyn sold 33,003 shares of the business’s stock in a transaction on Wednesday, October 7th. The shares were sold at an average price of $348.29, for a total transaction of $11,494,614.87. Following the completion of the sale, the insider directly owned 69,775 shares in the company, valued at $24,301,934.75. This trade represents a 32.11% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 259,057 shares of company stock valued at $79,516,905. 10.66% of the stock is owned by corporate insiders.

Cloudflare Company Profile

Cloudflare, Inc (NYSE: NET) provides cloud connectivity, security and performance services for websites, applications, corporate networks and other internet-connected resources. Its global network is designed to help organizations improve the reliability, speed and security of digital services while reducing the complexity of managing internet infrastructure.

The company’s offerings include content delivery and authoritative domain name system services, distributed denial-of-service protection, web application and application programming interface security, bot management, and network security tools.