Cloudflare (NYSE:NET) Sees Large Volume Increase – Here’s What Happened

Cloudflare, Inc. (NYSE:NET) shares saw unusually-high trading volume on Tuesday . Approximately 4,961,857 shares traded hands during trading, an increase of 50% from the previous session’s volume of 3,308,115 shares.The stock last traded at $215.6990 and had previously closed at $189.35.

Wall Street Analysts Forecast Growth

NET has been the topic of several research analyst reports. Wall Street Zen upgraded shares of Cloudflare from a “hold” rating to a “buy” rating in a research report on Saturday, November 8th. Barclays started coverage on shares of Cloudflare in a research note on Tuesday, December 2nd. They issued an “overweight” rating and a $235.00 price objective for the company. Argus increased their target price on shares of Cloudflare from $238.00 to $265.00 and gave the company a “buy” rating in a report on Monday, November 10th. Needham & Company LLC lifted their price target on shares of Cloudflare from $240.00 to $285.00 and gave the company a “buy” rating in a research report on Friday, October 31st. Finally, KeyCorp upped their price target on Cloudflare from $235.00 to $300.00 and gave the stock an “overweight” rating in a report on Friday, October 31st. One research analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, ten have assigned a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $232.48.

Cloudflare Price Performance

The company has a debt-to-equity ratio of 1.46, a current ratio of 2.04 and a quick ratio of 2.04. The firm has a market capitalization of $73.76 billion, a PE ratio of -700.52, a P/E/G ratio of 114.08 and a beta of 1.96. The company has a 50-day moving average price of $194.97 and a 200-day moving average price of $206.00.

Cloudflare (NYSE:NET) last announced its earnings results on Thursday, October 30th. The company reported $0.27 earnings per share for the quarter, beating the consensus estimate of $0.23 by $0.04. Cloudflare had a negative net margin of 5.12% and a negative return on equity of 6.54%. The firm had revenue of $562.03 million during the quarter, compared to the consensus estimate of $544.65 million. During the same quarter in the previous year, the company posted $0.20 EPS. The firm’s revenue for the quarter was up 30.7% on a year-over-year basis. Cloudflare has set its Q4 2025 guidance at 0.270-0.270 EPS and its FY 2025 guidance at 0.910-0.910 EPS. Sell-side analysts forecast that Cloudflare, Inc. will post -0.11 EPS for the current year.

Insider Buying and Selling at Cloudflare

In other Cloudflare news, insider Michelle Zatlyn sold 35,099 shares of the stock in a transaction on Thursday, November 20th. The stock was sold at an average price of $199.26, for a total transaction of $6,993,826.74. Following the transaction, the insider owned 24,555 shares of the company’s stock, valued at $4,892,829.30. This represents a 58.84% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. Also, CFO Thomas J. Seifert sold 41,555 shares of Cloudflare stock in a transaction on Thursday, November 20th. The shares were sold at an average price of $194.18, for a total value of $8,069,149.90. Following the completion of the sale, the chief financial officer directly owned 137,486 shares of the company’s stock, valued at approximately $26,697,031.48. This represents a 23.21% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 619,213 shares of company stock worth $122,370,244. Insiders own 10.89% of the company’s stock.

Hedge Funds Weigh In On Cloudflare

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Rakuten Investment Management Inc. bought a new position in Cloudflare during the 3rd quarter valued at $138,660,000. Westfield Capital Management Co. LP acquired a new stake in shares of Cloudflare in the 2nd quarter valued at about $87,868,000. Swedbank AB lifted its position in shares of Cloudflare by 27.7% during the third quarter. Swedbank AB now owns 43,878 shares of the company’s stock worth $9,416,000 after purchasing an additional 9,527 shares during the last quarter. Universal Beteiligungs und Servicegesellschaft mbH grew its stake in Cloudflare by 20.1% in the third quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 170,186 shares of the company’s stock worth $36,520,000 after purchasing an additional 28,495 shares in the last quarter. Finally, Strategy Capital LLC increased its holdings in Cloudflare by 4.5% in the second quarter. Strategy Capital LLC now owns 1,165,942 shares of the company’s stock valued at $228,326,000 after buying an additional 50,374 shares during the last quarter. Institutional investors and hedge funds own 82.68% of the company’s stock.

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.