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Cloudflare (NET) Increases Yet Falls Behind Market: What Investors Need to Know
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The most recent trading session ended with Cloudflare (NET - Free Report) standing at $78.06, reflecting a +0.03% shift from the previouse trading day's closing. This change lagged the S&P 500's 1.11% gain on the day. At the same time, the Dow added 1.64%, and the tech-heavy Nasdaq gained 1.03%.
Shares of the web security and content delivery company have depreciated by 4.58% over the course of the past month, outperforming the Computer and Technology sector's loss of 5.32% and lagging the S&P 500's loss of 1.16%.
The investment community will be paying close attention to the earnings performance of Cloudflare in its upcoming release. The company is slated to reveal its earnings on August 1, 2024. The company's earnings per share (EPS) are projected to be $0.14, reflecting a 40% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $394.05 million, indicating a 27.74% upward movement from the same quarter last year.
NET's full-year Zacks Consensus Estimates are calling for earnings of $0.62 per share and revenue of $1.65 billion. These results would represent year-over-year changes of +26.53% and +27.28%, respectively.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Cloudflare. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Cloudflare presently features a Zacks Rank of #3 (Hold).
In terms of valuation, Cloudflare is currently trading at a Forward P/E ratio of 126.07. This indicates a premium in contrast to its industry's Forward P/E of 31.06.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 96, putting it in the top 39% 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Cloudflare (NET) Increases Yet Falls Behind Market: What Investors Need to Know
The most recent trading session ended with Cloudflare (NET - Free Report) standing at $78.06, reflecting a +0.03% shift from the previouse trading day's closing. This change lagged the S&P 500's 1.11% gain on the day. At the same time, the Dow added 1.64%, and the tech-heavy Nasdaq gained 1.03%.
Shares of the web security and content delivery company have depreciated by 4.58% over the course of the past month, outperforming the Computer and Technology sector's loss of 5.32% and lagging the S&P 500's loss of 1.16%.
The investment community will be paying close attention to the earnings performance of Cloudflare in its upcoming release. The company is slated to reveal its earnings on August 1, 2024. The company's earnings per share (EPS) are projected to be $0.14, reflecting a 40% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $394.05 million, indicating a 27.74% upward movement from the same quarter last year.
NET's full-year Zacks Consensus Estimates are calling for earnings of $0.62 per share and revenue of $1.65 billion. These results would represent year-over-year changes of +26.53% and +27.28%, respectively.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Cloudflare. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Cloudflare presently features a Zacks Rank of #3 (Hold).
In terms of valuation, Cloudflare is currently trading at a Forward P/E ratio of 126.07. This indicates a premium in contrast to its industry's Forward P/E of 31.06.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 96, putting it in the top 39% 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.