Cloudflare (NYSE:NET) Trading 7.7% Higher – Time to Buy?

Cloudflare, Inc. (NYSE:NET) was up 7.7% on Monday . The stock traded as high as $179.25 and last traded at $179.8880. Approximately 1,869,060 shares were traded during trading, a decline of 60% from the average daily volume of 4,715,809 shares. The stock had previously closed at $166.99.

Analyst Upgrades and Downgrades

Several analysts have recently weighed in on NET shares. Zacks Research raised shares of Cloudflare from a “strong sell” rating to a “hold” rating in a report on Friday, March 13th. Needham & Company LLC dropped their price objective on shares of Cloudflare from $285.00 to $250.00 and set a “buy” rating for the company in a report on Wednesday, February 11th. DZ Bank raised shares of Cloudflare from a “hold” rating to a “buy” rating and set a $215.00 price objective for the company in a report on Friday, February 13th. TD Cowen reissued a “buy” rating on shares of Cloudflare in a report on Tuesday, January 27th. Finally, Barclays raised their price target on shares of Cloudflare from $235.00 to $250.00 and gave the company an “overweight” rating in a report on Wednesday, February 11th. One investment analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, eight have assigned a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $233.38.

Cloudflare Trading Up 9.2%

The company has a quick ratio of 1.98, a current ratio of 1.98 and a debt-to-equity ratio of 1.35. The firm has a market cap of $64.21 billion, a price-to-earnings ratio of -628.70 and a beta of 1.87. The business’s fifty day moving average is $194.59 and its two-hundred day moving average is $201.74.

Cloudflare (NYSE:NET) last announced its quarterly earnings data on Tuesday, February 10th. The company reported $0.28 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.27 by $0.01. Cloudflare had a negative net margin of 4.72% and a negative return on equity of 7.24%. The firm had revenue of $614.51 million for the quarter, compared to analysts’ expectations of $591.67 million. During the same period last year, the firm earned $0.19 earnings per share. The business’s revenue for the quarter was up 33.6% on a year-over-year basis. Equities analysts anticipate that Cloudflare, Inc. will post -0.11 earnings per share for the current fiscal year.

Insider Buying and Selling at Cloudflare

In other Cloudflare news, CEO Matthew Prince sold 52,384 shares of the firm’s stock in a transaction that occurred on Tuesday, February 24th. The shares were sold at an average price of $164.15, for a total value of $8,598,833.60. Following the transaction, the chief executive officer directly owned 22,911 shares of the company’s stock, valued at approximately $3,760,840.65. This trade represents a 69.57% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Thomas J. Seifert sold 41,557 shares of the firm’s stock in a transaction that occurred 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 completion of the transaction, the chief financial officer directly owned 85,452 shares in the company, valued at approximately $15,812,038.08. The trade was a 32.72% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 624,247 shares of company stock valued at $121,102,467. 10.89% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Cloudflare

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Physician Wealth Advisors Inc. grew its holdings in shares of Cloudflare by 693.3% in the 3rd quarter. Physician Wealth Advisors Inc. now owns 119 shares of the company’s stock valued at $26,000 after buying an additional 104 shares during the period. Wiser Advisor Group LLC acquired a new position in shares of Cloudflare in the 3rd quarter valued at $26,000. HM Payson & Co. acquired a new position in shares of Cloudflare in the 4th quarter valued at $25,000. Westside Investment Management Inc. grew its holdings in shares of Cloudflare by 100.0% in the 3rd quarter. Westside Investment Management Inc. now owns 130 shares of the company’s stock valued at $28,000 after buying an additional 65 shares during the period. Finally, ORG Wealth Partners LLC grew its holdings in shares of Cloudflare by 101.4% in the 3rd quarter. ORG Wealth Partners LLC now owns 139 shares of the company’s stock valued at $30,000 after buying an additional 70 shares during the period. 82.68% of the stock is owned by institutional investors.

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.