Cloudflare Sees Unusually Large Options Volume (NYSE:NET)

Cloudflare, Inc. (NYSE:NET) saw some unusual options trading on Tuesday. Investors bought 13,069 call options on the company. This represents an increase of approximately 43% compared to the average daily volume of 9,125 call options.

Insider Buying and Selling

In other Cloudflare news, insider Michelle Zatlyn sold 25,641 shares of the company’s stock in a transaction on Thursday, January 15th. The shares were sold at an average price of $190.05, for a total value of $4,873,072.05. Following the completion of the transaction, the insider directly owned 24,555 shares in the company, valued at approximately $4,666,677.75. This represents a 51.08% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director John Graham-Cumming sold 2,520 shares of the firm’s stock in a transaction dated Monday, January 5th. The stock was sold at an average price of $200.27, for a total transaction of $504,680.40. Following the completion of the sale, the director directly owned 495,191 shares of the company’s stock, valued at approximately $99,171,901.57. This represents a 0.51% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 634,213 shares of company stock valued at $125,537,644 over the last three months. Insiders own 10.89% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of NET. Reliant Investment Partners LLC grew its holdings in shares of Cloudflare by 1.5% during the third quarter. Reliant Investment Partners LLC now owns 3,316 shares of the company’s stock valued at $718,000 after buying an additional 50 shares during the last quarter. Daymark Wealth Partners LLC lifted its position in Cloudflare by 1.1% in the 2nd quarter. Daymark Wealth Partners LLC now owns 4,556 shares of the company’s stock valued at $892,000 after acquiring an additional 51 shares in the last quarter. Frank Rimerman Advisors LLC boosted its stake in Cloudflare by 1.8% during the 3rd quarter. Frank Rimerman Advisors LLC now owns 2,821 shares of the company’s stock valued at $605,000 after purchasing an additional 51 shares during the last quarter. Huntington National Bank increased its holdings in shares of Cloudflare by 22.8% in the 2nd quarter. Huntington National Bank now owns 280 shares of the company’s stock worth $55,000 after purchasing an additional 52 shares in the last quarter. Finally, ORG Partners LLC raised its stake in shares of Cloudflare by 11.9% in the second quarter. ORG Partners LLC now owns 498 shares of the company’s stock worth $92,000 after purchasing an additional 53 shares during the last quarter. 82.68% of the stock is owned by hedge funds and other institutional investors.

Cloudflare Stock Down 10.3%

NET stock opened at $184.79 on Thursday. The business has a 50 day moving average of $194.93 and a 200 day moving average of $206.03. The firm has a market cap of $64.73 billion, a PE ratio of -615.97, a price-to-earnings-growth ratio of 135.46 and a beta of 1.96. Cloudflare has a twelve month low of $89.42 and a twelve month high of $260.00. The company has a quick ratio of 2.04, a current ratio of 2.04 and a debt-to-equity ratio of 1.46.

Cloudflare (NYSE:NET) last released its earnings results on Thursday, October 30th. The company reported $0.27 EPS for the quarter, topping analysts’ consensus estimates of $0.23 by $0.04. The firm had revenue of $562.03 million for the quarter, compared to analysts’ expectations of $544.65 million. Cloudflare had a negative return on equity of 6.54% and a negative net margin of 5.12%.The company’s quarterly revenue was up 30.7% on a year-over-year basis. During the same period in the prior year, the firm posted $0.20 earnings per share. On average, research analysts forecast that Cloudflare will post -0.11 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

NET has been the subject of a number of research reports. Royal Bank Of Canada reissued an “outperform” rating on shares of Cloudflare in a research note on Tuesday. Guggenheim reissued a “sell” rating on shares of Cloudflare in a research report on Tuesday, October 21st. UBS Group lowered their target price on Cloudflare from $245.00 to $210.00 and set a “neutral” rating for the company in a research note on Tuesday, January 13th. Cantor Fitzgerald upped their price target on Cloudflare from $199.00 to $224.00 and gave the stock a “neutral” rating in a research note on Friday, October 31st. Finally, Truist Financial set a $225.00 price objective on Cloudflare in a report on Tuesday, January 20th. One investment analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating, ten have assigned a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $232.48.

More Cloudflare News

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Viral AI agent buzz renewed enthusiasm for Cloudflare’s edge and infra tools, sparking a premarket surge as investors priced in stronger 2026 demand for Cloudflare-hosted AI workloads. Cloudflare surges as viral AI agent buzz lifts expectations
• Positive Sentiment: Unusually large call-option activity shows speculative bullish positioning (calls bought well above typical daily volume), which can amplify upside if positive news continues.
• Positive Sentiment: Analyst and media coverage points to durable growth drivers — revenue surprises, partnerships and better margin outlooks have been cited as reasons for the multi-month rally, supporting a constructive longer-term case. What’s Fueling The Growth For Cloudflare Stock?
• Neutral Sentiment: Theme-based research lists Cloudflare among potential beneficiaries of broader tech trends (quantum/enabler alpha lists), which is informational but not an immediate catalyst. Quantum’s Next Winners? 3 Enablers With 10%+ Projected Growth in 2026
• Neutral Sentiment: Coverage is mixed: some outlets highlight strong fundamentals while others note valuation and near-term risk, producing conflicting analyst views that can increase trading volatility. Analysts Conflicted on These Technology Names: CoreWeave (CRWV) and Cloudflare (NET)
• Negative Sentiment: A company director sold 15,000 shares at roughly $211, a disclosed SEC transaction that may be interpreted by some investors as opportunistic profit-taking after the rally. SEC Form 4 — Carl Ledbetter sale
• Negative Sentiment: After the midweek surge, the stock pulled back more than the broader market as traders digested the sprint higher and rotated profits; coverage notes the decline and higher-than-normal intraday volume. Cloudflare (NET) Declines More Than Market

Cloudflare Company 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.