Tearsheet

Cloudflare (NET)


Market Price (4/12/2026): $167.71 | Market Cap: $58.9 Bil
Sector: Information Technology | Industry: Technology Hardware, Storage & Peripherals

Cloudflare (NET)


Market Price (4/12/2026): $167.71
Market Cap: $58.9 Bil
Sector: Information Technology
Industry: Technology Hardware, Storage & Peripherals

Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.

0

Strong revenue growth
Rev Chg LTMRevenue Change % Last Twelve Months (LTM) is 30%

Attractive cash flow generation
CFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 28%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 12%

Valuation becoming less expensive
P/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -27%

Megatrend and thematic drivers
Megatrends include Cybersecurity, Cloud Computing, and Artificial Intelligence. Themes include Cloud Security, Show more.

Not profitable at operating income level
Op Inc LTMOperating Income, Last Twelve Months is -207 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -9.6%

Expensive valuation multiples
P/SPrice/Sales ratio is 27x, P/CFOPrice/(Cash Flow from Operations). CFO is cash before capital expenditures. is 97x

Significant share based compensation
SBC/Rev LTMShare Based Compensation / Revenue (Sales), Last Twelve Months (LTM) is 21%

Yield minus risk free rate is negative
ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -4.1%

Key risks
NET key risks include [1] the unique vulnerability of its critical infrastructure to security breaches and service outages, Show more.

0 Strong revenue growth
Rev Chg LTMRevenue Change % Last Twelve Months (LTM) is 30%
1 Attractive cash flow generation
CFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 28%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 12%
2 Valuation becoming less expensive
P/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -27%
3 Megatrend and thematic drivers
Megatrends include Cybersecurity, Cloud Computing, and Artificial Intelligence. Themes include Cloud Security, Show more.
4 Not profitable at operating income level
Op Inc LTMOperating Income, Last Twelve Months is -207 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -9.6%
5 Expensive valuation multiples
P/SPrice/Sales ratio is 27x, P/CFOPrice/(Cash Flow from Operations). CFO is cash before capital expenditures. is 97x
6 Significant share based compensation
SBC/Rev LTMShare Based Compensation / Revenue (Sales), Last Twelve Months (LTM) is 21%
7 Yield minus risk free rate is negative
ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -4.1%
8 Key risks
NET key risks include [1] the unique vulnerability of its critical infrastructure to security breaches and service outages, Show more.

Valuation, Metrics & Events

Price Chart

Why The Stock Moved

Qualitative Assessment

AI Analysis | Feedback

Cloudflare (NET) stock has lost about 15% since 12/31/2025 because of the following key factors:

1. Cloudflare's profitability outlook and gross margin performance disappointed investors despite strong revenue growth.

While Cloudflare reported robust Q4 2025 earnings on February 10, 2026, with total revenue of $614.5 million, a 33.6% year-over-year increase that surpassed analyst estimates, and an EPS of $0.28 exceeding expectations, the company's guidance for operating income and earnings per share (EPS) for the full year 2026 fell short of consensus. This signaled potential challenges in meeting investor expectations regarding sustainable profitability. Furthermore, GAAP gross profit margin declined to 73.6% in Q4 2025 from 76.4% in Q4 2024, and non-GAAP gross profit margin decreased from 78.7% in fiscal year 2024 to 75.8% in fiscal year 2025, indicating a modest contraction in profitability margins.

2. Significant insider selling activity by executives raised investor concerns.

Between late December 2025 and mid-March 2026, Cloudflare experienced substantial insider selling, with executives, including CEO Matthew Prince and CFO Thomas Seifert, offloading approximately $97.3 million worth of shares. For example, CEO Matthew Prince sold shares across multiple transactions in early January 2026 at prices ranging from approximately $185.87 to $204.525. Such significant selling by key company figures can be interpreted by investors as a signal of a lack of confidence in the company's near-term stock trajectory or a belief that the stock is fully valued.

Show more

Stock Movement Drivers

Fundamental Drivers

The -15.3% change in NET stock from 12/31/2025 to 4/11/2026 was primarily driven by a -20.9% change in the company's P/S Multiple.
(LTM values as of)123120254112026Change
Stock Price ($)197.15166.99-15.3%
Change Contribution By: 
Total Revenues ($ Mil)2,0132,1687.7%
P/S Multiple34.227.0-20.9%
Shares Outstanding (Mil)349351-0.5%
Cumulative Contribution-15.3%

LTM = Last Twelve Months as of date shown

Market Drivers

12/31/2025 to 4/11/2026
ReturnCorrelation
NET-15.3% 
Market (SPY)-5.4%28.6%
Sector (XLK)-0.9%37.8%

Fundamental Drivers

The -22.2% change in NET stock from 9/30/2025 to 4/11/2026 was primarily driven by a -31.8% change in the company's P/S Multiple.
(LTM values as of)93020254112026Change
Stock Price ($)214.59166.99-22.2%
Change Contribution By: 
Total Revenues ($ Mil)1,8812,16815.2%
P/S Multiple39.627.0-31.8%
Shares Outstanding (Mil)347351-1.0%
Cumulative Contribution-22.2%

LTM = Last Twelve Months as of date shown

Market Drivers

9/30/2025 to 4/11/2026
ReturnCorrelation
NET-22.2% 
Market (SPY)-2.9%40.2%
Sector (XLK)1.4%45.1%

Fundamental Drivers

The 48.2% change in NET stock from 3/31/2025 to 4/11/2026 was primarily driven by a 29.8% change in the company's Total Revenues ($ Mil).
(LTM values as of)33120254112026Change
Stock Price ($)112.69166.9948.2%
Change Contribution By: 
Total Revenues ($ Mil)1,6702,16829.8%
P/S Multiple23.227.016.5%
Shares Outstanding (Mil)344351-2.0%
Cumulative Contribution48.2%

LTM = Last Twelve Months as of date shown

Market Drivers

3/31/2025 to 4/11/2026
ReturnCorrelation
NET48.2% 
Market (SPY)16.3%57.4%
Sector (XLK)38.8%60.4%

Fundamental Drivers

The 170.8% change in NET stock from 3/31/2023 to 4/11/2026 was primarily driven by a 122.3% change in the company's Total Revenues ($ Mil).
(LTM values as of)33120234112026Change
Stock Price ($)61.66166.99170.8%
Change Contribution By: 
Total Revenues ($ Mil)9752,168122.3%
P/S Multiple20.827.030.0%
Shares Outstanding (Mil)329351-6.3%
Cumulative Contribution170.8%

LTM = Last Twelve Months as of date shown

Market Drivers

3/31/2023 to 4/11/2026
ReturnCorrelation
NET170.8% 
Market (SPY)63.3%50.2%
Sector (XLK)92.6%51.9%

Return vs. Risk

Price Returns Compared

 202120222023202420252026Total [1]
Returns
NET Return73%-66%84%29%83%-2%154%
Peers Return42%-45%77%0%2%32%86%
S&P 500 Return27%-19%24%23%16%-0%82%

Monthly Win Rates [3]
NET Win Rate50%42%58%50%75%25% 
Peers Win Rate65%32%65%50%52%50% 
S&P 500 Win Rate75%42%67%75%67%50% 

Max Drawdowns [4]
NET Max Drawdown-19%-71%-14%-19%-10%-19% 
Peers Max Drawdown-22%-48%-9%-28%-23%-20% 
S&P 500 Max Drawdown-1%-25%-1%-2%-15%-7% 


[1] Cumulative total returns since the beginning of 2021
[2] Peers: AKAM, ZS, PANW, FTNT, FSLY. See NET Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 4/10/2026 (YTD)

How Low Can It Go

Unique KeyEventNETS&P 500
2022 Inflation Shock2022 Inflation Shock  
2022 Inflation Shock% Loss% Loss-82.6%-25.4%
2022 Inflation Shock% Gain to Breakeven% Gain to Breakeven474.1%34.1%
2022 Inflation ShockTime to BreakevenTime to Breakeven1,034 days464 days
2020 Covid Pandemic2020 Covid Pandemic  
2020 Covid Pandemic% Loss% Loss-31.8%-33.9%
2020 Covid Pandemic% Gain to Breakeven% Gain to Breakeven46.7%51.3%
2020 Covid PandemicTime to BreakevenTime to Breakeven14 days148 days

Compare to AKAM, ZS, PANW, FTNT, FSLY

In The Past

Cloudflare's stock fell -82.6% during the 2022 Inflation Shock from a high on 11/18/2021. A -82.6% loss requires a 474.1% gain to breakeven.

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About Cloudflare (NET)

CloudFlare, Inc. operates as a cloud services provider that delivers a range of services to businesses worldwide. The company offers 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 IoT devices. Its security products comprise cloud firewall, bot management, distributed denial of service, IoT, SSL/TLS, secure origin connection, and rate limiting products. The company also offers performance solutions, which include content delivery and intelligent routing, as well as content, mobile, and image optimization solutions. In addition, it provides reliability solutions comprising load balancing, anycast network, virtual backbone, DNS, DNS resolver, online, and virtual waiting room solutions. Further, the company offers Cloudflare internal infrastructure solutions, including on-ramps, which connect users, devices, or locations to its network; and filters, which are the products that protect, inspect, and privilege data. Additionally, it provides developer-based solutions, such as serverless computing/programmable network, website development, domain registration, Cloudflare apps, analytics, and data localization management; Consumer DNS Resolver, a consumer app to browse the Internet; and Consumer VPN for consumers to secure and accelerate traffic on mobile devices. The company serves customers in the technology, healthcare, financial services, consumer and retail, and non-profit industries, as well as government. CloudFlare, Inc. was incorporated in 2009 and is headquartered in San Francisco, California.

AI Analysis | Feedback

Here are 1-3 brief analogies to describe Cloudflare:

  • Akamai for internet security, performance, and developer services.
  • AWS for securing and accelerating internet applications and websites.

AI Analysis | Feedback

Cloudflare (NET) provides a wide range of cloud services, which can be categorized as follows:

  • Security Services: An integrated suite offering cloud firewall, bot management, distributed denial of service (DDoS) protection, IoT security, SSL/TLS encryption, and rate limiting to secure various online assets.
  • Performance Services: Solutions designed to accelerate web content delivery and optimize user experience through intelligent routing, content delivery networks (CDN), and mobile/image optimization.
  • Reliability Services: Products like load balancing, Anycast network, DNS services, and virtual waiting room solutions ensure high availability and continuous uptime for websites and applications.
  • Developer & Infrastructure Services: Provides serverless computing, website development tools, domain registration, and internal infrastructure solutions for connecting users and protecting data within their network.
  • Consumer Services: Offers a public DNS Resolver for faster and more private internet browsing, along with a Consumer VPN to secure and accelerate mobile device traffic.

AI Analysis | Feedback

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AI Analysis | Feedback

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AI Analysis | Feedback

Matthew Prince, Co-founder, Chief Executive Officer, and Co-Chair of the Board
Matthew Prince co-founded Cloudflare in 2009. He also co-founded Unspam Technologies, a software and services company focused on helping governments implement and enforce laws to control unwanted messages. Prince holds an MBA from Harvard Business School and a JD from the University of Chicago Law School, in addition to a BA in English and Computer Science from Trinity College. He previously served as an adjunct professor of law at The John Marshall Law School. Prince is recognized as a World Economic Forum Technology Pioneer and is a member of the Council on Foreign Relations.

Thomas Seifert, Chief Financial Officer
Thomas Seifert joined Cloudflare as its first Chief Financial Officer on June 1, 2017. Before joining Cloudflare, he held executive positions at several technology companies, including Executive Vice President and CFO at Symantec, where he oversaw the company's financial and strategic transformation and the acquisition of BlueCoat. Prior to Symantec, he was Executive Vice President and CFO at Brightstar Corp. Seifert also served as CFO, Chief Accounting Officer, and interim CEO for eight months at Advanced Micro Devices (AMD). He has held other executive roles at Qimonda AG, Infineon Technologies AG, and Wirelines Communications Business Group. Cloudflare was backed by venture capital firms when Seifert was appointed. He earned an MBA from Friedrich Alexander University and an MA in Economics from Wayne State University.

Michelle Zatlyn, Co-founder, President, and Chief Operating Officer
Michelle Zatlyn co-founded Cloudflare in 2009 with Matthew Prince and Lee Holloway. Before Cloudflare, she was part of the founding team of I Love Rewards (later Achievers) and had a summer internship at Google, as well as working as a product manager at Toshiba. Zatlyn holds an MBA from Harvard Business School and a Bachelor of Science degree in chemistry from McGill University. She currently serves on the board of directors for Atlassian and the World Economic Forum Young Global Leaders Foundation.

Mark Anderson, President of Revenue
Mark Anderson assumed the role of President of Revenue at Cloudflare. He previously served as President of Palo Alto Networks, where he was responsible for sales, go-to-market strategy, customer satisfaction, and business and corporate development, helping to scale the company from pre-IPO to over $2.5 billion in annualized revenue. Before Palo Alto Networks, Anderson led worldwide sales activities at F5 Networks, contributing to more than $1 billion in annual revenue, and held leadership positions at Lucent Technologies and Cisco Systems. He has also been a member of Cloudflare's Board of Directors since August 2019. Anderson holds a B.A. in Business and Economics from York University.

AI Analysis | Feedback

1. Cybersecurity Risks, Service Outages, and Third-Party Dependencies

Cloudflare, as a prominent internet infrastructure and security provider, faces a significant and inherent risk from cyberattacks targeting its own systems. Any breach of its infrastructure or services could severely damage its reputation and erode customer trust. Given its critical role in the internet's foundation, service outages at Cloudflare can trigger widespread, cascading disruptions across numerous businesses and online services, highlighting a "digital concentration risk" and resulting in substantial operational and financial impacts for its customers and the broader digital ecosystem. The company is also susceptible to supply chain attacks, where security incidents affecting its third-party vendors can expose customer data and interrupt operations, as demonstrated by past events. The rapidly evolving threat landscape, including the emergence of AI-enhanced cyberattacks, further necessitates continuous and sophisticated advancements in Cloudflare's security measures.

2. Intense Competition and Market Disruption

Cloudflare operates within a highly competitive and dynamic market for web security, performance, and edge computing solutions. The company confronts significant competition from well-established technology giants, including Amazon Web Services, Microsoft Azure, Google Cloud Platform, Akamai, Zscaler, and Palo Alto Networks, alongside numerous specialized providers. These competitors frequently offer comparable services and possess substantial resources, leading to intense pricing pressures and a continuous demand for Cloudflare to innovate and differentiate its product offerings. The ability of hyperscalers to bundle similar services with deep discounts presents a particular threat to Cloudflare's market share and overall profitability.

3. Regulatory and Geopolitical Challenges

Due to its global operations, Cloudflare must navigate a complex and constantly evolving array of international laws and regulations. These encompass various aspects such as data privacy, data protection, information security, and content moderation across diverse jurisdictions. Non-compliance with these numerous legal requirements, including regulations like GDPR or other regional data sovereignty laws, could lead to significant fines, reputational harm, and restrictions on its operational capabilities. Furthermore, geopolitical events, trade restrictions, tariffs, and differing governmental stances on internet governance can introduce considerable uncertainty and negatively affect Cloudflare's business costs and operational presence in various regions.

AI Analysis | Feedback

The continuous and aggressive expansion of edge computing, security, and networking services by hyper-scale cloud providers such as Amazon Web Services (AWS), Microsoft Azure, and Google Cloud Platform (GCP). These providers are increasingly offering integrated solutions including content delivery networks (CDNs), web application firewalls (WAFs), distributed denial of service (DDoS) protection, DNS services, and serverless computing functions directly within their platforms. As these major cloud vendors enhance and bundle their native offerings, they can diminish the need for businesses to utilize a separate, specialized provider like Cloudflare, particularly for customers already deeply integrated into their respective cloud ecosystems.

AI Analysis | Feedback

Cloudflare (NET) operates in several large and growing addressable markets globally.

Overall Total Addressable Market (TAM)

  • Cloudflare estimates its total addressable market (TAM) to be approximately $176 billion in 2024, projected to grow to $222 billion by 2027.

Addressable Markets for Main Products and Services

  • Cloud Security: The global cloud security market was valued at USD 51.11 billion in 2025 and is projected to grow to USD 224.16 billion by 2034, registering a compound annual growth rate (CAGR) of 17.80% over the forecast period.
  • Zero Trust Security: The global zero trust security market size is calculated at USD 40.01 billion in 2025 and is predicted to increase to approximately USD 182.59 billion by 2035, expanding at a CAGR of 16.39% from 2026 to 2035.
  • Secure Access Service Edge (SASE): The global secure access service edge market size was valued at USD 4.94 billion in 2025 and is projected to grow to USD 44.11 billion by 2034, exhibiting a CAGR of 27.54% during the forecast period.
  • Content Delivery Network (CDN): The global content delivery network (CDN) market size is calculated at USD 32.70 billion in 2025 and is predicted to increase to approximately USD 164.06 billion by 2035, expanding at a CAGR of 17.50% from 2026 to 2035.
  • Edge Computing: The global edge computing market size was estimated at USD 23.65 billion in 2024 and is expected to reach USD 327.79 billion by 2033, growing at a CAGR of 33.0% from 2025 to 2033.
  • Serverless Computing: The global serverless computing market size is calculated at USD 28.02 billion in 2025 and is predicted to increase to approximately USD 92.22 billion by 2034, expanding at a CAGR of 14.15% from 2025 to 2034.
  • Domain Name System (DNS) Services: The global DNS services market size was estimated at USD 710.23 million in 2025 and is projected to reach USD 3424.58 million by 2034, growing at a CAGR of 19.10% from 2026 to 2034.

AI Analysis | Feedback

Cloudflare (NET) is expected to drive future revenue growth over the next 2-3 years through several key initiatives and market trends:

  1. Growth in Large Enterprise Customers: Cloudflare is demonstrating strong momentum in attracting and expanding relationships with high-value enterprise customers. The company has seen record additions of customers spending over $100,000, $500,000, and $1 million annually, supported by successful enterprise sales initiatives and large contract wins. For instance, revenue from large customers (over $100,000 annual spend) increased 42% year-over-year in Q4 2025. Cloudflare also closed its largest deal ever in Q4 2025, valued at $42.5 million annually.
  2. AI-driven Demand and the Workers Platform: The increasing adoption of artificial intelligence, particularly AI inference workloads and the proliferation of AI agents, is a significant tailwind for Cloudflare. The company's Workers platform is a key enabler for these AI-driven applications, positioning Cloudflare as a foundational platform for the "agentic internet" and driving demand for its core performance, security, and networking services.
  3. Expansion of Product Offerings and Total Addressable Market (TAM): Cloudflare continues to expand and enhance its diverse portfolio of cloud services, including security solutions like its Zero Trust platform and its SASE (Secure Access Service Edge) offering. The company is also tapping into new market opportunities, with its total addressable market (TAM) expected to rise from $181 billion in 2025 to $231 billion by 2028, supported by opportunities in areas such as AI, IoT, databases, and 5G services.
  4. Geographic Expansion: Cloudflare is experiencing notable growth in certain geographic regions. For example, the Asia-Pacific (APAC) region saw a 50% year-over-year increase in revenue in Q4 2025, indicating successful market penetration and expansion in these areas.

AI Analysis | Feedback

Share Issuance

  • Cloudflare's shares outstanding have consistently increased over the last few years, rising from 0.334 billion in 2023 to 0.341 billion in 2024, and further to 0.348 billion in 2025.
  • The company's 3-Year Share Buyback Ratio was -2.10% as of September 2025, indicating net share issuance rather than repurchases.
  • Quarterly stock buybacks showed a negative value of -16.05 million for December 31, 2025, reinforcing the trend of share issuance.

Outbound Investments

  • Cloudflare acquired Area 1 Security for $162 million on February 23, 2022.
  • Other acquisitions made by Cloudflare in the past few years include Zaraz (December 2021), Vectrix (February 2022), Nefeli (March 2024), Baselime (April 2024), PartyKit (April 2024), BastionZero (May 2024), Kivera (October 2024), Outerbase (April 2025), Replicate (November 2025), Human Native AI (January 2026), and Astro (January 2026), though the financial terms for most were undisclosed.
  • Recent acquisitions, such as Human Native AI and Astro Technology, are strategically aimed at enhancing Cloudflare's position in the AI market and bolstering its web development frameworks.

Capital Expenditures

  • Cloudflare's capital expenditures have shown a fluctuating but upward trend, with reported figures of approximately $107.74 million in 2021, $163.36 million in 2022, $134.94 million in 2023, $185.04 million in 2024, and $315.62 million in 2025.
  • In Q2 2023, about 11% or $34 million of operating cash flow was allocated to network CapEx, focused on investments in its global network of data centers, with an additional $10 million for facilities and capitalized software.
  • For the full year 2026, Cloudflare anticipates network CapEx to be between 12% and 15% of its revenue, primarily directed towards maintaining technological innovation, including adding servers with storage capabilities and GPUs to support AI-related developer platform products.

Better Bets vs. Cloudflare (NET)

Trade Ideas

Select ideas related to NET.

Unique KeyDateTickerCompanyCategoryTrade Strategy6M Fwd Rtn12M Fwd Rtn12M Max DD
PANW_3312026_Insider_Buying_GTE_1Mil_EBITp+DE_V203312026PANWPalo Alto NetworksInsiderInsider Buys | Low D/EStrong Insider Buying
Companies with strong insider buying in the last 1 month, positive operating income and reasonable debt / market cap
0.0%0.0%0.0%
ALKT_3312026_Insider_Buying_45D_2Buy_200K03312026ALKTAlkami TechnologyInsiderInsider Buys 45DStrong Insider Buying
Companies with multiple insider buys in the last 45 days
0.0%0.0%0.0%
DBX_3272026_Dip_Buyer_FCFYield03272026DBXDropboxDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
2.6%2.6%0.0%
DLB_3272026_Dip_Buyer_FCFYield03272026DLBDolby LaboratoriesDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
3.5%3.5%0.0%
PTC_3272026_Dip_Buyer_FCFYield03272026PTCPTCDip BuyDB | FCFY OPMDip Buy with High FCF Yield and High Margin
Buying dips for companies with high FCF yield and meaningfully high operating margin
3.5%3.5%0.0%

Recent Active Movers

Peer Comparisons

Peers to compare with:

Financials

NETAKAMZSPANWFTNTFSLYMedian
NameCloudfla.Akamai T.Zscaler Palo Alt.Fortinet Fastly  
Mkt Price166.9991.35118.05155.7376.7023.07104.70
Mkt Cap58.613.218.9109.657.03.537.9
Rev LTM2,1684,2083,0019,8936,8006243,605
Op Inc LTM-207628-1441,4222,085-119255
FCF LTM2616998743,5662,22648787
FCF 3Y Avg1827176903,1401,945-2703
CFO LTM6031,5191,1143,9742,591941,316
CFO 3Y Avg4131,4628833,3822,261371,173

Growth & Margins

NETAKAMZSPANWFTNTFSLYMedian
NameCloudfla.Akamai T.Zscaler Palo Alt.Fortinet Fastly  
Rev Chg LTM29.8%5.4%23.9%15.4%14.2%14.8%15.1%
Rev Chg 3Y Avg30.5%5.2%30.8%17.2%15.5%13.1%16.4%
Rev Chg Q33.6%7.4%25.9%14.9%14.8%22.8%18.9%
QoQ Delta Rev Chg LTM7.7%1.8%5.9%3.5%3.7%5.4%4.6%
Op Mgn LTM-9.6%14.9%-4.8%14.4%30.7%-19.0%4.8%
Op Mgn 3Y Avg-11.0%16.4%-6.4%11.1%28.1%-28.5%2.4%
QoQ Delta Op Mgn LTM0.0%-0.5%-0.1%1.1%-0.4%4.2%-0.1%
CFO/Rev LTM27.8%36.1%37.1%40.2%38.1%15.1%36.6%
CFO/Rev 3Y Avg23.4%36.5%36.0%39.0%37.5%6.1%36.2%
FCF/Rev LTM12.0%16.6%29.1%36.0%32.7%7.7%22.9%
FCF/Rev 3Y Avg10.4%17.9%28.1%36.4%32.3%-0.8%23.0%

Valuation

NETAKAMZSPANWFTNTFSLYMedian
NameCloudfla.Akamai T.Zscaler Palo Alt.Fortinet Fastly  
Mkt Cap58.613.218.9109.657.03.537.9
P/S27.03.16.311.18.45.67.3
P/EBIT-698.520.7-821.158.824.7-32.6-5.9
P/E-573.329.1-278.785.530.7-28.50.3
P/CFO97.28.716.927.622.036.724.8
Total Yield-0.2%3.4%-0.4%1.2%3.3%-3.5%0.5%
Dividend Yield0.0%0.0%0.0%0.0%0.0%0.0%0.0%
FCF Yield 3Y Avg0.4%4.9%2.2%2.8%3.4%0.1%2.5%
D/E0.10.40.10.00.00.10.1
Net D/E-0.00.3-0.1-0.0-0.00.0-0.0

Returns

NETAKAMZSPANWFTNTFSLYMedian
NameCloudfla.Akamai T.Zscaler Palo Alt.Fortinet Fastly  
1M Rtn-21.3%-13.4%-22.1%-7.4%-9.1%-4.7%-11.3%
3M Rtn-8.6%3.7%-45.5%-17.6%-3.2%147.8%-5.9%
6M Rtn-21.9%24.7%-61.9%-25.3%-7.6%180.3%-14.8%
12M Rtn57.2%23.4%-40.4%-7.5%-21.5%321.0%7.9%
3Y Rtn164.9%12.5%11.5%59.5%14.2%40.6%27.4%
1M Excs Rtn-22.2%-14.8%-23.9%-6.2%-8.7%-4.7%-11.8%
3M Excs Rtn-9.2%8.1%-44.9%-16.9%-0.2%133.4%-4.7%
6M Excs Rtn-25.0%18.1%-63.3%-29.4%-12.2%167.9%-18.6%
12M Excs Rtn34.6%-2.9%-70.1%-34.7%-49.8%324.6%-18.8%
3Y Excs Rtn106.5%-48.5%-59.4%-7.8%-50.0%-30.6%-39.5%

Comparison Analyses

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Financials

Segment Financials

Revenue by Segment
$ Mil20252024202320222021
Single Segment1,297975656431287
Total1,297975656431287


Net Income by Segment
$ Mil20252024202320222021
Single Segment-184    
Total-184    


Price Behavior

Price Behavior
Market Price$166.99 
Market Cap ($ Bil)58.6 
First Trading Date09/13/2019 
Distance from 52W High-34.1% 
   50 Days200 Days
DMA Price$193.57$202.09
DMA Trendupup
Distance from DMA-13.7%-17.4%
 3M1YR
Volatility71.3%51.0%
Downside Capture1.301.03
Upside Capture313.72202.89
Correlation (SPY)27.5%41.9%
NET Betas & Captures as of 3/31/2026

 1M2M3M6M1Y3Y
Beta0.851.571.431.751.581.79
Up Beta-3.430.70-0.101.121.511.54
Down Beta0.922.020.761.201.561.79
Up Capture382%287%293%273%314%1522%
Bmk +ve Days7162765139424
Stock +ve Days13233361141391
Down Capture-37%70%152%174%127%111%
Bmk -ve Days12233358110323
Stock -ve Days9193065109356

[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
Annualized
Return
Annualized
Volatility
Sharpe
Ratio
Correlation
with NET
NET65.3%53.3%1.13-
Sector ETF (XLK)59.7%25.3%1.8057.1%
Equity (SPY)31.2%17.3%1.4753.1%
Gold (GLD)60.1%27.8%1.69-4.6%
Commodities (DBC)29.8%16.6%1.5812.0%
Real Estate (VNQ)21.3%15.2%1.0718.5%
Bitcoin (BTCUSD)-4.3%43.7%0.0232.0%

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Based On 5-Year Data
Annualized
Return
Annualized
Volatility
Sharpe
Ratio
Correlation
with NET
NET17.7%67.6%0.53-
Sector ETF (XLK)16.5%24.7%0.6058.3%
Equity (SPY)11.1%17.0%0.5055.9%
Gold (GLD)22.1%17.8%1.024.5%
Commodities (DBC)11.8%18.8%0.5210.6%
Real Estate (VNQ)3.7%18.8%0.1037.9%
Bitcoin (BTCUSD)4.3%56.5%0.3030.1%

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Based On 10-Year Data
Annualized
Return
Annualized
Volatility
Sharpe
Ratio
Correlation
with NET
NET24.5%67.2%0.79-
Sector ETF (XLK)21.7%24.3%0.8252.0%
Equity (SPY)13.8%17.9%0.6645.7%
Gold (GLD)14.2%15.9%0.746.9%
Commodities (DBC)8.6%17.6%0.4112.4%
Real Estate (VNQ)5.1%20.7%0.2228.7%
Bitcoin (BTCUSD)67.6%66.9%1.0726.3%

Smart multi-asset allocation framework can stack odds in your favor. Learn How

Short Interest

Short Interest: As Of Date3312026
Short Interest: Shares Quantity8.1 Mil
Short Interest: % Change Since 3152026-2.0%
Average Daily Volume3.9 Mil
Days-to-Cover Short Interest2.1 days
Basic Shares Quantity351.1 Mil
Short % of Basic Shares2.3%

Earnings Returns History

Expand for More
 Forward Returns
Earnings Date1D Returns5D Returns21D Returns
2/10/20265.2%6.4%17.9%
10/30/202513.8%1.5%-9.5%
7/31/2025-3.6%1.3%0.5%
5/8/20256.5%22.9%43.0%
2/6/202517.8%24.7%-17.6%
11/7/2024-4.6%-3.9%19.0%
8/1/20246.8%3.3%10.4%
5/2/2024-16.4%-17.6%-24.2%
...
SUMMARY STATS   
# Positive121212
# Negative121212
Median Positive9.0%10.3%14.1%
Median Negative-7.7%-6.1%-16.8%
Max Positive27.1%28.3%43.0%
Max Negative-21.0%-32.1%-30.7%

SEC Filings

Expand for More
Report DateFiling DateFiling
12/31/202502/26/202610-K
09/30/202510/30/202510-Q
06/30/202507/31/202510-Q
03/31/202505/08/202510-Q
12/31/202402/20/202510-K
09/30/202411/07/202410-Q
06/30/202408/01/202410-Q
03/31/202405/02/202410-Q
12/31/202302/21/202410-K
09/30/202311/02/202310-Q
06/30/202308/03/202310-Q
03/31/202304/27/202310-Q
12/31/202202/24/202310-K
09/30/202211/03/202210-Q
06/30/202208/04/202210-Q
03/31/202205/05/202210-Q

Recent Forward Guidance [BETA]

Latest: Q4 2025 Earnings Reported 2/10/2026

Forward GuidanceGuidance Change
MetricLowMidHigh% Chg% DeltaChangePrior
Q1 2026 Revenue620.00 Mil620.50 Mil621.00 Mil5.3% Higher NewActual: 589.00 Mil for Q4 2025
Q1 2026 Non-GAAP income from operations70.00 Mil70.50 Mil71.00 Mil-15.6% Lower NewActual: 83.50 Mil for Q4 2025
Q1 2026 Non-GAAP net income per share 0.23 -14.8% Lower NewActual: 0.27 for Q4 2025
2026 Revenue2.79 Bil2.79 Bil2.79 Bil30.2% Higher NewActual: 2.14 Bil for 2025
2026 Non-GAAP income from operations378.00 Mil380.00 Mil382.00 Mil27.7% Higher NewActual: 297.50 Mil for 2025
2026 Non-GAAP net income per share1.111.111.1222.5% Higher NewActual: 0.91 for 2025

Prior: Q3 2025 Earnings Reported 10/30/2025

Forward GuidanceGuidance Change
MetricLowMidHigh% Chg% DeltaChangePrior
Q4 2025 Revenue588.50 Mil589.00 Mil589.50 Mil8.3% RaisedGuidance: 544.00 Mil for Q3 2025
Q4 2025 Non-GAAP income from operations83.00 Mil83.50 Mil84.00 Mil10.6% RaisedGuidance: 75.50 Mil for Q3 2025
Q4 2025 Non-GAAP net income per share 0.27 17.4% RaisedGuidance: 0.23 for Q3 2025
2025 Revenue2.14 Bil2.14 Bil2.14 Bil1.3% RaisedGuidance: 2.11 Bil for 2025
2025 Non-GAAP income from operations297.00 Mil297.50 Mil298.00 Mil4.4% RaisedGuidance: 285.00 Mil for 2025
2025 Non-GAAP net income per share 0.91 6.4% RaisedGuidance: 0.85 for 2025

Insider Activity

Expand for More
#OwnerTitleHoldingActionFiling DatePriceSharesTransacted
Value
Value of
Held Shares
Form
1Ledbetter, Carl See footnoteSell1062026198.266,1341,216,136191,931,641Form
2Graham-Cumming, John DirectSell1062026200.272,520504,67699,171,037Form
3Hawkins, Mark J DirectSell1062026198.9013426,6532,132,606Form
4Kramer, Douglas JamesChief Legal OfficerDirectSell1062026198.549,0001,786,86120,668,224Form
5Ledbetter, Carl See footnoteSell12302025201.468,6741,747,501196,306,551Form

Industry Resources

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