Cloudflare Inc. [NYSE: NET] stock went on an upward path that rose over 3.51% on Tuesday, amounting to a one-week price decrease of less than -11.10%. The company report on May 7, 2021 that Cloudflare Announces First Quarter 2021 Financial Results.
First quarter revenue totaled $138.1 million, representing an increase of 51% year-over-year.
Record dollar-based net retention of 123%, representing an increase of 600 basis points year-over-year.
Over the last 12 months, NET stock rose by 153.52%. The one-year Cloudflare Inc. stock forecast points to a potential upside of 27.37. The average equity rating for NET stock is currently 1.90, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $21.35 billion, with 303.21 million shares outstanding and 96.61 million shares in the current float. Compared to the average trading volume of 4.83M shares, NET stock reached a trading volume of 5715510 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on Cloudflare Inc. [NET]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for NET shares is $98.15 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on NET stock is a recommendation set at 1.90. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Mizuho have made an estimate for Cloudflare Inc. shares, keeping their opinion on the stock as Neutral, with their previous recommendation back on April 13, 2021. While these analysts kept the previous recommendation, Truist dropped their target price from $75 to $110. The new note on the price target was released on March 24, 2021, representing the official price target for Cloudflare Inc. stock. Previously, the target price had yet another raise to $83, while JP Morgan analysts kept a Neutral rating on NET stock.
The Average True Range (ATR) for Cloudflare Inc. is set at 5.05, with the Price to Sales ratio for NET stock in the period of the last 12 months amounting to 49.53. The Price to Book ratio for the last quarter was 26.50, with the Price to Cash per share for the same quarter was set at 3.46.
NET Stock Performance Analysis:
Cloudflare Inc. [NET] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -11.10. With this latest performance, NET shares gained by 2.24% in over the last four-week period, additionally plugging by 10.58% over the last 6 months – not to mention a rise of 153.52% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for NET stock in for the last two-week period is set at 43.10, with the RSI for the last a single of trading hit 39.14, and the three-weeks RSI is set at 45.37 for Cloudflare Inc. [NET]. The present Moving Average for the last 50 days of trading for this stock 73.65, while it was recorded at 71.97 for the last single week of trading, and 64.22 for the last 200 days.
Insight into Cloudflare Inc. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and Cloudflare Inc. [NET] shares currently have an operating margin of -25.63 and a Gross Margin at +76.56. Cloudflare Inc.’s Net Margin is presently recorded at -27.69.
Return on Total Capital for NET is now -11.15, given the latest momentum, and Return on Invested Capital for the company is -12.16. Return on Equity for this stock declined to -15.47, with Return on Assets sitting at -10.80. When it comes to the capital structure of this company, Cloudflare Inc. [NET] has a Total Debt to Total Equity ratio set at 52.43. Additionally, NET Total Debt to Total Capital is recorded at 34.40, with Total Debt to Total Assets ending up at 31.02. Long-Term Debt to Equity for the company is recorded at 50.26, with the Long-Term Debt to Total Capital now at 32.97.
Reflecting on the efficiency of the workforce at the company, Cloudflare Inc. [NET] managed to generate an average of -$66,762 per employee. Receivables Turnover for the company is 8.37 with a Total Asset Turnover recorded at a value of 0.39.Cloudflare Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 8.00 and a Current Ratio set at 8.00.
NET Stock EPS
With the latest financial reports released by the company, Cloudflare Inc. posted -0.03/share EPS, while the average EPS was predicted by analysts to be reported at -0.06/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 50.00%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for NET.
Cloudflare Inc. [NET] Insider Position Details
There are presently around $13,864 million, or 75.70% of NET stock, in the hands of institutional investors. The top three institutional holders of NET stocks are: FMR LLC with ownership of 30,292,744, which is approximately 4.858% of the company’s market cap and around 0.10% of the total institutional ownership; BAILLIE GIFFORD & CO, holding 29,995,218 shares of the stock with an approximate value of $2.14 billion in NET stocks shares; and VANGUARD GROUP INC, currently with $1.23 billion in NET stock with ownership of nearly 30.596% of the company’s market capitalization.
Positions in Cloudflare Inc. stocks held by institutional investors increased at the end of May and at the time of the May reporting period, where 354 institutional holders increased their position in Cloudflare Inc. [NYSE:NET] by around 42,064,839 shares. Additionally, 167 investors decreased positions by around 26,974,552 shares, while 43 investors held positions by with 125,434,034 shares. The mentioned changes placed institutional holdings at 194,473,425 shares, according to the latest SEC report filing. NET stock had 183 new institutional investments in for a total of 12,828,699 shares, while 49 institutional investors sold positions of 3,718,975 shares during the same period.