Cloudflare's AI Application Expansion Boosts Stock Price
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2d ago
0mins
Source: stocktwits
- Stock Surge: Cloudflare's stock rose over 13% on Tuesday morning, reflecting investor enthusiasm for the growing demand for AI workloads, indicating strong market confidence in the company's future performance.
- Analyst Rating: RBC Capital reiterated an 'Outperform' rating on Cloudflare with a price target of $265, suggesting analysts are optimistic about the company's potential in the AI sector.
- Infrastructure Advantage: TD Cowen noted that Cloudflare's infrastructure, including the Cloudflare Tunnel, allows developers to safely connect locally run AI tools to the internet, enhancing the company's capabilities in supporting and securing AI agents.
- Future Growth Potential: Analyst Matthew Hedberg emphasized that while current AI initiatives may not immediately drive Cloudflare's performance, the broader expansion of AI applications will further strengthen the company's market position, particularly in AI inference and the flexibility of its Workers platform.
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Analyst Views on NET
Wall Street analysts forecast NET stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for NET is 253.24 USD with a low forecast of 131.00 USD and a high forecast of 318.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
25 Analyst Rating
15 Buy
10 Hold
0 Sell
Moderate Buy
Current: 184.880
Low
131.00
Averages
253.24
High
318.00
Current: 184.880
Low
131.00
Averages
253.24
High
318.00
About NET
Cloudflare, Inc. is a connectivity cloud company. Its full suite of products consists of its website and application services to deliver security, performance, and reliability for an organization's websites, applications, and application programming interfaces (APIs); its secure access service edge (SASE) platform, which contains its suite of Zero Trust and network services solutions to help ensure traffic in and out of an organization’s internal network and devices is verified and authorized as well as to securely connect data centers, cloud services, and branch offices to an organization with its Connectivity Cloud; its developer-based solutions to build and deploy serverless applications with scale, performance, security and reliability, and its consumer offerings. Its website and application security product offerings include Web Application Firewall, Bot Management, Distributed Denial of Service Protection, API Security, SSL/TLS Encryption, Script Management, and Security Center.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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