Cloudflare (NYSE:NET) Updates Q2 2024 Earnings Guidance

Cloudflare (NYSE:NET) updated its second quarter 2024 earnings guidance on Friday. The company provided EPS guidance of 0.140-0.140 for the period, compared to the consensus EPS estimate of 0.130. The company issued revenue guidance of $393.5 million-$394.5 million, compared to the consensus revenue estimate of $393.5 million. Cloudflare also updated its FY 2024 guidance to 0.600-0.610 EPS.

Cloudflare Price Performance

NET stock traded down $0.11 during mid-day trading on Monday, hitting $74.29. The company had a trading volume of 6,576,970 shares, compared to its average volume of 3,961,452. The company has a 50-day moving average price of $93.67 and a 200 day moving average price of $83.75. Cloudflare has a 12-month low of $44.60 and a 12-month high of $116.00. The company has a market capitalization of $25.08 billion, a price-to-earnings ratio of -141.34 and a beta of 1.15. The company has a quick ratio of 3.51, a current ratio of 3.51 and a debt-to-equity ratio of 1.61.

Cloudflare (NYSE:NET) last posted its earnings results on Thursday, February 8th. The company reported ($0.06) EPS for the quarter, beating analysts’ consensus estimates of ($0.07) by $0.01. Cloudflare had a negative return on equity of 12.78% and a negative net margin of 13.10%. The firm had revenue of $362.47 million during the quarter, compared to the consensus estimate of $352.70 million. On average, research analysts anticipate that Cloudflare will post -0.2 earnings per share for the current year.

Analysts Set New Price Targets

A number of research analysts recently commented on the stock. Piper Sandler reaffirmed a neutral rating and issued a $81.00 price target (down previously from $110.00) on shares of Cloudflare in a report on Friday. Truist Financial boosted their target price on Cloudflare from $90.00 to $120.00 and gave the company a buy rating in a research report on Friday, February 9th. Wells Fargo & Company lowered their price target on Cloudflare from $125.00 to $105.00 and set an overweight rating for the company in a research report on Friday. TD Cowen dropped their price objective on shares of Cloudflare from $117.00 to $110.00 and set a buy rating for the company in a research note on Friday. Finally, KeyCorp reduced their target price on shares of Cloudflare from $132.00 to $94.00 and set an overweight rating on the stock in a research note on Friday. Four investment analysts have rated the stock with a sell rating, ten have assigned a hold rating and nine have given a buy rating to the company. According to MarketBeat.com, Cloudflare presently has an average rating of Hold and a consensus target price of $90.13.

Insider Buying and Selling

In related news, CFO Thomas J. Seifert sold 15,000 shares of the business’s stock in a transaction on Friday, May 3rd. The shares were sold at an average price of $73.97, for a total transaction of $1,109,550.00. Following the completion of the transaction, the chief financial officer now directly owns 338,469 shares in the company, valued at $25,036,551.93. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. In related news, CFO Thomas J. Seifert sold 50,000 shares of Cloudflare stock in a transaction that occurred on Friday, February 9th. The shares were sold at an average price of $110.11, for a total value of $5,505,500.00. Following the completion of the sale, the chief financial officer now owns 366,465 shares in the company, valued at approximately $40,351,461.15. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Thomas J. Seifert sold 15,000 shares of the firm’s stock in a transaction dated Friday, May 3rd. The shares were sold at an average price of $73.97, for a total value of $1,109,550.00. Following the transaction, the chief financial officer now owns 338,469 shares of the company’s stock, valued at $25,036,551.93. The disclosure for this sale can be found here. Insiders sold 1,044,347 shares of company stock worth $101,703,776 in the last three months. Corporate insiders own 12.83% of the company’s stock.

About Cloudflare

Cloudflare, Inc operates as a cloud services provider that delivers a range of services to businesses worldwide. The company provides an integrated cloud-based security solution to secure a range of combination of platforms, including public cloud, private cloud, on-premise, software-as-a-service applications, and IoT devices; and website and application security products comprising web application firewall, bot management, distributed denial of service, API gateways, SSL/TLS encryption, script management, security center, and rate limiting products.