Cloudflare Inc. (NET) Stock Analysis

By Susan Ramirez • Thursday, June 05 15:14 • Permanent Link

With gains of 4.4%, Cloudflare was one of the winners on Wall Street today. Its shares are now trading at $178.43 and have logged a -0.0% daily outperformance of the S&P 500. Don't join the feeding frenzy before checking some basic facts about this stock:

Cloudflare has moved 139.9% over the last year, and the S&P 500 logged a change of 11.5%
NET has an average analyst rating of buy and is 22.32% away from its mean target price of $145.87 per share
Its trailing earnings per share (EPS) is $-0.24
Cloudflare has a trailing 12 month Price to Earnings (P/E) ratio of -743.5 while the S&P 500 average is 29.3
Its forward earnings per share (EPS) is $0.86 and its forward P/E ratio is 207.5
The company has a Price to Book (P/B) ratio of 43.36 in contrast to the S&P 500's average ratio of 4.74
Cloudflare is part of the Technology sector, which has an average P/E ratio of 30.44 and an average P/B of 4.19
The company has a free cash flow of $56.59 Million, which refers to the total sum of all its inflows and outflows of cash over the last quarter
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-premises, software-as-a-service applications, and Internet of things (IoT) devices; and website and application security products comprising web application firewall, bot management, distributed denial of service protection, API security, SSL/TLS encryption, script management, security center, and rate limiting products. It also offers website and application performance solutions, such as content delivery, load balancing, DNS, agro smart routing, video stream delivery, web optimization, cache reserve, cloudfare waiting room, and cloudfare data localization suite; SASE platform combines network services and Zero Trust security products that provides a cloud-based network-as-a-service; network services, including magic WAN, magic transit, magic firewall, cloudflare network interconnect, and spectrum. In addition, the company provides zero trust security services, including cloudflare access and gateway, remote browser isolation, cloud access security broker, cloud email security, and data loss prevention products. Further, it provides developer-based solutions comprising workers AI, vectorize, AI gateway, cloudflare workers, cloudflare pages, R2 object storage, workers KV, durable objects, D1, hyperdrive, cloudfare stream, cloudfare images, and cloudflare calls; and consumer offerings, such as 1.1.1.1, a DNS resolver, WARP, a virtual private network, and cloudfare registrar that secures registration and management of domain names. The company serves customers in the technology, healthcare, financial services, consumer and retail, industrial, and non-profit industries, as well as government. Cloudflare, Inc. was incorporated in 2009 and is headquartered in San Francisco, California.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.