Stock Traders Purchase High Volume of Cloudflare Call Options (NYSE:NET)

Cloudflare, Inc. (NYSE:NET) was the target of unusually large options trading activity on Wednesday. Traders purchased 21,646 call options on the stock. This is an increase of 46% compared to the average daily volume of 14,788 call options.

Wall Street Analyst Weigh In

A number of equities analysts have recently issued reports on NET shares. Mizuho increased their price objective on shares of Cloudflare from $92.00 to $105.00 and gave the company a “neutral” rating in a research note on Thursday, October 17th. BNP Paribas began coverage on shares of Cloudflare in a research note on Tuesday, October 8th. They set an “underperform” rating and a $65.00 price target for the company. Piper Sandler upped their price objective on Cloudflare from $83.00 to $92.00 and gave the company a “neutral” rating in a research note on Friday, November 8th. Morgan Stanley upgraded Cloudflare from an “equal weight” rating to an “overweight” rating and raised their target price for the stock from $92.00 to $130.00 in a research report on Monday. Finally, Scotiabank upped their price target on Cloudflare from $85.00 to $87.00 and gave the company a “sector perform” rating in a research report on Friday, November 8th. Four analysts have rated the stock with a sell rating, eleven have given a hold rating and eleven have issued a buy rating to the company. According to MarketBeat.com, Cloudflare presently has a consensus rating of “Hold” and an average price target of $94.40.

Insider Buying and Selling

In related news, insider Douglas James Kramer sold 3,000 shares of the business’s stock in a transaction on Friday, November 1st. The shares were sold at an average price of $88.60, for a total transaction of $265,800.00. Following the transaction, the insider now owns 185,386 shares of the company’s stock, valued at approximately $16,425,199.60. The trade was a 1.59 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, COO Michelle Zatlyn sold 64,100 shares of the stock in a transaction on Monday, October 7th. The shares were sold at an average price of $81.60, for a total transaction of $5,230,560.00. Following the completion of the sale, the chief operating officer now directly owns 192,177 shares of the company’s stock, valued at approximately $15,681,643.20. This trade represents a 25.01 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 499,184 shares of company stock valued at $45,212,272. Company insiders own 12.83% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the company. Tidal Investments LLC lifted its position in shares of Cloudflare by 18.0% in the third quarter. Tidal Investments LLC now owns 23,238 shares of the company’s stock valued at $1,880,000 after buying an additional 3,550 shares during the last quarter. Wilmington Savings Fund Society FSB bought a new stake in Cloudflare in the 3rd quarter valued at $204,000. Sanctuary Advisors LLC lifted its holdings in Cloudflare by 37.2% during the 3rd quarter. Sanctuary Advisors LLC now owns 14,133 shares of the company’s stock valued at $1,143,000 after purchasing an additional 3,835 shares during the last quarter. Virtu Financial LLC acquired a new stake in Cloudflare during the 3rd quarter valued at $1,268,000. Finally, Advisory Resource Group increased its holdings in shares of Cloudflare by 1.6% in the third quarter. Advisory Resource Group now owns 12,611 shares of the company’s stock valued at $1,020,000 after purchasing an additional 195 shares during the last quarter. Institutional investors own 82.68% of the company’s stock.

Cloudflare Trading Down 0.2 %

NYSE:NET opened at $110.46 on Friday. The company has a market cap of $37.91 billion, a P/E ratio of -424.85 and a beta of 1.10. Cloudflare has a twelve month low of $66.24 and a twelve month high of $116.00. The business has a 50 day moving average price of $92.13 and a two-hundred day moving average price of $83.33. 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) last issued its quarterly earnings results on Thursday, November 7th. The company reported ($0.03) EPS for the quarter, hitting the consensus estimate of ($0.03). The firm had revenue of $430.08 million for the quarter, compared to analysts’ expectations of $423.65 million. Cloudflare had a negative net margin of 5.97% and a negative return on equity of 7.18%. As a group, analysts expect that Cloudflare will post -0.11 EPS for the current fiscal year.

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.