Search

StockPicking.com Reiterates its Alert on Cloudflare

StockPicking.com traders suggest previously alerted stock Cloudflare (NET) on pullback


Cloudflare, Inc. (NET) - Email Alert - 11/12/20 - 9:30 AM EST


We are placing another alert on Cloudflare, Inc. (NET). We alerted the stock on October 8th at $43.38 a share and it has performed very well... taking out our Short-Term Target handily and rising to $71.77 a share. Currently the stock is trading at 63.61 a share after a pullback. Overall we look for Cloudflare to continue trending higher. On their 3rd Quarter earnings reported on November 5th, the Company reported very strong numbers with revenue jumping 54.4% year/year... the beat on all expectations as well. We would use any substantial pullbacks as opportunities.


Cloudflare has developed a global cloud platform to deliver a wide range of network services. The Company states it has approximately 16% of the Fortune 1,000 as its customers. They provide cybersecurity, streamlined content delivery, optimization of mobile apps, analytics and more. Its platform protects and accelerates any internet application online without adding hardware, installing software, or changing a line of code. Cloudflare is generating strong revenue growth. Sales increases have ranged from 44% to 51% over the last seven quarters. On the Company's last earnings report for the 2nd Quarter, they reported beating on the top and bottom lines.


SHORT-TERM PRICE TARGET

$69 (Raised from $49 hit)


CATALYST

Strong growth, earnings beat, bullish sector


OUR SHORT-TERM TARGET PROBABILITY RATING 1-10

9


RESEARCH NOTES

11/05/20 - Cloudflare Inc Cl A (NET) reported a 3rd Quarter September 2020 loss of $0.02 per share on revenue of $114.2 million. The consensus estimate was a loss of $0.05 per share on revenue of $103.1 million. The Earnings Whisper number was for a loss of $0.03 per share. Revenue grew 54.4% on a year-over-year basis.


SUPPORT/RESISTANCE

The stock has a 52 week high of $71.77 and a low of $15.05. Support is around $50 a share and should be a good location for a protective sell stop order or self-imposed sell alert.


COMPANY INFO

CloudFlare, Inc. operates a cloud platform that delivers a range of network services to businesses worldwide. The company provides an integrated cloud-based security solution to secure a range of combination of platforms, including public cloud, private cloud, on-premise, software-as-a-service applications, and Internet of Things (IoT) devices. Its security products comprise Cloud Firewall, Bot Management, Distributed Denial of Service, Infrastructure Protection, IoT, SSL/TLS, Secure Origin Connection, and Rate Limiting. The company also offers performance solutions, which include Content Delivery, Intelligent Routing, and Mobile Software Development Kit, as well as Content, Mobile, and Image Optimization. In addition, it provides Reliability solutions comprising Load Balancing, Anycast Network, Virtual Backbone, DNS, DNS Resolver, and Always Online. Further, the company provides solution to protect an organization's internal resources, such as devices, users, applications, and data comprising Zero Trust Security and Access Management, which secures, authenticates, and monitors user access to internal applications and infrastructure hosted on-premise or in cloud environments; and Secure Web Gateway to secure and filter outbound Internet traffic to protect employees from threats on the public Internet and to help protect Internet-browsing employees from bringing malware or vulnerable code into an organization. Additionally, it offers Consumer DNS Resolver, a consumer application to browse the Internet; and Consumer virtual private network (VPN), a VPN for consumers designed to secure and accelerate traffic on mobile devices. The company serves customers in technology, healthcare, financial services, consumer and retail, and non-profit industries, as well as government. It has a strategic agreement with Baidu, Inc. and JD Cloud. The company was founded in 2009 and is headquartered in San Francisco, California.


FINANCIALS

https://finance.yahoo.com/quote/NET/financials?p=NET


QUICK LINKS

http://www.cloudflare.com