Cloudflare (NET) Hits New High on Stellar Q3, Bullish Outlook

We recently published 10 Firms Dominating the Market; 5 at All-Time Highs. Cloudflare Inc. (NYSE:NET) is one of the best-performing stocks on Friday.

Cloudflare jumped to a new all-time high on Friday, as investors cheered its stellar earnings performance in the third quarter of the year, which supported a more bullish growth outlook for the full year period.

At intra-day trading, the stock climbed to its highest 52-week price of $254.29 before trimming losses to end the day just up by 13.84 percent at $253.30 apiece.

In an updated report, Cloudflare Inc. (NYSE:NET) said it narrowed its net loss by 91 percent to only $1.29 million from $15.3 million in the same period last year, as revenues jumped 31 percent to $562 million from $430 million year-on-year.

The results supported a higher growth outlook for full-year 2025, with revenues now pegged at $2.142 billion to $2.143 billion, versus the $2.113 billion to $2.115 billion targeted previously. Earnings per share are expected at $0.91.

Income from operations is now projected to end at $297 million to $298 million, higher than the prior outlook of $284 million to $286 million.

For the fourth quarter alone, Cloudflare Inc. (NYSE:NET) expects revenues to end at $588.5 million to $589.5 million, while income from operations is targeted at $83 million to $84 million.

In other developments, Cloudflare Inc.’s (NYSE:NET) head of product and engineering, CJ Desai, will step down from his post on November 7 to accept the role of chief executive officer at another publicly listed company.

While we acknowledge the potential of NET as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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