Cloudflare (NYSE:NET) Issues FY 2024 Earnings Guidance

Cloudflare (NYSE:NET) issued an update on its FY 2024 earnings guidance on Thursday morning. The company provided EPS guidance of 0.700-0.710 for the period, compared to the consensus EPS estimate of 0.630. The company issued revenue guidance of $1.7 billion-$1.7 billion, compared to the consensus revenue estimate of $1.7 billion. Cloudflare also updated its FY24 guidance to $0.70-0.71 EPS.

Cloudflare Stock Up 6.8 %

Shares of NYSE:NET opened at $79.46 on Friday. The firm has a market cap of $27.00 billion, a P/E ratio of -149.92 and a beta of 1.10. The company has a quick ratio of 3.51, a current ratio of 3.51 and a debt-to-equity ratio of 1.61. Cloudflare has a 12-month low of $53.88 and a 12-month high of $116.00. The business has a fifty day simple moving average of $77.83 and a 200 day simple moving average of $85.17.

Cloudflare (NYSE:NET) last announced its earnings results on Thursday, May 2nd. The company reported ($0.03) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.05) by $0.02. The business had revenue of $378.60 million during the quarter, compared to analyst estimates of $372.93 million. Cloudflare had a negative return on equity of 8.90% and a negative net margin of 6.90%. Analysts predict that Cloudflare will post -0.19 earnings per share for the current year.

Analyst Upgrades and Downgrades

A number of analysts have weighed in on the company. UBS Group upgraded Cloudflare from a sell rating to a neutral rating and increased their price target for the stock from $76.00 to $82.00 in a report on Tuesday, June 25th. Cantor Fitzgerald increased their price target on Cloudflare from $80.00 to $85.00 and gave the stock a neutral rating in a report on Friday. Royal Bank of Canada increased their price target on Cloudflare from $90.00 to $99.00 and gave the stock an outperform rating in a report on Friday. JMP Securities reiterated a market outperform rating and set a $120.00 price target on shares of Cloudflare in a report on Tuesday, May 14th. Finally, Wolfe Research assumed coverage on Cloudflare in a report on Tuesday, July 16th. They set a peer perform rating for the company. Three research analysts have rated the stock with a sell rating, twelve have issued a hold rating and ten have given a buy rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of Hold and a consensus price target of $92.08.

Insiders Place Their Bets

In other Cloudflare news, COO Michelle Zatlyn sold 25,640 shares of Cloudflare stock in a transaction that occurred on Wednesday, July 3rd. The shares were sold at an average price of $85.28, for a total transaction of $2,186,579.20. Following the transaction, the chief operating officer now owns 211,394 shares of the company’s stock, valued at approximately $18,027,680.32. The transaction was disclosed in a legal filing with the SEC, which is available through this link. In other Cloudflare news, COO Michelle Zatlyn sold 25,640 shares of Cloudflare stock in a transaction that occurred on Wednesday, July 3rd. The shares were sold at an average price of $85.28, for a total transaction of $2,186,579.20. Following the transaction, the chief operating officer now owns 211,394 shares of the company’s stock, valued at approximately $18,027,680.32. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO Matthew Prince sold 52,384 shares of Cloudflare stock in a transaction that occurred on Monday, May 6th. The stock was sold at an average price of $74.67, for a total transaction of $3,911,513.28. Following the transaction, the chief executive officer now directly owns 230,612 shares in the company, valued at approximately $17,219,798.04. The disclosure for this sale can be found here. Insiders have sold a total of 691,210 shares of company stock valued at $53,578,881 in the last 90 days. 12.83% of the stock is currently owned by corporate insiders.

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.