Key Points
- Director Carl Ledbetter sold 15,000 shares of Cloudflare on May 5 at an average price of $238.12 under a pre‑arranged Rule 10b5‑1 plan, a transaction worth about $3.57M that reduced his position by 1.63% to 908,073 shares (≈$216.2M).
- Shares opened around $244.46 (up ~9%), trading well above the 50‑ and 200‑day averages (~$201) with a market cap of about $86.0B, though valuation remains stretched (negative P/E).
- Fundamentals and catalysts are mixed: Q1 revenue rose 33.6% and Cloudflare is promoting AI onboarding and received Forrester recognition, while analysts hold a consensus Moderate Buy with a $232.62 target amid some downgrades over valuation concerns.
Cloudflare, Inc. (NYSE:NET - Get Free Report) Director John Graham-Cumming sold 2,520 shares of Cloudflare stock in a transaction on Monday, May 4th. The shares were sold at an average price of $221.58, for a total transaction of $558,381.60. Following the transaction, the director owned 494,067 shares in the company, valued at approximately $109,475,365.86. This trade represents a 0.51% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
John Graham-Cumming also recently made the following trade(s):
- On Monday, February 9th, John Graham-Cumming sold 2,520 shares of Cloudflare stock. The stock was sold at an average price of $173.35, for a total value of $436,842.00.
Cloudflare Price Performance
NYSE:NET opened at $244.46 on Wednesday. The business's 50-day simple moving average is $201.24 and its two-hundred day simple moving average is $200.23. Cloudflare, Inc. has a 52 week low of $120.46 and a 52 week high of $260.00. The stock has a market cap of $86.04 billion, a PE ratio of -842.92 and a beta of 1.67. The company has a quick ratio of 1.98, a current ratio of 1.98 and a debt-to-equity ratio of 1.35.
Cloudflare (NYSE:NET - Get Free Report) last released its quarterly earnings data on Tuesday, February 10th. The company reported $0.28 earnings per share for the quarter, topping analysts' consensus estimates of $0.27 by $0.01. Cloudflare had a negative return on equity of 7.24% and a negative net margin of 4.72%.The firm had revenue of $614.51 million during the quarter, compared to analyst estimates of $591.67 million. During the same quarter in the prior year, the company posted $0.19 earnings per share. The business's quarterly revenue was up 33.6% compared to the same quarter last year. As a group, analysts forecast that Cloudflare, Inc. will post -0.11 EPS for the current fiscal year.
Institutional Inflows and Outflows
A number of hedge funds and other institutional investors have recently modified their holdings of NET. HM Payson & Co. bought a new stake in Cloudflare in the fourth quarter worth $25,000. Physician Wealth Advisors Inc. lifted its position in Cloudflare by 693.3% during the third quarter. Physician Wealth Advisors Inc. now owns 119 shares of the company's stock valued at $26,000 after purchasing an additional 104 shares during the last quarter. Wiser Advisor Group LLC purchased a new position in shares of Cloudflare in the 3rd quarter worth $26,000. Westside Investment Management Inc. grew its stake in shares of Cloudflare by 100.0% in the 3rd quarter. Westside Investment Management Inc. now owns 130 shares of the company's stock worth $28,000 after buying an additional 65 shares in the last quarter. Finally, ORG Wealth Partners LLC increased 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 worth $30,000 after buying an additional 70 shares during the last quarter. 82.68% of the stock is currently owned by institutional investors.
More Cloudflare News
Here are the key news stories impacting Cloudflare this week:
- Positive Sentiment: Forrester named Cloudflare a Leader in its Edge Development Platforms report — this third‑party recognition supports Cloudflare’s positioning in edge and developer tooling, helping justify growth/market‑share expectations. Read More.
- Positive Sentiment: Cloudflare is pushing AI adoption — announcing automated onboarding for AI agents and startup credits (up to $100k) to capture AI‑native apps and developer adoption, which could boost new customer acquisition and revenue over time. Read More.
- Positive Sentiment: High‑profile media endorsement: Jim Cramer called Cloudflare a “terrific cyber defender” on Mad Money ahead of earnings, likely drawing retail interest and short‑term buying momentum. Read More.
- Neutral Sentiment: Analyst coverage remains constructive overall (consensus/average target ≈ $231–$232), but views are mixed — some trims and some upgrades leave upside modest vs. current levels. That keeps buy‑side interest but limits conviction for large fresh upgrades. Read More.
- Neutral Sentiment: Q1 earnings previews flag strong AI and enterprise demand tailwinds but warn macro pressures and potential deal delays — creating a binary earnings reaction: good execution likely extends the rally, while any softness could prompt profit‑taking. Read More.
- Negative Sentiment: Valuation concerns and downgrades: Seeking Alpha downgraded NET to Hold, arguing much of the growth is priced in — that narrative can weigh on value‑oriented funds and temper the rally. Read More.
- Negative Sentiment: Insider selling: Directors Carl Ledbetter (15,000 shares at ~$238 on May 5, via a 10b5‑1 plan), John Graham‑Cumming (2,520 shares at ~$221.58 on May 4, 10b5‑1), and smaller sales from Mark Hawkins were reported — these are largely pre‑arranged and common at the current multiple, but some traders interpret them as modest caution. Read More. Read More. Read More.
Wall Street Analysts Forecast Growth
Several equities research analysts have recently issued reports on NET shares. KeyCorp cut shares of Cloudflare from an "overweight" rating to a "hold" rating in a research report on Wednesday, April 15th. Needham & Company LLC dropped their target price on shares of Cloudflare from $285.00 to $250.00 and set a "buy" rating for the company in a research report on Wednesday, February 11th. The Goldman Sachs Group cut shares of Cloudflare from a "buy" rating to a "sell" rating in a research note on Wednesday, April 15th. Jefferies Financial Group assumed coverage on shares of Cloudflare in a report on Wednesday, April 15th. They issued a "buy" rating on the stock. Finally, UBS Group reiterated a "neutral" rating and issued a $220.00 price target on shares of Cloudflare in a research note on Wednesday, February 11th. One investment analyst has rated the stock with a Strong Buy rating, nineteen have issued a Buy rating, seven have assigned a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $232.62.
Read Our Latest Stock Analysis on NET
About Cloudflare
(
Get Free Report)
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.
Further Reading
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