Cloudflare (NYSE:NET) Stock Price Down 2.6% – Here’s What Happened

Posted by Brian Himes on Nov 6th, 2026

Shares of Cloudflare, Inc. (NYSE:NET – Get Free Report) traded down 2.6% on Wednesday. The stock traded as low as $257.83 and last traded at $266.5350. 3,404,464 shares were traded during trading, a decline of 15% from the average daily volume of 4,025,688 shares. The stock had previously closed at $273.62.

More Cloudflare News

Here are the key news stories impacting Cloudflare this week:

Positive Sentiment: Third-quarter revenue rose 39.2% year over year to $782.5 million, beating estimates, while adjusted EPS of $0.38 also topped forecasts. The company cited strong enterprise demand and growing adoption of its developer platform. Cloudflare Q3 Earnings Beat Estimates on Robust Enterprise Demand
Positive Sentiment: Cloudflare raised its 2026 outlook: full-year revenue guidance is about $3.0 billion and EPS guidance is $1.35, above consensus estimates. Fourth-quarter revenue guidance of $845 million–$846 million and EPS guidance of $0.43 also exceeded expectations. Why Cloudflare Stock Opened Higher Today
Positive Sentiment: Further signs of AI-related momentum include Cloudflare’s first revenue from AI bot traffic and a developer base that doubled to 10 million. Analysts at Wolfe Research upgraded the shares to Outperform. Why Cloudflare Stock Opened Higher Today
Neutral Sentiment: Analyst actions were mixed: Piper Sandler reaffirmed Overweight and raised its target, while Scotiabank, Needham and Cantor Fitzgerald lowered targets; the latter firms retained positive or neutral ratings. Scotiabank rating update
Negative Sentiment: Some profitability measures lagged growth: gross margin faced pressure, free cash flow grew more slowly than revenue, and the GAAP operating loss widened. Cloudflare’s high valuation may make the stock sensitive to any slowdown or disappointment. Cloudflare Sales Up 39%, Gross Margin Falls

Analyst Ratings Changes

A number of equities research analysts recently issued reports on NET shares. Citizens Jmp restated a “market outperform” rating and issued a $394.00 target price on shares of Cloudflare in a report on Monday, August 31st. Jefferies Financial Group cut their price target on shares of Cloudflare from $320.00 to $315.00 and set a “hold” rating on the stock in a research note on Friday. KeyCorp lifted their price target on shares of Cloudflare from $300.00 to $375.00 and gave the company an “overweight” rating in a report on Friday, August 7th. Robert W. Baird set a $330.00 price objective on shares of Cloudflare in a research note on Friday, August 7th. Finally, Wedbush initiated coverage on Cloudflare in a report on Tuesday. They set an “outperform” rating for the company. Twenty-six analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and four have issued a Sell rating to the company’s stock. Based on data from MarketBeat, Cloudflare presently has an average rating of “Moderate Buy” and a consensus price target of $332.82.

Get Our Latest Research Report on Cloudflare

Cloudflare Stock Performance

The company has a debt-to-equity ratio of 1.22, a quick ratio of 1.82 and a current ratio of 1.82. The business’s 50-day simple moving average is $318.23 and its two-hundred day simple moving average is $249.77.

Cloudflare (NYSE:NET – Get Free Report) last released its quarterly earnings data on Thursday, November 5th. The company reported $0.38 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.34 by $0.04. Cloudflare had a negative net margin of 8.21% and a negative return on equity of 3.88%. The company had revenue of $782.51 million during the quarter, compared to analyst estimates of $737.16 million. During the same quarter in the prior year, the business earned $0.27 earnings per share. The business’s quarterly revenue was up 39.2% compared to the same quarter last year. As a group, equities research analysts anticipate that Cloudflare, Inc. will post 0.03 earnings per share for the current fiscal year.

Insider Activity at Cloudflare

In other Cloudflare news, Director Carl Ledbetter sold 5,000 shares of the firm’s stock in a transaction dated Monday, October 19th. The stock was sold at an average price of $304.40, for a total value of $1,522,000.00. Following the transaction, the director directly owned 868,073 shares of the company’s stock, valued at $264,241,421.20. This trade represents a 0.57% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Thomas Seifert sold 12,500 shares of the business’s stock in a transaction dated Monday, October 19th. The stock was sold at an average price of $299.59, for a total value of $3,744,875.00. Following the transaction, the chief financial officer owned 104,958 shares in the company, valued at approximately $31,444,367.22. This represents a 10.64% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 259,057 shares of company stock worth $79,516,905. Corporate insiders own 10.66% of the company’s stock.

Institutional Investors Weigh In On Cloudflare

Hedge funds have recently modified their holdings of the stock. Andra AP fonden grew its position in Cloudflare by 44.5% during the 2nd quarter. Andra AP fonden now owns 48,356 shares of the company’s stock worth $11,861,000 after purchasing an additional 14,900 shares in the last quarter. Plato Investment Management Ltd acquired a new stake in Cloudflare during the 2nd quarter valued at $1,499,000. Insight Holdings Group LLC acquired a new stake in Cloudflare during the 1st quarter valued at $6,768,000. Independent Financial Group LLC purchased a new stake in shares of Cloudflare in the first quarter valued at $3,484,000. Finally, Capula Management Ltd lifted its holdings in shares of Cloudflare by 97.1% in the first quarter. Capula Management Ltd now owns 13,526 shares of the company’s stock valued at $2,791,000 after purchasing an additional 6,662 shares in the last quarter. 82.68% of the stock is currently owned by hedge funds and other institutional investors.

Cloudflare Company Profile

(Get Free Report)

Cloudflare, Inc provides cloud-based services that help businesses and other organizations protect, connect and improve the performance of websites, applications and networks. Its global network delivers services including content delivery, domain name system management, and protection against distributed denial-of-service attacks and other cyber threats.

The company also offers web application security, bot management and Zero Trust services for securing access to applications and internal networks.