Handelsbanken Fonder AB Sells 1,924 Shares of Cloudflare, Inc. $NET

Handelsbanken Fonder AB lessened its holdings in Cloudflare, Inc. (NYSE:NET) by 1.1% during the second quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 174,722 shares of the company’s stock after selling 1,924 shares during the quarter. Handelsbanken Fonder AB’s holdings in Cloudflare were worth $42,856,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also bought and sold shares of NET. Empowered Funds LLC raised its stake in shares of Cloudflare by 34.2% during the 1st quarter. Empowered Funds LLC now owns 6,656 shares of the company’s stock worth $750,000 after purchasing an additional 1,696 shares in the last quarter. Sivia Capital Partners LLC acquired a new stake in shares of Cloudflare during the 2nd quarter worth about $424,000. Cerity Partners LLC lifted its position in Cloudflare by 30.1% during the second quarter. Cerity Partners LLC now owns 27,531 shares of the company’s stock worth $5,391,000 after acquiring an additional 6,363 shares during the last quarter. Sei Investments Co. lifted its holdings in Cloudflare by 40.1% during the 2nd quarter. Sei Investments Co. now owns 329,036 shares of the company’s stock worth $64,432,000 after purchasing an additional 94,112 shares during the last quarter. Finally, The Manufacturers Life Insurance Company boosted its position in shares of Cloudflare by 14.6% in the second quarter. The Manufacturers Life Insurance Company now owns 16,461 shares of the company’s stock valued at $3,224,000 after acquiring an additional 2,093 shares during the period. Institutional investors own 82.68% of the company’s stock.

Cloudflare Price Performance

NET stock opened at $307.10 on Wednesday. The company has a debt-to-equity ratio of 1.22, a current ratio of 1.82 and a quick ratio of 1.82. Cloudflare, Inc. has a 1 year low of $158.83 and a 1 year high of $324.73. The company’s 50-day moving average is $258.51 and its 200-day moving average is $220.98. The stock has a market capitalization of $108.55 billion, a PE ratio of -529.48, a price-to-earnings-growth ratio of 192.05 and a beta of 1.65.

Cloudflare (NYSE:NET) last released its quarterly earnings data on Wednesday, August 5th. The company reported $0.29 EPS for the quarter, beating the consensus estimate of $0.27 by $0.02. The firm had revenue of $696.06 million during the quarter, compared to the consensus estimate of $664.66 million. Cloudflare had a negative return on equity of 3.88% and a negative net margin of 8.21%.The company’s quarterly revenue was up 35.9% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.21 earnings per share. Equities research analysts expect that Cloudflare, Inc. will post 0.03 EPS for the current fiscal year.

Insider Activity at Cloudflare

In related news, Director Mark J. Hawkins sold 133 shares of the company’s stock in a transaction on Monday, August 3rd. The shares were sold at an average price of $277.74, for a total value of $36,939.42. Following the completion of the transaction, the director directly owned 10,632 shares in the company, valued at approximately $2,952,931.68. The trade was a 1.24% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director John Graham-Cumming sold 2,520 shares of the company’s stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $303.97, for a total value of $766,004.40. Following the completion of the transaction, the director owned 494,909 shares of the company’s stock, valued at $150,437,488.73. The trade was a 0.51% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 752,052 shares of company stock worth $184,648,633 in the last three months. 10.66% of the stock is owned by insiders.

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on NET shares. New Street Research reiterated a “market outperform” rating on shares of Cloudflare in a research note on Monday, June 15th. Guggenheim raised their price target on shares of Cloudflare from $140.00 to $160.00 and gave the company a “sell” rating in a research note on Friday. Citizens Jmp raised their price objective on Cloudflare from $330.00 to $394.00 and gave the company a “market outperform” rating in a report on Friday, August 7th. Stifel Nicolaus set a $260.00 target price on shares of Cloudflare in a research report on Friday, May 8th. Finally, Jefferies Financial Group set a $350.00 price target on Cloudflare in a research report on Friday. Two research analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating, six have assigned a Hold rating and four have given a Sell rating to the company. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $320.19.

Cloudflare News Roundup

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Government authorization expands Cloudflare’s addressable market. Cloudflare for Government received FedRAMP High certification and GovRAMP Moderate authorization, allowing the company to pursue business with federal, state and local agencies, defense organizations, schools and other regulated customers. The company intends to seek Department of Defense Impact Level 4 clearance, potentially opening additional contracts. Cloudflare Achieves FedRAMP High Authorization
• Positive Sentiment: AI demand and large-customer growth remain key catalysts. Recent coverage highlights Cloudflare’s 36% second-quarter revenue growth to approximately $696 million, demand for AI security and its agentic-AI and developer platform offerings. Several analysts also raised price targets, including targets of $333, $346 and $380, reflecting continued optimism about the company’s long-term growth. Cloudflare Surges 65% in 3 Months
• Neutral Sentiment: Susquehanna raised its price target but retained a neutral rating. The target increased from $200 to $300, signaling improved expectations after the second-quarter results, although it remains below recently elevated trading levels. Susquehanna price-target update
• Negative Sentiment: Cloudflare priced $2.175 billion of 0% convertible senior notes due 2031. The financing provides capital without cash interest expense, but future conversion could dilute existing shareholders and increases the company’s financial obligations. The transaction may weigh on the stock after its recent rally. Cloudflare Convertible Notes Offering
• Negative Sentiment: Valuation and widening GAAP losses remain risks. Despite strong revenue growth, Cloudflare continues to report a GAAP operating loss, while its very high valuation reflects substantial expectations for future growth. A director’s sale of 2,520 shares under a pre-arranged Rule 10b5-1 plan is a minor additional overhang, though the director retained nearly 495,000 shares. SEC insider transaction filing

Cloudflare 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.