Scotiabank Forecasts Cloudflare’s FY2024 Earnings (NYSE:NET)

Cloudflare, Inc. (NYSE:NET) – Analysts at Scotiabank issued their FY2024 earnings estimates for shares of Cloudflare in a report issued on Wednesday, January 8th. Scotiabank analyst P. Colville expects that the company will post earnings per share of ($0.10) for the year. Scotiabank has a “Sector Perform” rating and a $87.00 price objective on the stock. The consensus estimate for Cloudflare’s current full-year earnings is ($0.10) per share. Scotiabank also issued estimates for Cloudflare’s FY2025 earnings at ($0.02) EPS.

Cloudflare (NYSE:NET) last posted its quarterly earnings results on Thursday, November 7th. The company reported ($0.03) earnings per share for the quarter, hitting analysts’ consensus estimates 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 for the quarter, compared to the consensus estimate of $423.65 million.

Several other brokerages have also recently weighed in on NET. Stifel Nicolaus raised shares of Cloudflare from a “hold” rating to a “buy” rating and upped their price objective for the stock from $95.00 to $136.00 in a research note on Tuesday, December 17th. BNP Paribas assumed coverage on Cloudflare in a report on Tuesday, October 8th. They set an “underperform” rating and a $65.00 price target for the company. UBS Group lifted their price objective on Cloudflare from $88.00 to $95.00 and gave the company a “neutral” rating in a research report on Friday, November 8th. Morgan Stanley upgraded Cloudflare from an “equal weight” rating to an “overweight” rating and increased their target price for the stock from $92.00 to $130.00 in a report on Monday, December 2nd. Finally, Royal Bank of Canada lifted their price target on Cloudflare from $99.00 to $123.00 and gave the company an “outperform” rating in a report on Friday, January 3rd. Three equities research analysts have rated the stock with a sell rating, twelve have assigned a hold rating and thirteen have given a buy rating to the company. Based on data from MarketBeat.com, Cloudflare has a consensus rating of “Hold” and a consensus price target of $102.30.

Cloudflare Stock Performance

Shares of NYSE:NET opened at $112.91 on Monday. The stock has a market capitalization of $38.75 billion, a price-to-earnings ratio of -434.27 and a beta of 1.10. The business’s fifty day moving average price is $105.41 and its two-hundred day moving average price is $90.40. Cloudflare has a fifty-two week low of $66.24 and a fifty-two week high of $119.42. The company has a debt-to-equity ratio of 1.32, a current ratio of 3.37 and a quick ratio of 3.37.

Insider Activity

In other Cloudflare news, CEO Matthew Prince sold 52,384 shares of Cloudflare stock in a transaction that occurred on Tuesday, October 15th. The shares were sold at an average price of $93.95, for a total value of $4,921,476.80. Following the transaction, the chief executive officer now owns 10,761 shares of the company’s stock, valued at approximately $1,010,995.95. The trade was a 82.96 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, insider Douglas James Kramer sold 3,000 shares of the stock in a transaction on Friday, November 1st. The stock was sold at an average price of $88.60, for a total transaction of $265,800.00. Following the sale, the insider now directly owns 185,386 shares of the company’s stock, valued at $16,425,199.60. This represents a 1.59 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 644,620 shares of company stock valued at $66,433,687 in the last quarter. Company insiders own 12.83% of the company’s stock.

Institutional Trading of Cloudflare

A number of institutional investors have recently modified their holdings of NET. Allspring Global Investments Holdings LLC raised its position in Cloudflare by 13.7% in the 3rd quarter. Allspring Global Investments Holdings LLC now owns 987 shares of the company’s stock valued at $80,000 after buying an additional 119 shares during the last quarter. Quarry LP raised its holdings in shares of Cloudflare by 38.6% in the third 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 raised its holdings in shares of Cloudflare by 0.5% in the second quarter. Elo Mutual Pension Insurance Co now owns 27,196 shares of the company’s stock valued at $2,253,000 after purchasing an additional 136 shares during the last quarter. OneDigital Investment Advisors LLC boosted its holdings in Cloudflare by 3.5% during 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, Versant Capital Management Inc grew its position in Cloudflare by 44.9% in the fourth quarter. Versant Capital Management Inc now owns 549 shares of the company’s stock valued at $59,000 after purchasing an additional 170 shares in the last quarter. 82.68% of the stock is currently owned by 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.