Cloudflare Analysts Boost Their Forecasts After Upbeat Q2 Earnings

Cloudflare, Inc. NET reported better-than-expected second-quarter financial results and raised its FY25 guidance on Thursday.

Cloudflare posted adjusted earnings of 21 cents per share, beating market estimates of 18 cents per share. The company's quarterly sales came in at $512.316 million versus expectations of $501.330 million.

"We're innovating faster than ever, and demand remains strong, as our largest customers grow their investments with Cloudflare at the highest levels we've seen since 2022," said Matthew Prince, co-founder and CEO of Cloudflare.

Cloudflare expects third-quarter revenue of $543.5 million to $544.5 million versus estimates of $538.29 million. The company anticipates third-quarter adjusted earnings of 23 cents per share versus estimates of 21 cents per share.

Cloudflare also raised its full-year guidance. The company increased its 2025 revenue outlook from a range of $2.09 billion to $2.094 billion to a new range of $2.113 billion to $2.115 billion versus estimates of $2.096 billion. Cloudflare raised its full-year earnings forecast from a range of 79 to 80 cents per share to a new range of 85 to 86 cents per share versus estimates of 80 cents per share.

Cloudflare shares fell 1.8% to trade at $203.95 on Friday.

Trending Investment Opportunities

These analysts made changes to their price targets on Cloudflare following earnings announcement.

Needham analyst Mike Cikos maintained Cloudflare with a Buy and raised the price target from $200 to $240.
B of A Securities analyst Madeline Brooks maintained the stock with a Buy and raised the price target from $235 to $240.
Morgan Stanley analyst Keith Weiss maintained Cloudflare with an Overweight rating and raised the price target from $225 to $235.
Piper Sandler analyst James Fish maintained the stock with a Neutral and raised the price target from $151 to $224.
Keybanc analyst Jackson Ader maintained Cloudflare with an Overweight rating and raised the price target from $210 to $235.
JMP Securities analyst Trevor Walsh maintained Cloudflare with a Market Outperform and raised the price target from $225 to $250.
Cantor Fitzgerald analyst Thomas Blakey maintained Cloudflare with a Neutral and raised the price target from $162 to $199.
Guggenheim analyst John Difucci maintained the stock with a Sell and raised the price target from $70 to $111.
Wells Fargo analyst Andrew Nowinski maintained Cloudflare with an Overweight rating and raised the price target from $225 to $250.
Stifel analyst Adam Borg maintained Cloudflare with a Buy and raised the price target from $175 to $230.
RBC Capital analyst Matthew Hedberg maintained Cloudflare with an Outperform rating and raised the price target from $210 to $228.
Mizuho analyst Gregg Moskowitz maintained the stock with an Outperform rating and raised the price target from $220 to $240.