Cloudflare, Inc. (NYSE:NET), a $36 billion market cap company, saw its Chief Legal Officer Douglas James Kramer recently sell 3,000 shares of the company's Class A Common Stock. The shares were sold at an average price of $105.57, resulting in a total transaction value of $316,710. The sale comes amid Cloudflare's impressive 56% stock price surge over the past six months. According to InvestingPro analysis, the company currently appears overvalued relative to its Fair Value. This transaction was executed as part of a pre-arranged Rule 10b5-1 trading plan that Kramer adopted on November 29, 2023. Following this sale, Kramer holds 175,688 shares of Cloudflare.
In addition to the sale, Kramer exercised options for 3,000 shares of Class B Common Stock, which are convertible into Class A Common Stock on a one-to-one basis. These shares are fully vested and immediately exercisable, with no expiration date on the conversion. After these transactions, Kramer holds 56,675 shares of Class B Common Stock.
In other recent news, Cloudflare Inc (NYSE:NET). has been making significant strides in its financial performance and growth trajectory. The company reported a robust 28% year-over-year increase in its third-quarter earnings, with revenue reaching $430.1 million. Its customer base also saw a substantial rise, now standing at 3,265, marking a 28% increase from the previous year.
In addition, Morgan Stanley (NYSE:MS) upgraded Cloudflare's stock rating, predicting strong performance and a potential acceleration in revenue growth over the next year. The firm adjusted its rating from equal-weight to overweight and increased the price target to $130.00, up from the previous $92.00. This upgrade aligns with broader analyst sentiment, as 21 analysts have recently revised their earnings expectations upward.
Cloudflare anticipates continued growth in sales capacity and productivity, with revenue projections for Q4 2023 indicating a 25% year-over-year increase. The company also expects full-year 2024 revenue to be between $1.661 billion and $1.662 billion. These recent developments highlight Cloudflare's impressive financial performance and promising growth prospects.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.