Cloudflare is rated as a Strong Sell with its current stock price at $280.70, while its working fair value is estimated at $90 per share, indicating significant downside risk. Despite strong revenue growth of 35.9% year-over-year to $696.1 million in Q2 and promising platforms in internet infrastructure and AI, the company's GAAP margins and free cash flow are not yet sufficient to justify its high valuation. The current stock price assumes successful margin expansion and AI monetization that are not yet proven. The analyst recommends reducing or closing positions and would only consider buying again at much lower prices or if Cloudflare achieves sustained GAAP profitability.
Cloudflare's stock on Pluang is trading at USD 287.20 as of Nov 02, 2026 11:11 WIB, down 9.90% in one day, which is closer to its 52-week low of USD 160.16 than its high of USD 361.00. This price level contrasts sharply with the analyst's fair value estimate of USD 90, highlighting the significant valuation concerns despite recent strong revenue growth. The typical hold time for NET on Pluang is 62 days, indicating moderate investor engagement with this technology stock.
