Cloudflare (NYSE:NET) Stock Price Expected to Rise, Needham & Company LLC Analyst Says

Cloudflare (NYSE:NET) had its price target raised by Needham & Company LLC from $280.00 to $380.00 in a research report issued to clients and investors on Friday,Benzinga reports. The brokerage currently has a “buy” rating on the stock. Needham & Company LLC’s price objective would indicate a potential upside of 17.92% from the company’s current price.

Several other research analysts also recently weighed in on the stock. Mizuho lifted their target price on shares of Cloudflare from $260.00 to $310.00 and gave the stock an “outperform” rating in a research report on Wednesday, July 15th. Morgan Stanley upped their price target on shares of Cloudflare from $305.00 to $322.00 and gave the company an “overweight” rating in a research report on Friday, July 17th. KeyCorp reaffirmed an “overweight” rating and issued a $375.00 price objective on shares of Cloudflare in a research note on Friday. Weiss Ratings reissued a “sell (d-)” rating on shares of Cloudflare in a research note on Friday, July 17th. Finally, TD Cowen restated a “buy” rating on shares of Cloudflare in a report on Friday. Two investment analysts have rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating, six have assigned a Hold rating and three have assigned a Sell rating to the company. According to MarketBeat, Cloudflare currently has a consensus rating of “Moderate Buy” and a consensus target price of $287.93.

Cloudflare Stock Up 13.3%

Shares of Cloudflare stock opened at $322.25 on Friday. Cloudflare has a 12-month low of $158.83 and a 12-month high of $322.49. The firm has a market capitalization of $113.91 billion, a PE ratio of -1,272.40, a price-to-earnings-growth ratio of 219.10 and a beta of 1.65. The company has a quick ratio of 1.96, a current ratio of 1.96 and a debt-to-equity ratio of 1.29. The stock’s fifty day moving average is $255.83 and its 200-day moving average is $218.26.

Cloudflare (NYSE:NET) last released its quarterly earnings results on Wednesday, August 5th. The company reported $0.29 earnings per share for the quarter, beating analysts’ consensus estimates of $0.27 by $0.02. The business had revenue of $696.06 million during the quarter, compared to analyst estimates of $664.66 million. Cloudflare had a negative return on equity of 5.65% and a negative net margin of 3.72%.Cloudflare’s revenue for the quarter was up 35.9% on a year-over-year basis. During the same quarter last year, the company posted $0.21 EPS. Equities analysts anticipate that Cloudflare will post 0.03 earnings per share for the current year.

Insider Activity at Cloudflare

In other Cloudflare news, CFO Thomas J. Seifert sold 55,000 shares of Cloudflare stock in a transaction on Tuesday, August 4th. The shares were sold at an average price of $300.30, for a total transaction of $16,516,500.00. Following the completion of the sale, the chief financial officer owned 113,790 shares of the company’s stock, valued at $34,171,137. This trade represents a 32.58% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at 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 business’s stock in a transaction on 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 in the company, valued at approximately $10,148,001.50. This represents a 42.52% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 749,532 shares of company stock valued at $183,882,628. Corporate insiders own 10.66% of the company’s stock.

Institutional Trading of Cloudflare

A number of institutional investors have recently bought and sold shares of the company. Norges Bank acquired a new position in shares of Cloudflare during the 4th quarter valued at about $718,316,000. Jennison Associates LLC boosted its position in Cloudflare by 135.8% during the first quarter. Jennison Associates LLC now owns 4,394,484 shares of the company’s stock worth $906,758,000 after purchasing an additional 2,530,872 shares during the period. Corient Private Wealth LLC grew its holdings in Cloudflare by 4,042.6% during the fourth quarter. Corient Private Wealth LLC now owns 1,399,378 shares of the company’s stock valued at $275,887,000 after purchasing an additional 1,365,598 shares during the last quarter. Swedbank AB raised its position in shares of Cloudflare by 697.5% in the first quarter. Swedbank AB now owns 927,606 shares of the company’s stock valued at $191,402,000 after purchasing an additional 811,297 shares during the period. Finally, Massachusetts Financial Services Co. MA lifted its stake in shares of Cloudflare by 25.8% in the fourth quarter. Massachusetts Financial Services Co. MA now owns 1,639,661 shares of the company’s stock worth $323,259,000 after buying an additional 336,768 shares during the last quarter. Institutional investors and hedge funds own 82.68% of the company’s stock.

Trending Headlines about Cloudflare

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Cloudflare beat second-quarter expectations. Revenue rose 35.9% year over year to $696.1 million, exceeding estimates of approximately $664.7 million. Adjusted earnings of $0.29 per share also topped the $0.27 consensus. Cloudflare Q2 results
• Positive Sentiment: Management raised its full-year forecast above analyst expectations. Cloudflare now expects 2026 revenue of roughly $2.864 billion to $2.870 billion, up from its prior $2.805 billion-$2.813 billion range. Third-quarter guidance of $736 million-$737 million in revenue and $0.34 EPS also exceeded consensus estimates. Cloudflare raises outlook
• Positive Sentiment: AI-agent traffic is supporting demand. Cloudflare said businesses increasingly rely on its network to route and secure AI applications. New offerings, including the AEO Visibility Dashboard, Identity-Aware AI Gateway and Cloudflare OS, could broaden its enterprise opportunity. Market update on Cloudflare
• Positive Sentiment: BTIG Research raised its price target. BTIG increased its target from $314 to $382 and reiterated a Buy rating, adding to favorable Wall Street commentary after the earnings release. BTIG price-target update
• Neutral Sentiment: Analyst sentiment remains mixed. The broader consensus is still favorable, but some firms maintain Hold or Sell ratings. Cloudflare’s high valuation and elevated volatility make the shares sensitive to changes in growth expectations.
• Negative Sentiment: Insider selling could pressure sentiment. CEO Matthew Prince, CFO Thomas Seifert and director Carl Ledbetter reported sales totaling millions of dollars. The transactions were made under pre-arranged Rule 10b5-1 plans and therefore do not necessarily indicate deteriorating confidence, but they may encourage profit-taking. Cloudflare insider filing

About Cloudflare

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.