Cloudflare (NYSE:NET) Announces Quarterly Earnings Results

Cloudflare (NYSE:NET) released its earnings results on Thursday. The company reported ($0.03) EPS for the quarter, missing the consensus estimate of $0.18 by ($0.21), Zacks reports. Cloudflare had a negative net margin of 5.97% and a negative return on equity of 7.18%. Cloudflare updated its FY 2025 guidance to 0.790-0.800 EPS and its Q1 2025 guidance to 0.160-0.160 EPS.

Cloudflare Price Performance

Shares of Cloudflare stock traded down $3.04 during mid-day trading on Thursday, reaching $141.25. 6,722,994 shares of the stock were exchanged, compared to its average volume of 3,330,880. Cloudflare has a fifty-two week low of $66.24 and a fifty-two week high of $144.30. The firm has a 50-day simple moving average of $116.71 and a 200 day simple moving average of $95.92. The company has a current ratio of 3.37, a quick ratio of 3.37 and a debt-to-equity ratio of 1.32. The company has a market cap of $48.47 billion, a price-to-earnings ratio of -543.25 and a beta of 1.12.

Insiders Place Their Bets

In other Cloudflare news, CFO Thomas J. Seifert sold 15,000 shares of the stock in a transaction dated Monday, February 3rd. The shares were sold at an average price of $136.63, for a total transaction of $2,049,450.00. Following the sale, the chief financial officer now owns 252,869 shares of the company’s stock, valued at $34,549,491.47. This represents a 5.60 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Douglas James Kramer sold 2,481 shares of the stock in a transaction dated Monday, February 3rd. The stock was sold at an average price of $131.66, for a total transaction of $326,648.46. Following the sale, the insider now directly owns 175,688 shares in the company, valued at approximately $23,131,082.08. This represents a 1.39 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 633,738 shares of company stock valued at $69,632,506 in the last 90 days. 12.83% of the stock is currently owned by insiders.

Wall Street Analysts Forecast Growth

Several brokerages have recently issued reports on NET. Scotiabank lifted their price objective on shares of Cloudflare from $87.00 to $110.00 and gave the stock a “sector perform” rating in a research note on Tuesday, January 21st. Piper Sandler boosted their price objective on shares of Cloudflare from $83.00 to $92.00 and gave the company a “neutral” rating in a research report on Friday, November 8th. UBS Group boosted their price objective on shares of Cloudflare from $88.00 to $95.00 and gave the company a “neutral” rating in a research report on Friday, November 8th. The Goldman Sachs Group raised shares of Cloudflare from a “sell” rating to a “buy” rating and boosted their target price for the stock from $77.00 to $140.00 in a research report on Thursday, January 2nd. Finally, Wells Fargo & Company upped their price objective on shares of Cloudflare from $135.00 to $150.00 and gave the stock an “overweight” rating in a report on Monday, January 27th. Three research analysts have rated the stock with a sell rating, eleven have issued a hold rating and thirteen have issued a buy rating to the company. According to MarketBeat, the stock presently has an average rating of “Hold” and a consensus price target of $112.32.

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.