Scotiabank Estimates Cloudflare’s FY2027 Earnings (NYSE:NET)

Cloudflare, Inc. (NYSE:NET) – Stock analysts at Scotiabank increased their FY2027 EPS estimates for Cloudflare in a research note issued to investors on Thursday, June 11th. Scotiabank analyst P. Colville now forecasts that the company will post earnings of $0.40 per share for the year, up from their prior forecast of $0.17. The consensus estimate for Cloudflare’s current full-year earnings is $0.01 per share.

Cloudflare (NYSE:NET) last issued its earnings results on Thursday, May 7th. The company reported $0.25 EPS for the quarter, topping analysts’ consensus estimates of $0.23 by $0.02. Cloudflare had a negative net margin of 3.72% and a negative return on equity of 5.65%. The company had revenue of $639.76 million for the quarter, compared to the consensus estimate of $620.83 million. During the same period in the previous year, the firm earned $0.16 earnings per share. Cloudflare’s quarterly revenue was up 33.5% compared to the same quarter last year. Cloudflare has set its FY 2026 guidance at 1.190-1.200 EPS and its Q2 2026 guidance at 0.270-0.270 EPS.

A number of other equities analysts also recently commented on NET. UBS Group lifted their target price on shares of Cloudflare from $220.00 to $250.00 and gave the stock a “neutral” rating in a research note on Wednesday. Susquehanna lifted their target price on shares of Cloudflare from $190.00 to $200.00 and gave the stock a “neutral” rating in a research note on Monday, May 11th. Morgan Stanley reaffirmed an “overweight” rating and set a $305.00 target price on shares of Cloudflare in a research note on Thursday, June 4th. Royal Bank Of Canada lifted their target price on shares of Cloudflare from $240.00 to $260.00 and gave the stock an “outperform” rating in a research note on Wednesday, June 10th. Finally, Needham & Company LLC lifted their target price on shares of Cloudflare from $250.00 to $280.00 and gave the stock a “buy” rating in a research note on Wednesday, June 10th. Twenty equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat, Cloudflare presently has an average rating of “Moderate Buy” and an average target price of $241.35.

Cloudflare Price Performance

Shares of NET stock opened at $227.91 on Monday. The company has a debt-to-equity ratio of 1.29, a current ratio of 1.96 and a quick ratio of 1.96. The firm’s 50-day moving average is $216.10 and its two-hundred day moving average is $201.73. Cloudflare has a 12 month low of $158.83 and a 12 month high of $276.82. The company has a market capitalization of $80.56 billion, a PE ratio of -911.62, a price-to-earnings-growth ratio of 481.14 and a beta of 1.70.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc. grew its holdings in Cloudflare by 0.3% during the 4th quarter. Vanguard Group Inc. now owns 32,407,646 shares of the company’s stock worth $6,389,167,000 after acquiring an additional 90,397 shares in the last quarter. Geode Capital Management LLC grew its holdings in Cloudflare by 4.2% during the 4th quarter. Geode Capital Management LLC now owns 6,018,175 shares of the company’s stock worth $1,184,044,000 after acquiring an additional 241,981 shares in the last quarter. Jennison Associates LLC grew its holdings in Cloudflare by 135.8% during the 1st quarter. Jennison Associates LLC now owns 4,394,484 shares of the company’s stock worth $906,758,000 after acquiring an additional 2,530,872 shares in the last quarter. First Trust Advisors LP grew its holdings in Cloudflare by 1.6% during the 4th quarter. First Trust Advisors LP now owns 4,019,157 shares of the company’s stock worth $792,377,000 after acquiring an additional 63,198 shares in the last quarter. Finally, Invesco Ltd. grew its holdings in Cloudflare by 1.3% during the 3rd quarter. Invesco Ltd. now owns 3,964,733 shares of the company’s stock worth $850,792,000 after acquiring an additional 49,485 shares in the last quarter. Institutional investors and hedge funds own 82.68% of the company’s stock.

Insider Transactions at Cloudflare

In other Cloudflare news, CEO Matthew Prince sold 52,384 shares of the business’s stock in a transaction that occurred on Monday, April 6th. The shares were sold at an average price of $210.02, for a total transaction of $11,001,687.68. The transaction 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, insider Michelle Zatlyn sold 35,080 shares of the business’s stock in a transaction that occurred on Friday, May 22nd. The stock was sold at an average price of $213.98, for a total transaction of $7,506,418.40. Following the transaction, the insider owned 47,425 shares of the company’s stock, valued at $10,148,001.50. This trade represents a 42.52% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 475,400 shares of company stock valued at $100,851,370. 10.66% of the stock is currently owned by corporate insiders.

Trending Headlines about Cloudflare

Here are the key news stories impacting Cloudflare this week:

• Positive Sentiment: Truist Financial raised its price target on Cloudflare to $250 from $225 and reiterated a buy rating, implying further upside from current levels. Truist raises Cloudflare price target
• Positive Sentiment: Morgan Stanley also sharply increased its Cloudflare price target, adding to the bullish analyst backdrop and reinforcing the view that expectations for the company are improving. Morgan Stanley raises Cloudflare price target
• Positive Sentiment: Barclays kept a buy rating on Cloudflare, while other reports noted Wall Street’s overall average recommendation remains equivalent to a Buy, supporting investor confidence in the stock. Barclays keeps buy rating on Cloudflare
• Positive Sentiment: Zacks said Cloudflare may be well poised for a surge because of solid earnings estimate revisions, which often signals improving fundamentals and stronger near-term sentiment. Zacks says Cloudflare may surge
• Neutral Sentiment: Jim Cramer commented that Cloudflare’s long-term direction looks “pretty fabulous,” but also noted the stock has been volatile, making the takeaway more of a commentary on long-term prospects than a direct catalyst. Jim Cramer comments on Cloudflare
• Negative Sentiment: One report flagged a new sell recommendation for Cloudflare, suggesting some analysts remain cautious despite the broader bullish tone. Cloudflare new sell recommendation

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.