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Cloudflare (NET) Ascends While Market Falls: Some Facts to Note
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Cloudflare (NET - Free Report) closed the most recent trading day at $76.83, moving +0.58% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.34%. Meanwhile, the Dow gained 0.03%, and the Nasdaq, a tech-heavy index, lost 0.56%.
The web security and content delivery company's stock has dropped by 0.35% in the past month, falling short of the Computer and Technology sector's gain of 1.27% and the S&P 500's gain of 2.56%.
The investment community will be paying close attention to the earnings performance of Cloudflare in its upcoming release. It is anticipated that the company will report an EPS of $0.12, marking a 100% rise compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $352.69 million, indicating a 28.39% upward movement from the same quarter last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Cloudflare. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Cloudflare is currently a Zacks Rank #2 (Buy).
From a valuation perspective, Cloudflare is currently exchanging hands at a Forward P/E ratio of 148.46. This expresses a premium compared to the average Forward P/E of 32.74 of its industry.
We can additionally observe that NET currently boasts a PEG ratio of 2.78. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Internet - Software industry was having an average PEG ratio of 1.6.
The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 33, finds itself in the top 14% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow NET in the coming trading sessions, be sure to utilize Zacks.com.
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Cloudflare (NET) Ascends While Market Falls: Some Facts to Note
Cloudflare (NET - Free Report) closed the most recent trading day at $76.83, moving +0.58% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.34%. Meanwhile, the Dow gained 0.03%, and the Nasdaq, a tech-heavy index, lost 0.56%.
The web security and content delivery company's stock has dropped by 0.35% in the past month, falling short of the Computer and Technology sector's gain of 1.27% and the S&P 500's gain of 2.56%.
The investment community will be paying close attention to the earnings performance of Cloudflare in its upcoming release. It is anticipated that the company will report an EPS of $0.12, marking a 100% rise compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $352.69 million, indicating a 28.39% upward movement from the same quarter last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Cloudflare. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Cloudflare is currently a Zacks Rank #2 (Buy).
From a valuation perspective, Cloudflare is currently exchanging hands at a Forward P/E ratio of 148.46. This expresses a premium compared to the average Forward P/E of 32.74 of its industry.
We can additionally observe that NET currently boasts a PEG ratio of 2.78. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Internet - Software industry was having an average PEG ratio of 1.6.
The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 33, finds itself in the top 14% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow NET in the coming trading sessions, be sure to utilize Zacks.com.