Cloudflare (NYSE:NET) Reaches New 52-Week High - Should You Buy?

Cloudflare, Inc. (NYSE:NET - Get Free Report) shares reached a new 52-week high during trading on Tuesday . The stock traded as high as $118.97 and last traded at $117.92, with a volume of 610053 shares. The stock had previously closed at $114.65.

Analyst Ratings Changes

NET has been the subject of a number of recent research reports. Scotiabank lifted their price objective on shares of Cloudflare from $85.00 to $87.00 and gave the company a "sector perform" rating in a research note on Friday, November 8th. UBS Group boosted their price objective on Cloudflare from $88.00 to $95.00 and gave the company a "neutral" rating in a research note on Friday, November 8th. Mizuho raised their target price on Cloudflare from $102.00 to $125.00 and gave the stock a "neutral" rating in a research note on Friday. Morgan Stanley upgraded Cloudflare from an "equal weight" rating to an "overweight" rating and upped their price target for the company from $92.00 to $130.00 in a research report on Monday, December 2nd. Finally, Stifel Nicolaus upgraded shares of Cloudflare from a "hold" rating to a "buy" rating and raised their price objective for the company from $95.00 to $136.00 in a research report on Tuesday. Four investment analysts have rated the stock with a sell rating, eleven have given a hold rating and twelve have issued a buy rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus price target of $96.77.

Cloudflare Stock Performance

The company has a market cap of $40.35 billion, a P/E ratio of -454.00 and a beta of 1.10. The business has a fifty day moving average of $96.78 and a 200 day moving average of $85.43. The company has a quick ratio of 3.37, a current ratio of 3.37 and a debt-to-equity ratio of 1.32.

Cloudflare (NYSE:NET - Get Free Report) last posted its earnings results on Thursday, November 7th. The company reported ($0.03) EPS for the quarter, hitting the consensus estimate of ($0.03). Cloudflare had a negative net margin of 5.97% and a negative return on equity of 7.18%. The firm had revenue of $430.08 million during the quarter, compared to analysts' expectations of $423.65 million. On average, equities analysts predict that Cloudflare, Inc. will post -0.1 EPS for the current year.

Insiders Place Their Bets

In related news, CEO Matthew Prince sold 52,384 shares of the company's stock in a transaction that occurred on Tuesday, October 15th. The stock was sold at an average price of $93.95, for a total value of $4,921,476.80. Following the sale, the chief executive officer now owns 10,761 shares in the company, valued at $1,010,995.95. This represents a 82.96 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, COO Michelle Zatlyn sold 25,640 shares of Cloudflare stock in a transaction on Thursday, December 12th. The shares were sold at an average price of $113.16, for a total value of $2,901,422.40. Following the transaction, the chief operating officer now 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 disclosure for this sale can be found here. In the last quarter, insiders have sold 524,824 shares of company stock worth $49,037,888. Company insiders own 12.83% of the company's stock.

Hedge Funds Weigh In On Cloudflare

A number of hedge funds have recently bought and sold shares of the company. Allspring Global Investments Holdings LLC raised its holdings in Cloudflare by 13.7% in the third quarter. Allspring Global Investments Holdings LLC now owns 987 shares of the company's stock worth $80,000 after buying an additional 119 shares during the last quarter. Quarry LP boosted its stake in Cloudflare by 38.6% during the 3rd quarter. Quarry LP now owns 478 shares of the company's stock valued at $39,000 after purchasing an additional 133 shares during the last quarter. Elo Mutual Pension Insurance Co increased its holdings in shares of Cloudflare by 0.5% in the 2nd quarter. Elo Mutual Pension Insurance Co now owns 27,196 shares of the company's stock worth $2,253,000 after purchasing an additional 136 shares in the last quarter. OneDigital Investment Advisors LLC raised its stake in shares of Cloudflare by 3.5% in the third quarter. OneDigital Investment Advisors LLC now owns 4,047 shares of the company's stock worth $327,000 after purchasing an additional 137 shares during the last quarter. Finally, Forum Financial Management LP lifted its holdings in shares of Cloudflare by 6.1% during the second quarter. Forum Financial Management LP now owns 2,823 shares of the company's stock valued at $234,000 after purchasing an additional 162 shares in the last quarter. Institutional investors own 82.68% 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.