Cloudflare (NYSE:NET) Updates Q2 2024 Earnings Guidance

Cloudflare (NYSE:NET) updated its second quarter 2024 earnings guidance on Friday. The company provided EPS guidance of 0.140-0.140 for the period, compared to the consensus EPS estimate of 0.130. The company issued revenue guidance of $393.5 million-$394.5 million, compared to the consensus revenue estimate of $393.5 million. Cloudflare also updated its FY 2024 guidance to 0.600-0.610 EPS.

Cloudflare Stock Down 0.1 %

NYSE NET traded down $0.11 on Monday, reaching $74.29. The company had a trading volume of 6,576,970 shares, compared to its average volume of 3,961,452. The company’s fifty day moving average is $93.67 and its 200-day moving average is $83.75. Cloudflare has a 1-year low of $44.60 and a 1-year high of $116.00. The firm has a market capitalization of $25.08 billion, a price-to-earnings ratio of -141.34 and a beta of 1.15. The company has a debt-to-equity ratio of 1.61, a quick ratio of 3.51 and a current ratio of 3.51.

Cloudflare (NYSE:NET) last posted its quarterly earnings data on Thursday, February 8th. The company reported ($0.06) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.07) by $0.01. The business had revenue of $362.47 million during the quarter, compared to the consensus estimate of $352.70 million. Cloudflare had a negative return on equity of 12.78% and a negative net margin of 13.10%. On average, research analysts forecast that Cloudflare will post -0.2 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

A number of research firms recently weighed in on NET. Sanford C. Bernstein initiated coverage on shares of Cloudflare in a research report on Thursday, January 18th. They issued a market perform rating and a $85.00 target price for the company. KeyCorp dropped their target price on Cloudflare from $132.00 to $94.00 and set an overweight rating on the stock in a report on Friday. Cantor Fitzgerald decreased their price target on Cloudflare from $100.00 to $80.00 and set a neutral rating for the company in a research note on Friday. Piper Sandler reaffirmed a neutral rating and set a $81.00 price target (down previously from $110.00) on shares of Cloudflare in a research report on Friday. Finally, Robert W. Baird cut their price objective on Cloudflare from $100.00 to $94.00 and set an outperform rating for the company in a report on Friday. Four investment analysts have rated the stock with a sell rating, ten have assigned a hold rating and nine have assigned a buy rating to the company. According to MarketBeat.com, the company currently has an average rating of Hold and an average target price of $90.13.

Insiders Place Their Bets

In other Cloudflare news, insider Douglas James Kramer sold 6,000 shares of Cloudflare stock in a transaction dated Friday, February 9th. The shares were sold at an average price of $110.08, for a total value of $660,480.00. Following the completion of the sale, the insider now owns 216,114 shares in the company, valued at approximately $23,789,829.12. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. In other news, CEO Matthew Prince sold 52,384 shares of the stock in a transaction on Wednesday, February 21st. The stock was sold at an average price of $94.59, for a total transaction of $4,955,002.56. Following the sale, the chief executive officer now directly owns 12,183 shares of the company’s stock, valued at approximately $1,152,389.97. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, insider Douglas James Kramer sold 6,000 shares of the firm’s stock in a transaction on Friday, February 9th. The stock was sold at an average price of $110.08, for a total value of $660,480.00. Following the completion of the transaction, the insider now owns 216,114 shares in the company, valued at approximately $23,789,829.12. The disclosure for this sale can be found here. Insiders have sold 1,044,347 shares of company stock worth $101,703,776 in the last 90 days. Company insiders own 12.83% of the company’s stock.

About Cloudflare

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.