Cloudflare (NYSE:NET) Sets New 12-Month High – Should You Buy?

Shares of Cloudflare, Inc. (NYSE:NET) hit a new 52-week high during trading on Thursday . The stock traded as high as $278.88 and last traded at $273.54, with a volume of 417292 shares changing hands. The stock had previously closed at $273.40.

Cloudflare News Summary

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: BTIG Research raised its price target on Cloudflare to $314 from $269 and kept a Buy rating, signaling further upside potential for the stock. BTIG raises Cloudflare price target
• Positive Sentiment: Scotiabank upgraded Cloudflare to Sector Outperform with a $300 target, citing AI, agentic traffic, edge computing, and zero-trust security as key growth drivers. Scotiabank upgrades Cloudflare
• Positive Sentiment: Multiple articles highlighted Cloudflare as one of the cloud-computing names best positioned to benefit from AI-driven data-center growth in the second half of 2026. Cloudflare named as a top cloud computing stock
• Positive Sentiment: Coverage around Cloudflare’s deal with OpenAI and broader AI infrastructure buzz has added to optimism that the company can capture more AI-related traffic and demand. Cloudflare deal with OpenAI
• Neutral Sentiment: Director Carl Ledbetter sold 5,000 shares, but the transaction was done under a pre-arranged Rule 10b5-1 plan and is not necessarily a negative fundamental signal. Carl Ledbetter sells Cloudflare shares
• Neutral Sentiment: Recent roundup pieces comparing Cloudflare with other content-delivery stocks did not appear to change the investment thesis materially, but they helped keep NET in the spotlight. Cloudflare versus content delivery peers

Wall Street Analysts Forecast Growth

Several research firms recently issued reports on NET. Stifel Nicolaus set a $260.00 target price on shares of Cloudflare in a report on Friday, May 8th. Guggenheim reiterated a “sell” rating and set a $140.00 price target on shares of Cloudflare in a report on Wednesday, June 10th. Citizens Jmp reissued a “market outperform” rating and issued a $270.00 price objective on shares of Cloudflare in a research note on Monday, June 15th. Zacks Research raised Cloudflare from a “strong sell” rating to a “hold” rating in a research note on Friday, March 13th. Finally, Benchmark downgraded Cloudflare to an “underperform” rating in a report on Tuesday. One equities research analyst has rated the stock with a Strong Buy rating, twenty-one have assigned a Buy rating, eight have assigned a Hold rating and four have issued a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $245.96.

Cloudflare Trading Down 2.7%

The company has a debt-to-equity ratio of 1.29, a current ratio of 1.96 and a quick ratio of 1.96. The stock’s 50 day moving average is $231.89 and its 200-day moving average is $207.40. The company has a market capitalization of $94.89 billion, a P/E ratio of -1,073.84, a P/E/G ratio of 277.77 and a beta of 1.67.

Cloudflare (NYSE:NET) last posted its earnings results on Thursday, May 7th. The company reported $0.25 earnings per share for the quarter, topping analysts’ consensus estimates of $0.23 by $0.02. The firm had revenue of $639.75 million for the quarter, compared to the consensus estimate of $620.83 million. Cloudflare had a negative return on equity of 5.65% and a negative net margin of 3.72%.The business’s revenue for the quarter was up 33.5% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.16 EPS. Cloudflare has set its FY 2026 guidance at 1.190-1.200 EPS and its Q2 2026 guidance at 0.270-0.270 EPS. As a group, equities research analysts anticipate that Cloudflare, Inc. will post 0.02 earnings per share for the current year.

Insider Buying and Selling at Cloudflare

In related news, CEO Matthew Prince sold 52,422 shares of the stock in a transaction dated Wednesday, July 1st. The shares were sold at an average price of $249.09, for a total value of $13,057,795.98. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Michelle Zatlyn sold 35,080 shares of Cloudflare stock in a transaction dated 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 directly owned 47,425 shares of the company’s stock, valued at approximately $10,148,001.50. This trade represents a 42.52% decrease in their ownership of the stock. 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. Insiders have sold 626,185 shares of company stock valued at $139,810,855 in the last three months. Insiders own 10.66% of the company’s stock.

Hedge Funds Weigh In On Cloudflare

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Lingotto Investment Management LLP bought a new position in Cloudflare in the 4th quarter worth about $34,626,000. Trek Financial LLC purchased a new position in Cloudflare in the fourth quarter worth about $1,793,000. Jupiter Asset Management Ltd. raised its holdings in Cloudflare by 1,984.7% in the fourth quarter. Jupiter Asset Management Ltd. now owns 197,710 shares of the company’s stock worth $38,979,000 after buying an additional 188,226 shares during the last quarter. 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 in the last quarter. Finally, Pictet Asset Management Holding SA lifted its stake in shares of Cloudflare by 17.6% in the first quarter. Pictet Asset Management Holding SA now owns 1,381,985 shares of the company’s stock worth $284,900,000 after buying an additional 206,506 shares in the last quarter. Institutional investors own 82.68% of the company’s stock.

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.