Cloudflare (NET) Draws Fresh Optimism After Earnings Beat, KeyBanc Reiterates Overweight

Delivering its “best 4th of 2025,” an AI banal connected Wall Street’s radar station net has been Cloudflare. On February 11, KeyBanc expert Jackson Ader reiterated an Overweight standing and $300.00 terms target.

According to the firm, Cloudflare exceeded the firm’s estimates by implicit $24 million, a 4.2% bushed against expectations. It was different 4th of acceleration, noted the firm, demonstrating continued acceleration successful its maturation momentum.

The company’s guidance for 2026 reflects astir 29% maturation astatine the midpoint, with the steadfast suggesting that acceleration to 30% maturation successful 2026 is “plenty achievable.”

KeyBanc further noted that Cloudflare is expected to proceed its acceleration into 2026, with its gross momentum keeping it Overweight connected the stock.

“On a full-year basis, NET is acceptable to proceed to accelerate successful 2026 to implicit 30% with net-new ACV increasing astir 50% successful 4Q25. It was the highest maturation since 2021 and was aided by the largest ACV woody successful history. Momentum successful gross keeps america Overweight connected the stock.”

Cloudflare, Inc. (NYSE:NET) is simply a unreality services supplier that powers AI workloads done its Workers AI platform.

While we admit the imaginable of NET arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you’re looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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Disclosure: None. This nonfiction is primitively published at Insider Monkey.