Scotiabank Cuts Cloudflare (NYSE:NET) Price Target to $225.00

Cloudflare (NYSE:NET) had its price target cut by Scotiabank from $255.00 to $225.00 in a research report sent to investors on Wednesday,Benzinga reports. They currently have a sector perform rating on the stock.

A number of other research firms also recently issued reports on NET. UBS Group reaffirmed a “neutral” rating and set a $220.00 price target on shares of Cloudflare in a research note on Wednesday. KeyCorp boosted their target price on shares of Cloudflare from $235.00 to $300.00 and gave the stock an “overweight” rating in a report on Friday, October 31st. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Cloudflare in a report on Wednesday, January 21st. Truist Financial set a $225.00 price target on Cloudflare in a research report on Tuesday, January 20th. Finally, Susquehanna boosted their price objective on Cloudflare from $205.00 to $260.00 and gave the stock a “neutral” rating in a research note on Monday, November 3rd. One research analyst has rated the stock with a Strong Buy rating, twenty have given a Buy rating, seven have assigned a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, Cloudflare presently has a consensus rating of “Moderate Buy” and a consensus target price of $232.11.

Cloudflare Stock Performance

NYSE NET opened at $196.00 on Wednesday. The company has a debt-to-equity ratio of 1.46, a current ratio of 2.04 and a quick ratio of 2.04. Cloudflare has a 1-year low of $89.42 and a 1-year high of $260.00. The business has a 50 day simple moving average of $190.27 and a two-hundred day simple moving average of $204.76. The stock has a market capitalization of $68.66 billion, a PE ratio of -675.84, a P/E/G ratio of 328.65 and a beta of 1.97.

Cloudflare (NYSE:NET) last issued its quarterly earnings data on Tuesday, February 10th. The company reported $0.28 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.27 by $0.01. The business had revenue of $614.51 million for the quarter, compared to analysts’ expectations of $591.67 million. Cloudflare had a negative return on equity of 7.40% and a negative net margin of 4.72%.The company’s revenue for the quarter was up 33.6% on a year-over-year basis. During the same period in the prior year, the firm earned $0.19 EPS. On average, research analysts predict that Cloudflare will post -0.11 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, insider Michelle Zatlyn sold 25,641 shares of Cloudflare stock in a transaction on Thursday, January 15th. The stock was sold at an average price of $190.05, for a total transaction of $4,873,072.05. Following the completion of the sale, the insider directly owned 24,555 shares in the company, valued at approximately $4,666,677.75. This trade represents a 51.08% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Douglas James Kramer sold 3,000 shares of the business’s stock in a transaction on Monday, February 2nd. The shares were sold at an average price of $176.19, for a total transaction of $528,570.00. Following the sale, the insider directly owned 101,101 shares of the company’s stock, valued at $17,812,985.19. This represents a 2.88% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 633,347 shares of company stock valued at $124,873,834. Insiders own 10.89% of the company’s stock.

Hedge Funds Weigh In On Cloudflare

A number of hedge funds have recently added to or reduced their stakes in the stock. Rakuten Investment Management Inc. bought a new stake in Cloudflare during the 3rd quarter valued at $138,660,000. Allianz Asset Management GmbH raised its holdings in shares of Cloudflare by 322.4% in the third quarter. Allianz Asset Management GmbH now owns 65,182 shares of the company’s stock valued at $13,987,000 after acquiring an additional 49,749 shares in the last quarter. National Pension Service grew its holdings in Cloudflare by 1.0% during the 3rd quarter. National Pension Service now owns 618,662 shares of the company’s stock worth $132,759,000 after acquiring an additional 5,939 shares in the last quarter. Westfield Capital Management Co. LP bought a new position in Cloudflare during the 2nd quarter worth about $87,868,000. Finally, Swedbank AB increased its position in Cloudflare by 27.7% during the 3rd quarter. Swedbank AB now owns 43,878 shares of the company’s stock valued at $9,416,000 after purchasing an additional 9,527 shares during the period. 82.68% of the stock is currently owned by institutional investors.

Trending Headlines about Cloudflare

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Q4 beat — Cloudflare reported revenue of ~$614.5M (+33.6% YoY) and EPS of $0.28, with management highlighting record deal activity, rising RPO/cRPO and improving free cash flow. MSN: Q4 growth
• Positive Sentiment: Revenue guidance topped estimates — management raised FY‑2026 revenue outlook (management cited a figure near $2.795B), signaling confidence in sustained demand and driving the rally. Investing.com: Guidance beats
• Positive Sentiment: AI tailwind — multiple reports and management commentary point to rising “agentic” traffic (e.g., Moltbot) that boosts security, networking and edge services, creating a durable demand cycle. Yahoo: AI deals
• Positive Sentiment: Analyst upgrades and higher targets — several firms upgraded or raised targets (examples include Robert W. Baird to outperform/$260 and DZ Bank to buy/$215), adding conviction to the upside thesis. Finviz: Analyst moves
• Positive Sentiment: Elevated options activity — unusually large call buying (13,474 contracts) suggests short‑term bullish/speculative positioning around the stock.
• Neutral Sentiment: Mixed analyst notes — some firms reaffirm neutral/hold stances (Cantor Fitzgerald) or trimmed PTs modestly while keeping buy ratings, reflecting differing views on valuation vs. growth. Zacks: Analyst roundup
• Neutral Sentiment: Valuation questions persist — coverage pieces and valuation checks note Cloudflare’s rich multiples given ongoing margin/headwind dynamics, so upside depends on continued revenue leverage. Yahoo: Valuation check
• Negative Sentiment: Insider sale disclosed — director John Graham‑Cumming sold 2,520 shares; small relative to his holdings but noted by the market. SEC: Form 4
• Negative Sentiment: Institutional profit‑taking — at least one fund materially trimmed its stake in recent filings, evidence of some near‑term selling pressure amid the rally. DefenseWorld: Institutional trimming
• Negative Sentiment: Some target cuts — a few analysts reduced price targets (e.g., Scotiabank), underscoring uneven short‑term sentiment despite the beat. TickerReport: PT cuts

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.