Cloudflare (NYSE:NET) Director Sells $36,939.42 in Stock

Cloudflare, Inc. (NYSE:NET) Director Mark Hawkins sold 133 shares of the company’s stock in a transaction on Monday, August 3rd. The stock was sold at an average price of $277.74, for a total transaction of $36,939.42. Following the transaction, the director owned 10,632 shares of the company’s stock, valued at $2,952,931.68. This trade represents a 1.24% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Cloudflare Price Performance

Shares of NET opened at $283.33 on Friday. 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 has a market cap of $100.15 billion, a PE ratio of -1,133.31, a PEG ratio of 219.10 and a beta of 1.65. Cloudflare, Inc. has a 12-month low of $158.83 and a 12-month high of $305.00. The business has a 50-day simple moving average of $255.83 and a two-hundred day simple moving average of $218.26.

Cloudflare (NYSE:NET) last announced its quarterly earnings results on Wednesday, August 5th. The company reported $0.29 EPS for the quarter, beating analysts’ consensus estimates of $0.27 by $0.02. The firm had revenue of $696.06 million for 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%.The business’s revenue for the quarter was up 35.9% on a year-over-year basis. During the same period last year, the firm posted $0.21 earnings per share. Analysts anticipate that Cloudflare, Inc. will post 0.03 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Cloudflare

Several institutional investors have recently added to or reduced their stakes in NET. Empowered Funds LLC grew its holdings in Cloudflare by 34.2% in the first quarter. Empowered Funds LLC now owns 6,656 shares of the company’s stock worth $750,000 after purchasing an additional 1,696 shares during the period. Sivia Capital Partners LLC bought a new position in shares of Cloudflare during the 2nd quarter worth about $424,000. Cerity Partners LLC boosted its position in shares of Cloudflare by 30.1% during the 2nd quarter. Cerity Partners LLC now owns 27,531 shares of the company’s stock worth $5,391,000 after purchasing an additional 6,363 shares in the last quarter. Sei Investments Co. grew its stake in shares of Cloudflare by 40.1% in the 2nd quarter. Sei Investments Co. now owns 329,036 shares of the company’s stock valued at $64,432,000 after buying an additional 94,112 shares during the period. Finally, The Manufacturers Life Insurance Company grew its stake in shares of Cloudflare by 14.6% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 16,461 shares of the company’s stock valued at $3,224,000 after buying an additional 2,093 shares during the period. 82.68% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of equities research analysts have weighed in on NET shares. Mizuho boosted their target price on shares of Cloudflare from $260.00 to $310.00 and gave the stock an “outperform” rating in a report on Wednesday, July 15th. Stifel Nicolaus set a $260.00 price target on shares of Cloudflare in a research note on Friday, May 8th. BTIG Research lifted their price target on shares of Cloudflare from $269.00 to $314.00 and gave the stock a “buy” rating in a report on Friday, July 10th. Deutsche Bank Aktiengesellschaft raised shares of Cloudflare to a “buy” rating in a research note on Tuesday, July 7th. Finally, Wells Fargo & Company raised their target price on Cloudflare from $270.00 to $300.00 and gave the stock an “overweight” rating in a research report on Monday, July 20th. Two research analysts have rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating, six have issued a Hold rating and four have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Cloudflare has a consensus rating of “Moderate Buy” and an average price target of $267.38.

Key Cloudflare News

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Cloudflare beat second-quarter expectations. The company reported adjusted EPS of $0.29 versus the $0.27 consensus and revenue of $696.06 million versus estimates of approximately $664.7 million. Revenue increased 35.9% year over year, reinforcing demand for Cloudflare’s connectivity, security and developer products. Cloudflare Q2 earnings report
• Positive Sentiment: Management raised its outlook above Wall Street forecasts. Full-year 2026 EPS guidance increased to $1.25-$1.26, compared with consensus of $0.96, while revenue guidance was set at approximately $2.9 billion versus expectations of $2.8 billion. Third-quarter guidance also exceeded estimates, with EPS of $0.34 and revenue of $736-$737 million. Cloudflare raises annual outlook
• Positive Sentiment: AI demand is becoming a major growth driver. Cloudflare cited rising AI-agent traffic across its network and launched tools including an AEO Visibility Dashboard, Identity-Aware AI Gateway and Cloudflare OS. These offerings could expand its enterprise security, AI infrastructure and developer-platform markets. Cloudflare AEO Visibility Dashboard
• Neutral Sentiment: Analyst reaction is mixed. Jefferies maintained a Hold rating, while broader coverage remains generally favorable. The stock’s high beta and sharp recent rally may be contributing to profit-taking even after the earnings beat.
• Negative Sentiment: Insider selling may weigh on sentiment. CEO Matthew Prince sold more than $45 million of shares across multiple transactions, and director Carl Ledbetter sold 5,000 shares for about $1.4 million. The transactions were conducted under pre-arranged Rule 10b5-1 plans, limiting their value as a signal about business prospects, but they can still pressure investor sentiment. SEC insider filing
• Negative Sentiment: Valuation remains a key risk. With Cloudflare valued at roughly $100 billion and still reporting a negative net margin, investors may demand continued acceleration in growth, profitability and cash flow. Any guidance or AI-demand disappointment could trigger further volatility.

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.