Birch Hill Investment Advisors LLC Acquires New Holdings in Cloudflare, Inc. $NET

Birch Hill Investment Advisors LLC acquired a new stake in Cloudflare, Inc. (NYSE:NET) during the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor acquired 1,260 shares of the company’s stock, valued at approximately $247,000.

Other large investors have also recently added to or reduced their stakes in the company. Mather Group LLC. grew its stake in Cloudflare by 1,188.2% in the 1st quarter. Mather Group LLC. now owns 219 shares of the company’s stock valued at $25,000 after acquiring an additional 202 shares during the last quarter. Hilltop National Bank acquired a new stake in Cloudflare in the 2nd quarter valued at about $36,000. Ameritas Advisory Services LLC acquired a new stake in Cloudflare in the 2nd quarter valued at about $39,000. Cullen Frost Bankers Inc. acquired a new stake in Cloudflare in the 2nd quarter valued at about $45,000. Finally, First Horizon Advisors Inc. grew its stake in Cloudflare by 208.9% in the 1st quarter. First Horizon Advisors Inc. now owns 451 shares of the company’s stock valued at $51,000 after acquiring an additional 305 shares during the last quarter. 82.68% of the stock is owned by institutional investors and hedge funds.

Cloudflare Price Performance

NET opened at $210.62 on Thursday. The company’s 50 day simple moving average is $213.33 and its 200 day simple moving average is $180.37. The company has a debt-to-equity ratio of 2.63, a quick ratio of 5.14 and a current ratio of 5.14. Cloudflare, Inc. has a 1 year low of $85.60 and a 1 year high of $230.10. The stock has a market capitalization of $73.40 billion, a PE ratio of -619.46 and a beta of 1.99.

Cloudflare (NYSE:NET) last released its earnings results on Thursday, July 31st. The company reported $0.21 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.18 by $0.03. Cloudflare had a negative net margin of 6.22% and a negative return on equity of 8.42%. The business had revenue of $512.32 million for the quarter, compared to analysts’ expectations of $501.58 million. During the same period last year, the company earned $0.20 earnings per share. The company’s quarterly revenue was up 27.8% on a year-over-year basis. Cloudflare has set its FY 2025 guidance at 0.850-0.860 EPS. Q3 2025 guidance at 0.230-0.23 EPS. As a group, sell-side analysts expect that Cloudflare, Inc. will post -0.11 EPS for the current year.

Insiders Place Their Bets

In related news, CEO Matthew Prince sold 52,277 shares of the firm’s stock in a transaction that occurred on Thursday, October 16th. The shares were sold at an average price of $213.94, for a total value of $11,184,141.38. Following the sale, the chief executive officer directly owned 107 shares of the company’s stock, valued at approximately $22,891.58. This trade represents a 99.80% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director John Graham-Cumming sold 2,520 shares of the firm’s stock in a transaction that occurred on Monday, October 13th. The stock was sold at an average price of $221.36, for a total transaction of $557,827.20. Following the completion of the sale, the director directly owned 495,191 shares in the company, valued at $109,615,479.76. This represents a 0.51% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 710,270 shares of company stock valued at $147,320,646. 10.89% of the stock is currently owned by corporate insiders.

Analyst Ratings Changes

A number of equities research analysts recently commented on NET shares. Royal Bank Of Canada increased their price objective on shares of Cloudflare from $210.00 to $228.00 and gave the company an “outperform” rating in a research note on Friday, August 1st. Stifel Nicolaus upped their target price on shares of Cloudflare from $175.00 to $230.00 and gave the company a “buy” rating in a report on Friday, August 1st. JMP Securities upped their target price on shares of Cloudflare from $180.00 to $225.00 and gave the company a “market outperform” rating in a report on Monday, July 28th. Citigroup upped their target price on shares of Cloudflare from $240.00 to $255.00 and gave the company a “buy” rating in a report on Monday, August 18th. Finally, Needham & Company LLC upped their target price on shares of Cloudflare from $200.00 to $240.00 and gave the company a “buy” rating in a report on Friday, August 1st. One analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, nine have assigned a Hold rating and three have given a Sell rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $198.21.

Cloudflare 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.