Cloudflare, Inc. (NYSE: NET) is a prominent player in the internet software industry, known for its web infrastructure and website security services. The company has been making waves with its financial performance, as highlighted by its recent Q3 2025 earnings call. Analysts from major financial institutions attended the call, underscoring the market's keen interest in Cloudflare's progress.
On October 31, 2025, Joseph Gallo from Jefferies set a price target of $250 for NET, which was trading at $222.50 at the time. This target suggests a potential upside of approximately 12.36%. The positive sentiment is supported by Cloudflare's strong Q3 earnings, where the company reported an EPS of $0.27, surpassing the Zacks Consensus Estimate of $0.23. This represents a 17.39% earnings surprise.
Cloudflare's revenue for Q3 2025 reached $562 million, exceeding the Zacks Consensus Estimate by 3.30%. This marks a significant increase from the $430 million reported in the same period last year. The company's consistent ability to outperform revenue estimates over the past four quarters highlights its robust financial health and growing demand for its services.
The company's impressive financial performance has positively impacted its stock price. Following the earnings announcement, NET's share price surged by 8.1% to $240.19 during after-hours trading. This increase reflects investor confidence in Cloudflare's growth trajectory, driven by a 30.7% year-over-year revenue growth and a 91.6% reduction in GAAP losses.
Cloudflare's market capitalization stands at approximately $77.54 billion, with a trading volume of 5,208,552 shares on the NYSE. The stock has experienced a decrease of approximately 2.15%, with a change of -$4.88. Despite this, the company's strong financial performance and strategic strides towards profitability continue to bolster investor confidence.
