Cloudflare (NYSE:NET) Stock Price Expected to Rise, Truist Financial Analyst Says

Cloudflare (NYSE:NET) had its price objective upped by equities researchers at Truist Financial from $225.00 to $250.00 in a research report issued to clients and investors on Thursday,Benzinga reports. The brokerage currently has a “buy” rating on the stock. Truist Financial’s target price points to a potential upside of 11.83% from the company’s previous close.

NET has been the subject of several other research reports. Piper Sandler reiterated an “overweight” rating on shares of Cloudflare in a research note on Wednesday. New Street Research set a $140.00 target price on shares of Cloudflare in a research note on Wednesday, February 11th. Sanford C. Bernstein reiterated a “market perform” rating and issued a $136.00 target price on shares of Cloudflare in a research note on Wednesday. Stifel Nicolaus set a $260.00 target price on shares of Cloudflare in a research note on Friday, May 8th. Finally, Scotiabank reduced their target price on shares of Cloudflare from $255.00 to $225.00 and set a “sector perform” rating for the company in a research note on Wednesday, February 11th. Twenty equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and three have issued a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $241.35.

Cloudflare Stock Up 1.8%

Shares of NYSE NET traded up $3.89 during trading on Thursday, hitting $223.56. The stock had a trading volume of 754,029 shares, compared to its average volume of 4,645,428. Cloudflare has a 12 month low of $158.83 and a 12 month high of $276.82. The company has a debt-to-equity ratio of 1.29, a current ratio of 1.96 and a quick ratio of 1.96. The company has a market capitalization of $79.02 billion, a PE ratio of -890.20 and a beta of 1.70. The firm has a fifty day moving average of $215.24 and a two-hundred day moving average of $201.20.

Cloudflare (NYSE:NET) last posted 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 5.65%. The firm had revenue of $639.76 million during the quarter, compared to analyst estimates of $620.83 million. During the same quarter in the prior year, the business posted $0.16 EPS. The business’s revenue was up 33.5% compared to the same quarter last year. Cloudflare has set its FY 2026 guidance at 1.190-1.200 EPS and its Q2 2026 guidance at 0.270-0.270 EPS.

Insider Activity

In related news, CEO Matthew Prince sold 52,384 shares of the stock in a transaction dated Monday, April 6th. The shares were sold at an average price of $210.02, for a total transaction of $11,001,687.68. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Michelle Zatlyn sold 35,080 shares of the stock in a transaction dated Friday, May 22nd. The shares were sold at an average price of $213.98, for a total transaction of $7,506,418.40. Following the transaction, the insider owned 47,425 shares of the company’s stock, valued at approximately $10,148,001.50. The trade was a 42.52% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 527,784 shares of company stock valued at $111,803,817. 10.89% of the stock is owned by company insiders.

Institutional Investors Weigh In On Cloudflare

Several institutional investors have recently added to or reduced their stakes in NET. Empowered Funds LLC lifted its holdings in Cloudflare by 34.2% during the first quarter. Empowered Funds LLC now owns 6,656 shares of the company’s stock valued at $750,000 after purchasing an additional 1,696 shares during the last quarter. Sivia Capital Partners LLC purchased a new stake in Cloudflare during the second quarter valued at about $424,000. Cerity Partners LLC lifted its holdings in Cloudflare by 30.1% during the second quarter. Cerity Partners LLC now owns 27,531 shares of the company’s stock valued at $5,391,000 after purchasing an additional 6,363 shares during the last quarter. Sei Investments Co. lifted its holdings in Cloudflare by 40.1% during the second quarter. Sei Investments Co. now owns 329,036 shares of the company’s stock valued at $64,432,000 after purchasing an additional 94,112 shares during the last quarter. Finally, The Manufacturers Life Insurance Company lifted its holdings in Cloudflare by 14.6% during the second quarter. The Manufacturers Life Insurance Company now owns 16,461 shares of the company’s stock valued at $3,224,000 after purchasing an additional 2,093 shares during the last quarter. 82.68% of the stock is owned by hedge funds and other institutional investors.

Key Cloudflare News

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: RBC Capital Markets raised its price target on Cloudflare (NET) to $260 from $240 and reiterated an outperform rating, signaling confidence that management can execute on its updated long-term profitability targets.
• Positive Sentiment: BTIG lifted its target to $269 from $243 and kept a buy rating, while Needham boosted its target to $280 from $250, both reflecting a more constructive view after Investor Day.
• Positive Sentiment: Analysts and investor commentary pointed to Cloudflare as a potential beneficiary of agentic AI, reinforcing the view that its developer platform and AI infrastructure could become meaningful growth drivers. Market Favored Cloudflare (NET) as a Beneficiary of Agentic AI
• Positive Sentiment: RBC also said Cloudflare is likely to execute on its updated profitability goals, which may help investors focus more on margin expansion and operating discipline than on near-term restructuring noise. Cloudflare Likely to Execute on Updated Long-Term Profitability Targets, RBC Capital Markets Says
• Neutral Sentiment: Cloudflare unveiled an AI-first restructuring plan that includes about 1,100 job cuts and a proposed new Class C share structure, which supports a strategic reset but also adds execution and governance questions. Cloudflare Resets With AI Focus Job Cuts And New Class C Shares
• Negative Sentiment: The restructuring carries meaningful near-term charges and continued investor scrutiny around AI monetization and margins, which can temper enthusiasm even after a positive Investor Day.

Cloudflare Company Profile

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.