Yahoo Finance Cloudflare (NET) Reports Q2: Everything You Need To Know Ahead Of Earnings
Internet security and content delivery network Cloudflare (NYSE:NET) will be reporting earnings tomorrow afternoon. Here's what you need to know.
Cloudflare beat analysts' revenue expectations by 1.4% last quarter, reporting revenues of $378.6 million, up 30.5% year on year. It was a weaker quarter for the company, with a miss of analysts' billings estimates.
Is Cloudflare a buy or sell going into earnings? Read our full analysis here, it's free.
This quarter, analysts are expecting Cloudflare's revenue to grow 27.9% year on year to $394.5 million, slowing from the 31.5% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.14 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Cloudflare has only missed Wall Street's revenue estimates once over the last two years, exceeding top-line expectations by 1.4% on average.
Looking at Cloudflare's peers in the software development segment, only F5 has reported results so far. It beat analysts' revenue estimates by 1.4%, posting year-on-year sales declines of 1%. The stock traded up 13% on the results.
Read our full analysis of F5's earnings results here.
There has been positive sentiment among investors in the software development segment, with share prices up 2.2% on average over the last month. Cloudflare is down 11.1% during the same time and is heading into earnings with an average analyst price target of $89.2 (compared to the current share price of $75.62).
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