Cloudflare (NYSE:NET) Shares Up 2.8% on Analyst Upgrade

Shares of Cloudflare, Inc. (NYSE:NET) rose 2.8% during trading on Wednesday after DZ Bank upgraded the stock from a sell rating to a buy rating. DZ Bank now has a $300.00 price target on the stock. Cloudflare traded as high as $324.10 and last traded at $314.3660. Approximately 4,680,436 shares were traded during mid-day trading, an increase of 14% from the average session volume of 4,089,529 shares. The stock had previously closed at $305.80.

Other analysts have also recently issued research reports about the stock. BTIG Research lifted their price objective on shares of Cloudflare from $382.00 to $413.00 and gave the stock a “buy” rating in a research note on Tuesday, October 6th. Wolfe Research upgraded shares of Cloudflare from a “hold” rating to an “outperform” rating in a research report on Friday, November 6th. Scotiabank lowered their target price on shares of Cloudflare from $390.00 to $360.00 and set a “sector outperform” rating on the stock in a report on Friday, November 6th. The Goldman Sachs Group set a $420.00 price target on shares of Cloudflare and gave the company a “buy” rating in a research report on Friday, November 6th. Finally, Wells Fargo & Company boosted their price target on Cloudflare from $380.00 to $400.00 and gave the company an “overweight” rating in a research note on Wednesday, October 28th. Twenty-six research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and three have issued a Sell rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $338.48.

Insider Activity at Cloudflare

In related news, Director Carl Ledbetter sold 5,000 shares of the company’s stock in a transaction dated Monday, September 14th. The shares were sold at an average price of $312.22, for a total transaction of $1,561,100.00. Following the completion of the sale, the director owned 878,073 shares of the company’s stock, valued at $274,151,952.06. This 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 the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Michelle Zatlyn sold 33,003 shares of the stock in a transaction dated Tuesday, September 8th. The stock was sold at an average price of $277.43, for a total transaction of $9,156,022.29. Following the sale, the insider owned 69,775 shares in the company, valued at $19,357,678.25. The trade was a 32.11% 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 sold a total of 256,537 shares of company stock valued at $78,750,901 over the last quarter. 10.66% of the stock is owned by corporate insiders.

Recent Cloudflare Headlines

Investors following NET have been watching these headlines:

• Positive Sentiment: Cloudflare beat expectations with third-quarter revenue of $782.51 million, up 39.2% year over year, and raised its fourth-quarter and full-year sales outlook. Management also reported record bookings and moved up its target timeline for GAAP profitability. Article: How Earnings Beat Will Impact Cloudflare Stock Investors
• Neutral Sentiment: A Zacks article highlights NET as a cybersecurity stock with favorable estimate revisions and potential upside, but it does not provide a company-specific new financial catalyst. Article: Buy 2 Cybersecurity Bigwigs for Solid Price Upside for Rest of 2026
• Negative Sentiment: Some coverage flags a margin trade-off alongside rapid growth, while Cloudflare’s high valuation and recent strong run could limit further gains if expectations are not met. Article: Cloudflare’s Best Quarter Ever Comes With Margin Trade-Off

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in NET. Flagship Harbor Advisors LLC raised its position in Cloudflare by 2.7% during the third quarter. Flagship Harbor Advisors LLC now owns 1,238 shares of the company’s stock valued at $430,000 after purchasing an additional 33 shares in the last quarter. Financial Management Professionals Inc. boosted its holdings in shares of Cloudflare by 6.1% in the 3rd quarter. Financial Management Professionals Inc. now owns 623 shares of the company’s stock valued at $216,000 after purchasing an additional 36 shares in the last quarter. Armstrong Advisory Group Inc. boosted its holdings in shares of Cloudflare by 31.2% in the 3rd quarter. Armstrong Advisory Group Inc. now owns 164 shares of the company’s stock valued at $57,000 after purchasing an additional 39 shares in the last quarter. Colonial Trust Co SC boosted its holdings in shares of Cloudflare by 31.8% in the 3rd quarter. Colonial Trust Co SC now owns 170 shares of the company’s stock valued at $59,000 after purchasing an additional 41 shares in the last quarter. Finally, CX Institutional increased its stake in shares of Cloudflare by 49.4% in the 2nd quarter. CX Institutional now owns 133 shares of the company’s stock valued at $33,000 after purchasing an additional 44 shares during the last quarter. 82.68% of the stock is owned by institutional investors.

Cloudflare Stock Performance

The company has a current ratio of 3.80, a quick ratio of 3.80 and a debt-to-equity ratio of 3.03. The company has a market cap of $111.12 billion, a P/E ratio of -462.30, a price-to-earnings-growth ratio of 169.21 and a beta of 1.37. The company has a 50 day moving average price of $318.14 and a 200-day moving average price of $251.06.

Cloudflare (NYSE:NET) last announced its quarterly earnings data on Thursday, November 5th. The company reported $0.38 earnings per share for the quarter, topping the consensus estimate of $0.34 by $0.04. Cloudflare had a negative return on equity of 6.05% and a negative net margin of 8.75%. The business had revenue of $782.51 million during the quarter, compared to the consensus estimate of $737.16 million. During the same period in the prior year, the company earned $0.27 EPS. Cloudflare’s revenue for the quarter was up 39.2% on a year-over-year basis. On average, equities analysts expect that Cloudflare, Inc. will post 0.04 earnings per share for the current fiscal year.

Cloudflare Company Profile

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.