Gold prices set for weekly drop as strong dollar weighs; Trump tariffs in focus
On Thursday, Truist Securities expressed continued confidence in Cloudflare Inc . (NYSE: NYSE:NET), maintaining a Buy rating and a price target of $175.00. Currently trading at $114.71 with a market capitalization of $39.65 billion, InvestingPro analysis indicates the stock is trading above its Fair Value. The firm’s commentary highlighted Cloudflare’s strategic initiatives aimed at accelerating growth among large customers and leveraging the increasing market opportunities, especially for developers.
Cloudflare’s go-to-market (GTM) strategy is designed to expand its customer base and establish itself as a key strategic partner. The company maintains impressive gross profit margins of 77.32% and achieved revenue growth of 28.76% in the last twelve months. Truist Securities noted the company’s effective GTM motion and the significant long-term potential Cloudflare holds within the industry. Despite a slight delay in the company’s $5 billion revenue target, now expected in fiscal year 2028, Truist sees this goal as indicative of a compound annual growth rate (CAGR) of approximately 29%, underscoring the robustness of Cloudflare’s business model. For deeper insights into Cloudflare’s financial health and growth metrics, access the comprehensive Pro Research Report available on InvestingPro.
The firm’s endorsement comes even as Cloudflare management adjusted its $5 billion revenue goal from the original forecast, moving it to FY28. With analyst targets ranging from $60 to $200 per share, Truist Securities believes that the company’s strong competitive moat, substantial market opportunity, and scalable business model present an attractive long-term investment proposition.
Cloudflare’s commitment to becoming a strategic partner for its customers is a central component of its appeal to investors, according to Truist Securities. The company’s focus on large customer growth and the developer market is seen as a key driver of its future success.
The reiterated Buy rating and price target reflect Truist Securities’ optimism about Cloudflare’s trajectory and its ability to capitalize on its market position. Investors are encouraged by the company’s clear strategic direction and potential for sustained growth.
In other recent news, Cloudflare Inc. held its annual analyst day, where the company reiterated its ambitious revenue target of $5 billion by 2028, despite a one-year delay due to macroeconomic factors. Piper Sandler adjusted its price target for Cloudflare to $131 while maintaining a Neutral rating, citing the company’s business acceleration and AI capabilities. Stifel analysts reaffirmed their Buy rating with a $175 price target, expressing confidence in Cloudflare’s growth prospects and potential to benefit from AI advancements. Needham also revised its price target to $145, maintaining a Buy rating, and noted Cloudflare’s technological edge with its use of lightweight Isolates. Cantor Fitzgerald kept a Neutral rating with a $149 target, acknowledging Cloudflare’s growth and strategic initiatives in AI. Meanwhile, Mizuho (NYSE:MFG) reduced its price target to $140, maintaining a Neutral stance, and highlighted Cloudflare’s strong growth targets and scalable infrastructure. These developments reflect varied analyst perspectives on Cloudflare’s potential and strategic positioning in the market.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.