Jim Cramer on Cloudflare: "Maybe Take Some Off the Table, First Point at 60"

Cloudflare, Inc. (NYSE:NET) is one of the stocks Jim Cramer was focused on recently. Answering a caller’s query about the stock, Cramer said:

“I know it seems high in the 200s… But you know what? We are a big believer in Matthew Prince, and we’re not stopping here. We’re going to continue to support him. Maybe take some off the table, first point at 60.”

Cloudflare, Inc. (NYSE:NET) provides cloud-based security, networking, and performance solutions that protect and optimize websites, applications, and IoT devices. Cramer discussed the company’s last earnings during the August 4 episode, as he commented:

“Looks like one of my favorites, Cloudflare, is finally getting its due after the cybersecurity company reported an excellent quarter last Thursday night, only to see its stock sink 3.6% on Friday, was dragged down by that quarter’s sell-off. Today, though, Cloudflare snapped back, up more than 4%, which makes perfect sense because these guys delivered a clean beat and raise quarter with better-than-expected numbers in every line for the quarter, and truly strong guidance. Initially, none of this seemed to matter, but with today’s rally, the stock’s now sitting at its highest level in nearly four years and within spitting distance of its COVID-era peak.”

While we acknowledge the potential of NET as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.