Analysts Set Cloudflare, Inc. (NYSE:NET) Target Price at $232.48

Shares of Cloudflare, Inc. (NYSE:NET) have been assigned an average rating of “Moderate Buy” from the thirty ratings firms that are covering the stock, MarketBeat reports. Two investment analysts have rated the stock with a sell recommendation, ten have issued a hold recommendation, seventeen have given a buy recommendation and one has assigned a strong buy recommendation to the company. The average 12-month price objective among brokerages that have updated their coverage on the stock in the last year is $232.4815.

NET has been the topic of several research analyst reports. Wall Street Zen raised shares of Cloudflare from a “hold” rating to a “buy” rating in a report on Saturday, November 8th. TD Cowen reiterated a “buy” rating on shares of Cloudflare in a research note on Tuesday. Needham & Company LLC lifted their price target on Cloudflare from $240.00 to $285.00 and gave the stock a “buy” rating in a report on Friday, October 31st. Robert W. Baird set a $230.00 price objective on Cloudflare in a report on Wednesday, December 17th. Finally, Susquehanna increased their price objective on Cloudflare from $205.00 to $260.00 and gave the stock a “neutral” rating in a research report on Monday, November 3rd.

Cloudflare Trading Down 1.8%

NET stock opened at $177.23 on Friday. 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 company has a fifty day moving average price of $194.53 and a two-hundred day moving average price of $205.81. Cloudflare has a one year low of $89.42 and a one year high of $260.00. The stock has a market cap of $62.08 billion, a price-to-earnings ratio of -590.77, a price-to-earnings-growth ratio of 156.36 and a beta of 1.96.

Cloudflare (NYSE:NET) last issued its quarterly earnings data 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. The company had revenue of $562.03 million for the quarter, compared to analyst estimates of $544.65 million. Cloudflare had a negative net margin of 5.12% and a negative return on equity of 6.54%. The company’s revenue was up 30.7% on a year-over-year basis. During the same period in the prior year, the firm earned $0.20 earnings per share. Equities analysts anticipate that Cloudflare will post -0.11 EPS for the current year.

Insider Buying and Selling

In other Cloudflare news, insider Michelle Zatlyn sold 35,099 shares of the stock in a transaction that occurred on Thursday, November 20th. The shares were 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 in the company, 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 at this hyperlink. Also, CEO Matthew Prince sold 52,384 shares of the firm’s stock in a transaction that occurred on Wednesday, November 19th. The stock was sold at an average price of $195.32, for a total transaction of $10,231,642.88. Following the transaction, the chief executive officer directly owned 22,175 shares in the company, valued at $4,331,221. This represents a 70.26% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 634,213 shares of company stock valued at $125,537,644. 10.89% of the stock is owned by company insiders.

Institutional Investors Weigh In On Cloudflare

Large investors have recently added to or reduced their stakes in the stock. Norges Bank acquired a new stake in shares of Cloudflare during the 2nd quarter worth $541,462,000. Jennison Associates LLC lifted its position in Cloudflare by 802.6% during the fourth quarter. Jennison Associates LLC now owns 1,863,612 shares of the company’s stock worth $367,411,000 after purchasing an additional 1,657,144 shares during the period. Groupama Asset Managment acquired a new stake in Cloudflare during the second quarter worth about $225,204,000. Vanguard Group Inc. raised its position in shares of Cloudflare by 2.6% in the 3rd quarter. Vanguard Group Inc. now owns 32,317,249 shares of the company’s stock valued at $6,934,958,000 after buying an additional 821,684 shares in the last quarter. Finally, KBC Group NV lifted its holdings in shares of Cloudflare by 1,388.7% during the 2nd quarter. KBC Group NV now owns 736,153 shares of the company’s stock worth $144,161,000 after acquiring an additional 686,702 shares during the period. 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.