Yahoo Finance Cloudflare (NET) Suffers a Larger Drop Than the General Market: Key Insights
In the latest market close, Cloudflare (NET) reached $86.71, with a -1.47% movement compared to the previous day. The stock trailed the S&P 500, which registered a daily loss of 0.22%. Meanwhile, the Dow gained 0.06%, and the Nasdaq, a tech-heavy index, lost 0.52%.
Shares of the web security and content delivery company have depreciated by 10.19% over the course of the past month, underperforming the Computer and Technology sector's loss of 1.64% and the S&P 500's loss of 1.66%.
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 May 2, 2024. The company is forecasted to report an EPS of $0.13, showcasing a 62.5% upward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $372.93 million, indicating a 28.52% upward movement from the same quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $0.58 per share and a revenue of $1.65 billion, representing changes of +18.37% and +27.2%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Cloudflare. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Cloudflare currently has a Zacks Rank of #2 (Buy).
Digging into valuation, Cloudflare currently has a Forward P/E ratio of 150.94. This signifies a premium in comparison to the average Forward P/E of 27.98 for its industry.
The Internet - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 47, this industry ranks in the top 19% of all industries, numbering over 250.
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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Cloudflare, Inc. (NET) : Free Stock Analysis Report
