Cloudflare (NYSE:NET) Shares Gap Up – Should You Buy?

Cloudflare, Inc. (NYSE:NET)’s share price gapped up before the market opened on Monday . The stock had previously closed at $99.83, but opened at $106.03. Cloudflare shares last traded at $107.60, with a volume of 1,627,016 shares traded.

Analyst Ratings Changes

A number of research firms recently commented on NET. BNP Paribas initiated coverage on Cloudflare in a research report on Tuesday, October 8th. They issued an “underperform” rating and a $65.00 price target for the company. Scotiabank raised their price target on shares of Cloudflare from $85.00 to $87.00 and gave the company a “sector perform” rating in a research report on Friday, November 8th. Wells Fargo & Company boosted their price target on shares of Cloudflare from $105.00 to $110.00 and gave the stock an “overweight” rating in a report on Friday, November 8th. Piper Sandler increased their price objective on shares of Cloudflare from $83.00 to $92.00 and gave the company a “neutral” rating in a research note on Friday, November 8th. Finally, UBS Group boosted their target price on Cloudflare from $88.00 to $95.00 and gave the stock a “neutral” rating in a research note on Friday, November 8th. Four investment analysts have rated the stock with a sell rating, eleven have assigned a hold rating and eleven have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $94.40.

Cloudflare Trading Down 0.2 %

The firm has a 50 day simple moving average of $91.03 and a 200 day simple moving average of $82.94. The firm has a market cap of $36.00 billion, a P/E ratio of -403.42 and a beta of 1.10. The company has a debt-to-equity ratio of 1.32, a quick ratio of 3.37 and a current ratio of 3.37.

Cloudflare (NYSE:NET) last posted its earnings results on Thursday, November 7th. The company reported ($0.03) EPS for the quarter, hitting the consensus estimate of ($0.03). The business had revenue of $430.08 million during the quarter, compared to analysts’ expectations of $423.65 million. Cloudflare had a negative return on equity of 7.18% and a negative net margin of 5.97%. On average, equities research analysts predict that Cloudflare, Inc. will post -0.11 EPS for the current fiscal year.

Insider Activity

In other Cloudflare news, insider Douglas James Kramer sold 3,000 shares of Cloudflare stock in a transaction that occurred on Friday, November 1st. The stock was sold at an average price of $88.60, for a total value of $265,800.00. Following the transaction, the insider now directly owns 185,386 shares of the company’s stock, valued at $16,425,199.60. The trade was a 1.59 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO Thomas J. Seifert sold 15,000 shares of the stock in a transaction that occurred on Wednesday, September 18th. The shares were sold at an average price of $78.36, for a total value of $1,175,400.00. Following the sale, the chief financial officer now directly owns 281,403 shares of the company’s stock, valued at approximately $22,050,739.08. This trade represents a 5.06 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 536,568 shares of company stock valued at $47,573,767. Corporate insiders own 12.83% of the company’s stock.

Hedge Funds Weigh In On Cloudflare

Hedge funds have recently modified their holdings of the company. CVA Family Office LLC lifted its stake in Cloudflare by 121.3% in the third quarter. CVA Family Office LLC now owns 312 shares of the company’s stock worth $25,000 after acquiring an additional 171 shares during the period. Thurston Springer Miller Herd & Titak Inc. bought a new position in Cloudflare in the 2nd quarter worth $29,000. Quarry LP lifted its position in shares of Cloudflare by 73.4% in the 2nd quarter. Quarry LP now owns 345 shares of the company’s stock worth $29,000 after purchasing an additional 146 shares during the period. Capital Performance Advisors LLP bought a new stake in shares of Cloudflare during the 3rd quarter valued at about $38,000. Finally, Quest Partners LLC purchased a new position in shares of Cloudflare during the third quarter valued at about $54,000. Hedge funds and other institutional investors own 82.68% of the company’s stock.

Cloudflare Company Profile

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.