What Sent Cloudflare Stock Higher?

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Cloudflare (NET) stock rose 7.3% on Friday, October 23, 2026, while the S&P 500 fell 0.5%. The company released no earnings report around the move, yet every company on its peer list advanced during the session. So what lifted Cloudflare and those companies on a day the market fell?

What Happened To Cloud Software Stocks On Friday?

News reports on October 23 noted a broadening rebound in cloud software stocks, with edge delivery companies setting the pace. A technology stock selloff also showed signs of easing at the close of what reports called a rollercoaster week. The wider market moved in the opposite direction, with U.S. stocks declining as oil prices climbed to their highest level in five months, news reports said.

For context, in its latest results for the second quarter of fiscal 2026, management said growth was driven in particular by its Workers developer platform, which developers use to build their software, and by agentic workloads across its network. The company posted revenue of $696 million for the quarter, an increase of 35.9% from a year earlier.

Did Cloudflare Rise On Its Own That Day?

No. The broader advance is visible among the companies on its Trefis peer list. Zscaler gained 7.3%, matching Cloudflare, while Fastly rose 8.7%. Akamai Technologies, Palo Alto Networks and Fortinet also traded higher during the session.

The technology sector as a whole posted much smaller gains, with the SPDR fund tracking the sector, XLK, rising 0.5%. Cloudflare’s rise was part of a move across its peer group rather than an isolated advance.

Where Cloudflare Stock Stands After The Rise

Moves of this magnitude are not rare for Cloudflare. The stock recorded 12 sessions with a rise at least this large over the previous year, most recently posting an 8.7% gain on September 21, 2026.

Cloudflare stock returned 54.6% over the past 12 months, compared to 15.1% for the S&P 500. Performance over the past month moved the other way, with the shares falling 9.2% from September 24 to October 23 while the S&P 500 fell 1.0%. Friday’s close of $325.73 kept the stock below its 52-week closing high of $360.93, set on October 9. The stock reached its 52-week closing low of $160.19 on February 23.

If you buy the stock now, you will pay 45.9 times Cloudflare’s sales over the past twelve months, compared to 3.2 times for the S&P 500.

Cloudflare’s next financial report will cover the third quarter of fiscal 2026. Revenue is the measure to watch in that release, with management guiding to a range of $736 million to $737 million on its August 6 call.

Does This Mean You Should Act On NET?

Our purpose is to inform you with unique data so you make the right investment decisions. That said, betting on a single stock is always risky, no matter which direction you choose.

There is a smarter approach. Since its inception, the Trefis High Quality (HQ) Portfolio has returned 105%, beating the benchmark that combines the three major indices – the S&P 500, S&P Mid-cap, and Russell 2000. And it did so without taking the concentrated risk that comes with do-it-yourself stock picking. If that is how you want to invest, the HQ Portfolio is the place to start.

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