Cloudflare (NYSE:NET) Trading Up 1.4% – Time to Buy?

Shares of Cloudflare, Inc. (NYSE:NET) rose 1.4% during trading on Thursday . The company traded as high as $150.69 and last traded at $146.98. Approximately 1,095,049 shares traded hands during mid-day trading, a decline of 72% from the average daily volume of 3,899,221 shares. The stock had previously closed at $144.92.

Wall Street Analyst Weigh In

NET has been the subject of a number of research analyst reports. Guggenheim raised their price target on Cloudflare from $57.00 to $68.00 and gave the stock a “sell” rating in a research note on Friday, February 7th. JMP Securities raised their price target on Cloudflare from $135.00 to $180.00 and gave the stock a “market outperform” rating in a research note on Friday, February 7th. Mizuho raised their price target on Cloudflare from $130.00 to $160.00 and gave the stock a “neutral” rating in a research note on Monday, February 10th. Robert W. Baird reissued a “neutral” rating and set a $140.00 price objective (up previously from $125.00) on shares of Cloudflare in a research report on Monday, February 3rd. Finally, Oppenheimer lowered Cloudflare from an “outperform” rating to a “market perform” rating in a research report on Friday, February 7th. Four equities research analysts have rated the stock with a sell rating, twelve have issued a hold rating and eleven have assigned a buy rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $136.28.

Cloudflare Price Performance

The firm has a fifty day moving average of $133.31 and a 200 day moving average of $105.43. The company has a market capitalization of $49.93 billion, a P/E ratio of -661.26 and a beta of 1.12. The company has a current ratio of 3.37, a quick ratio of 3.37 and a debt-to-equity ratio of 1.32.

Cloudflare (NYSE:NET) last released its quarterly earnings results on Thursday, February 6th. The company reported ($0.03) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.18 by ($0.21). Cloudflare had a negative net margin of 4.72% and a negative return on equity of 5.52%. On average, equities research analysts anticipate that Cloudflare, Inc. will post -0.11 EPS for the current year.

Insider Buying and Selling at Cloudflare

In other news, COO Michelle Zatlyn sold 25,640 shares of Cloudflare stock in a transaction dated Thursday, December 12th. The stock was sold at an average price of $113.16, for a total transaction of $2,901,422.40. Following the transaction, the chief operating officer now directly owns 172,959 shares of the company’s stock, valued at $19,572,040.44. The trade was a 12.91 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO Thomas J. Seifert sold 15,000 shares of Cloudflare stock in a transaction dated Wednesday, December 4th. The shares were sold at an average price of $109.90, for a total value of $1,648,500.00. Following the transaction, the chief financial officer now directly owns 252,869 shares in the company, valued at approximately $27,790,303.10. The trade was a 5.60 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 638,046 shares of company stock worth $81,243,344 in the last three months. 12.83% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the stock. Capital Performance Advisors LLP purchased a new position in shares of Cloudflare during the 3rd quarter valued at about $38,000. Quarry LP lifted its position in shares of Cloudflare by 38.6% during the 3rd quarter. Quarry LP now owns 478 shares of the company’s stock valued at $39,000 after buying an additional 133 shares in the last quarter. Gordian Capital Singapore Pte Ltd purchased a new position in Cloudflare in the 4th quarter worth approximately $43,000. Quest Partners LLC purchased a new position in Cloudflare in the 3rd quarter worth approximately $54,000. Finally, Park Square Financial Group LLC purchased a new position in Cloudflare in the 4th quarter worth approximately $56,000. 82.68% of the stock is owned by hedge funds and other institutional investors.

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.