Stock Analysis
Cloudflare, Inc. Class A common stock, par value $0.001 per shareNET
Sector: Technology · Industry: Services-Prepackaged Software
AnalystsStrong Buy40 analystsPrice is 68% of the way from the year's low to its high.
PMP Verdict
Weak fundamentals, expensive
Risks
- Valuation25
- Profitability0
Weak fundamentals at a demanding price.
Market context
-6.3% today· Z 2.2σ
Bull Case
- ✓Altman Z 13.8 — safe-zone balance sheet
- ✓Revenue CAGR 34.8% — durable top-line growth
What's happening with NET
Profile
profitability, valuation, growth, moat, earnings quality and financial health lag behind.
How is each axis scored?
- Valuation25/100 · Weak
- P/E vs own history (n/a)10/25
- FCF yield (0.3%)5/25
- P/S (41.7x)0/25
- EV/EBIT (n/a)10/25
- Growth25/100 · Weak
- Revenue CAGR (34.8%)25/25
- Net income CAGR (n/a)0/25
- EPS CAGR 5Y (n/a)0/25
- Fwd implied growth (n/a)0/25
- Profitability0/100 · Weak
- ROIC (n/a)0/25
- ROE (-14.1%)0/25
- Net margin (-8.2%)0/25
- Operating margin (-14.1%)0/25
- Financial Health43/100 · Weak
- Altman Z (13.85)25/25
- Current ratio (1.98)18/25
- Interest coverage (-49.6x)0/25
- Net cash / debt (n/a)0/25
- Quality37/100 · Weak
- Piotroski F (3/9)5/25
- Beneish M (-2.31)20/25
- FCF conversion (n/a)0/25
- Margin stability (σ 8.7%)12/25
- Moat30/100 · Weak
- ROIC >12% years (n/a)0/25
- Median gross margin (76.6%)25/25
- FCF-positive years (3/7 yrs)5/25
- Worst-year net margin (worst -39.7%)0/25
Risk Flags
- ⚠SBC 20.2% of revenue — real dilution cost
- ⚠7 loss-making years in recent history
- ⚠Interest coverage -49.6× — thin debt cushion
About Cloudflare, Inc. Class A common stock, par value $0.001 per share
Cloudflare is a software company based in San Francisco, California, that offers security and web performance offerings by utilizing a distributed, serverless content delivery network, or CDN. Show more
The firm's edge computing platform, Workers, builds on this infrastructure by enabling clients to deploy and run code without the need to manage or maintain servers.
Headquarters: SAN FRANCISCO, CA · Employees: 5,483 · Website ↗
Price History
Weekly Candlestick Chart — up to 5Y
Key Metrics
Financial snapshot · Tap any metric for its definition and grade
TTM Snapshot
trailing twelve months · YoYValuation
25EP/E (TTM)—
Price / TTM EPS (own statements)
P/FCF355.8xD
Grade D: ExpensivePrice / Free Cash Flow per share (Finnhub). Inverse of FCF yield — negative when FCF is negative
FCF Yield0.3%C
Grade C: LowTTM (OCF − CapEx) / Market Cap — vs own 5Y history: -0.7%–0.7% · 46th pct
P/S (TTM)41.67xD
Grade D: ExpensivePrice / TTM Revenue (own statements) — vs own 5Y history: 12.7x–114.2x · 84th pct
EV/EBITDA—
Enterprise value / EBITDA (Finnhub) — capital-structure neutral
EV/Sales45.2xD
Grade D: Very expensiveEnterprise Value / TTM Revenue (Finnhub) — capital-structure neutral sales multiple
Forward P/E234.8xD
Grade D: ExpensivePrice / next-year EPS estimate — shows whether the TTM multiple is rich or just front-loading growth
P/B Ratio71.74xD
Grade D: Very expensivePrice to Book Value. Neg. equity = heavy buybacks
PEG Ratio-7.52A
Grade A: CheapFinnhub PEG — their P/E basis ÷ expected EPS growth. Suppressed when their P/E diverges >2× from our TTM P/E (different basis)
Dividend Yield—
TTM dividend yield (Finnhub) — annual dividends / price. None = no dividend; very high yield can signal distress
Payout Ratio—
Dividends / Net Income (Finnhub) — share of earnings paid out; >90% or negative = unsustainable
Profitability
0EROIC—
NOPAT (EBIT less ~21% tax) / invested capital (equity + debt − cash). Flagship quality metric — durable >15% signals a moat
ROE-14.1%D
Grade D: WeakReturn on Equity. Neg. equity = heavy buybacks
ROA-3.4%D
Grade D: WeakReturn on Assets (Finnhub) — Net Income / Total Assets; how efficiently assets produce profit
Net Margin-8.2%D
Grade D: LowNet Income / Revenue
Operating Margin-14.1%D
Grade D: LowTTM EBIT / TTM Revenue
Gross Margin72.6%A
Grade A: PremiumGross Profit / Revenue
FCF Margin13.9%C
Grade C: AverageFCF / Revenue
True FCF Margin-6.3%D
Grade D: LowTTM (OCF − CapEx − SBC) / TTM Revenue — SBC treated as a real cost
Growth
25ERevenue CAGR34.8%A
Grade A: HighCompound annual revenue growth (up to 5Y depending on data availability)
Net Income CAGR—
Compound annual net income growth (up to 5Y depending on data availability)
EPS CAGR (5Y)—
Compound annual EPS growth over up to 5Y of per-share earnings (own statements). Null when either endpoint EPS ≤ 0
Implied EPS Growth—
Analyst forward EPS (normalized basis) vs our GAAP TTM EPS — different bases, so extreme values usually mark cyclically depressed TTM earnings, not real growth
Dilution (5Y)+15.9%D
Grade D: DilutiveShare count change over 5Y
SBC / Net Income—
Stock-based comp/Net income. >30% = dilution risk
SBC / Revenue20.2%D
Grade D: HighTTM stock-based comp / TTM Revenue
Financial Health
43D+Altman Z-Score13.85A
Grade A: SafeBankruptcy risk. >3 Safe, <1.8 Distress
Current Ratio1.98xC
Grade C: OkCurrent Assets/Liabilities
Quick Ratio1.76xA
Grade A: High(Current Assets − Inventory) / Current Liabilities (Finnhub) — stricter liquidity test, excludes inventory
Interest Coverage-49.6xD
Grade D: RiskyEBIT/Interest. >10 Strong
Debt Repayment—
Years to repay net debt via FCF
Net Debt/EBIT—
Leverage. <2x Low, >4x High
Debt/Equity2.02xD
Grade D: HighDebt / Equity: <1 Conservative, >2 Risky. Not meaningful with non-positive equity; shown as unavailable rather than low debt.
Cash / Debt—
Cash covers how much of total debt. >1 = could repay all debt from cash
Quality
37DPiotroski F-Score3/9D
Grade D: WeakFinancial strength 0–9. >7 Strong
Beneish M-Score-2.31A
Grade A: SafeEarnings manipulation risk. < -2.22 Safe
FCF Conversion—
FCF / Net Income
Margin Stability8.7%C
Grade C: AverageEBIT margin std deviation. Lower = stable
Capex / Revenue11.3%C
Grade C: AverageTTM CapEx / TTM Revenue — high % = capital-hungry business
Asset Turnover0.41xD
Grade D: LowRevenue / Total Assets (Finnhub) — how efficiently the asset base generates sales
Insider Transactions
SEC Form 4 · 8 recordsP/S codes are the directional signal; grants, option exercises and tax withholding carry none. Form 4 doesn't flag 10b5-1 plans — scheduled sales may appear within open-market sells.
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Zatlyn Michelle Filed | Zatlyn Michelle | SellC | -33003 | |
Zatlyn Michelle Filed | Zatlyn Michelle | Option exercise | +33.0K | |
Zatlyn Michelle Filed | Zatlyn Michelle | Option exercise | -33003 | |
Zatlyn Michelle Filed | Zatlyn Michelle | SellOpen market sale | -297 | |
Zatlyn Michelle Filed | Zatlyn Michelle | SellOpen market sale | -2162 |
Show 3 more filingsShow fewer filings
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Zatlyn Michelle Filed | Zatlyn Michelle | SellOpen market sale | -4240 | |
Zatlyn Michelle Filed | Zatlyn Michelle | SellOpen market sale | -3900 | |
Zatlyn Michelle Filed | Zatlyn Michelle | SellOpen market sale | -7688 |
Option exercise (M) rows report a derivative leg, not an open-market sale — a paired negative entry is the option position being consumed.
More metrics — Moat, Per Share, Balance Sheet, MarketHide additional metrics
Moat
30DROIC >12% Years—
Share of completed fiscal years with ROIC > 12% — measures multi-year capital-return durability
Gross Margin (Med.)76.6%A
Grade A: DurableMedian annual gross margin across available fiscal years — pricing-power durability
FCF-Positive Years3/7 yrsD
Grade D: WeakShare of completed fiscal years with positive free cash flow
Net Margin Floor-39.7%D
Grade D: WeakWeakest annual net margin across completed fiscal years — recession/downcycle resilience
Per Share
EPS (TTM)—
TTM net income per share (Finnhub fallback)
Cash / Share$11.70
Cash & short-term investments per share (Finnhub)
Book Value / Share$4.55
Shareholders' equity per share (Finnhub). Negative = accumulated losses / heavy buybacks
Balance Sheet
Total Debt—
Total debt obligations (short + long term)
Cash & Equiv.$4.10B
Cash and short-term investments
Net Debt—
Total Debt minus Cash. Negative = Net Cash position
Total Equity$1.46B
Shareholders' equity (book value)
Asset / Liability1.32xC
Grade C: AdequateTotal Assets / Total Liabilities
Market
Market Cap$104.68B
Current Market Capitalization
Beta1.35C
Grade C: VolatilePrice sensitivity vs the market (Finnhub) — 1.0 moves with market, >1.2 amplifies swings
How grades work: each metric is graded A–D against fixed thresholds (tap a row for the meaning). Card grades map the pillar score to A+–E — a card grade is that pillar's own score, not an average of the rows shown.
Financials as of Jun 2026 · Ratio snapshot Oct 17, 2026
Key Insights: Cloudflare, Inc. Class A common stock, par value $0.001 per share (NET)
NET is down 6.33% at the last close. Cloudflare, Inc. Class A common stock, par value $0.001 per share meets only 3 of 9 Piotroski F-Score criteria — a sign of weak underlying fundamentals. Altman Z-Score of 13.85 sits comfortably in the safe zone (≥ 2.99), indicating low bankruptcy risk. Beneish M-Score of -2.31 suggests a low likelihood of earnings manipulation.
- Revenue has compounded at roughly 35% annually — a strong growth profile.
- Interest coverage of -49.6× leaves little room for earnings shocks.
- Cloudflare, Inc. Class A common stock, par value $0.001 per share posted a net loss in 7 of 7 available completed fiscal years (2019–2025).
- At a valuation score of 25/100, NET trades at a premium to its historical multiples.
See how NET ranks on the Capex Tracker — top 50 capital spenders compared.
Recent Market Moves
See all NET moves →| Date | Session | Price | Move | Z-Score |
|---|---|---|---|---|
| Oct 16 | Regular | 294.44 | -6.92% | -2.16 |
| Oct 16 | After-hours | 293.99 | -7.06% | -2.21 |
| Oct 14 | Regular | 324.22 | -6.75% | -2.48 |
| Oct 14 | After-hours | 319.00 | -8.25% | -3.03 |
Frequently Asked Questions about NET
What is the current Cloudflare, Inc. Class A common stock, par value $0.001 per share (NET) stock price?
NET is trading at $296.30 at the last market close, down 6.33% on the session. PreMarketPrice tracks NET pre-market, intraday and after-hours prices.
Is NET stock a buy right now?
PreMarketPrice's quantitative model rates Cloudflare, Inc. Class A common stock, par value $0.001 per share's financial health at 43/100. This is a data-driven snapshot of fundamentals, not investment advice.
Is NET stock overvalued?
Cloudflare, Inc. Class A common stock, par value $0.001 per share trades at a trailing P/E of n/a and our valuation score rates it 25/100 (higher = cheaper vs. its own history). See the Valuation History and Key Metrics sections for forward P/E, EV/EBITDA and PEG context.
When does Cloudflare, Inc. Class A common stock, par value $0.001 per share report earnings?
No confirmed earnings date is currently scheduled for NET. The Earnings section lists recent reports and updates as dates are announced.
What sector does Cloudflare, Inc. Class A common stock, par value $0.001 per share operate in?
Cloudflare, Inc. Class A common stock, par value $0.001 per share operates in the Technology sector, within the Services-Prepackaged Software industry. The Related Stocks section lists sector peers for comparison.
What does Cloudflare, Inc. Class A common stock, par value $0.001 per share do?
Cloudflare is a software company based in San Francisco, California, that offers security and web performance offerings by utilizing a distributed, serverless content delivery network, or CDN.
About Cloudflare, Inc. Class A common stock, par value $0.001 per share (NET) Stock
Cloudflare, Inc. Class A common stock, par value $0.001 per share (NET) is a US-listed stock operating in the Technology sector, specifically the Services-Prepackaged Software industry. As of the latest update, Cloudflare, Inc. Class A common stock, par value $0.001 per share is trading at $296.30, down 6.33% on the day with a market capitalization of $104.7 billion. The financial health score for NET is 43/100, which indicates weak financial strength based on profitability, leverage, liquidity, and growth metrics. This page provides real-time pre-market pricing, earnings calendar, financial health analysis, and valuation metrics for NET stock.
NET Stock Analysis & Key Metrics
On PreMarketPrice, you can track Cloudflare, Inc. Class A common stock, par value $0.001 per share (NET) across multiple dimensions:
- Pre-market price & movement: Real-time NET stock price with percentage change, updated continuously during pre-market and regular trading hours.
- Valuation & P/E history: Historical P/E, P/S, and P/B ratios for NET with trend analysis and normalized valuation multiples.
- Financial statements: Revenue, net income, assets, liabilities, and equity for Cloudflare, Inc. Class A common stock, par value $0.001 per share across multiple reporting periods.
- Financial health score: A composite score of 43/100 based on Altman Z-Score, Piotroski F-Score, profitability, and leverage metrics for NET.
- Sector peers: Compare NET against 6 other technology stocks on key financial metrics.
Is NET a Good Stock to Buy?
This page provides data-driven analysis to help you evaluate Cloudflare, Inc. Class A common stock, par value $0.001 per share (NET) as an investment. The financial health score of 43/100 suggests weak financial fundamentals. Valuation metrics show whether the stock is trading above or below its historical average.However, this is not financial advice — always do your own research before investing.
Data on this page is sourced from real-time market feeds, Polygon.io, and Finnhub.Cloudflare, Inc. Class A common stock, par value $0.001 per share (NET) trades on NYSE/NASDAQ. Pre-market trading occurs 4:00 AM – 9:30 AM ET. Regular market hours are 9:30 AM – 4:00 PM ET.