Cloudflare, Inc.

NYSE:NET Stock Report

Market Cap: US$115.2b

Cloudflare Valuation

Is NET undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of NET when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: NET ($351.67) is trading above our estimate of future cash flow value ($191.77)

Significantly Below Future Cash Flow Value: NET is trading above our estimate of future cash flow value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for NET?

Key metric: As NET is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for NET. This is calculated by dividing NET's market cap by their current revenue.
What is NET's PS Ratio?
PS Ratio49.8x
SalesUS$2.51b
Market CapUS$115.23b

Price to Sales Ratio vs Peers

How does NET's PS Ratio compare to its peers?

The above table shows the PS ratio for NET vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average13.6x
SNOW Snowflake
22x21.07%US$117.2b
SHOP Shopify
13.4x20.16%US$165.3b
MDB MongoDB
11.8x14.99%US$30.9b
TWLO Twilio
7.3x9.98%US$37.4b
NET Cloudflare
49.8x21.39%US$115.2b

Price-To-Sales vs Peers: NET is expensive based on its Price-To-Sales Ratio (49.8x) compared to the peer average (13.6x).

Historical Price to Sales Ratio

Historical Price to Sales Ratio compares a stock's price to its sales over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data

Price to Sales Ratio vs Industry

How does NET's PS Ratio compare vs other companies in the US IT Industry?

35 CompaniesPrice / SalesEstimated GrowthMarket Cap
KD Kyndryl Holdings
0.2x-0.44%US$2.63b
DXC DXC Technology
0.1x-1.26%US$1.72b
GLOB Globant
0.6x2.59%US$1.54b
EFOR Everforth
0.3x2.53%US$1.34b
NET 49.8xIndustry Avg. 1.9xNo. of Companies35PS03.26.49.612.816+
35 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: NET is expensive based on its Price-To-Sales Ratio (49.8x) compared to the US IT industry average (1.9x).

Price to Sales Ratio vs Fair Ratio

What is NET's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NET PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio49.8x
Fair PS Ratio16.2x

Price-To-Sales vs Fair Ratio: NET is expensive based on its Price-To-Sales Ratio (49.8x) compared to the estimated Fair Price-To-Sales Ratio (16.2x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst NET forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$351.67
US$336.81
-4.23%
19.56%US$400.00US$160.00n/a31
Sep ’27US$285.51
US$333.55
+16.83%
20.79%US$400.00US$160.00n/a31
Aug ’27US$278.98
US$262.26
-5.99%
21.31%US$330.00US$136.00n/a31
Jul ’27US$246.31
US$243.65
-1.08%
18.02%US$305.00US$136.00n/a31
Jun ’27US$270.82
US$234.18
-13.53%
18.21%US$300.00US$135.00n/a31
May ’27US$217.50
US$231.85
+6.60%
18.00%US$300.00US$135.00n/a31
Apr ’27US$205.43
US$233.47
+13.65%
18.05%US$300.00US$135.00n/a31
Mar ’27US$172.19
US$231.30
+34.33%
18.66%US$300.00US$135.00n/a31
Feb ’27US$177.35
US$231.95
+30.79%
21.40%US$300.00US$117.00n/a30
Jan ’27US$197.15
US$240.01
+21.74%
22.18%US$318.00US$117.00n/a30
Dec ’26US$197.20
US$242.46
+22.95%
22.40%US$318.00US$117.00n/a28
Nov ’26US$253.30
US$237.97
-6.05%
22.26%US$318.00US$117.00n/a29
Oct ’26US$217.06
US$209.01
-3.71%
22.15%US$255.00US$90.00n/a29
Sep ’26US$208.71
US$209.01
+0.14%
22.15%US$255.00US$90.00US$285.5129
Aug ’26US$200.11
US$204.49
+2.19%
23.71%US$250.00US$90.00US$278.9829
Jul ’26US$184.95
US$156.14
-15.58%
26.00%US$240.00US$70.00US$246.3131
Jun ’26US$165.89
US$144.34
-12.99%
19.96%US$200.00US$70.00US$270.8230
May ’26US$122.61
US$139.01
+13.37%
22.56%US$200.00US$68.00US$217.5030
Apr ’26US$115.66
US$142.49
+23.19%
21.71%US$200.00US$68.00US$205.4330
Mar ’26US$145.30
US$144.02
-0.88%
25.24%US$200.00US$60.00US$172.1930
Feb ’26US$138.40
US$109.94
-20.56%
24.02%US$150.00US$57.00US$177.3530
Jan ’26US$107.68
US$97.82
-9.15%
20.44%US$136.00US$57.00US$197.1530
Dec ’25US$99.83
US$92.92
-6.92%
16.30%US$120.00US$57.00US$197.2030
Nov ’25US$87.55
US$91.52
+4.53%
18.62%US$135.00US$57.00US$253.3030
Oct ’25US$78.11
US$91.85
+17.59%
17.84%US$135.00US$57.00US$217.0629
Sep ’25US$82.14
US$91.92
+11.91%
17.54%US$135.00US$57.00US$208.7130
US$336.81
Fair Value
4.4% overvalued intrinsic discount
31
Number of Analysts

Analyst Forecast: Target price is lower than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/09/21 03:59
End of Day Share Price 2026/09/21 00:00
Earnings2026/06/30
Annual Earnings2025/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Cloudflare, Inc. is covered by 57 analysts. 32 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Shrenik KothariBaird
"Saket KaliaBarclays
Saket KaliaBarclays