Bernstein Reiterates a Hold on ​Cloudflare (NET), Keeps the PT

​Cloudflare, Inc. (NYSE:NET) is one of the Best Cloud Stocks to Buy Now. On November 19, Bernstein reiterated a Hold rating on the stock with a $131 price target. A day earlier, on November 18, Tomer Zilberman from Bank of America Securities reiterated a Buy rating on the stock with a $255 price target.

​The ratings come after Cloudflare, Inc. (NYSE:NET) was hit by a network outage on November 18 at 11:20 UTC. The outage gained global attention as the company manages and secures around 20% of the web traffic. As a result of the outage, popular sites including Shopify, Indeed, Claude chatbot, Truth Social, and X, among others, were impacted. Management clarified that the root cause of the outage was not due to an attack or malicious activity, but was an automatically generated configuration file that “grew beyond an expected size of entries,” to cause the outage.

​While the outage lasted only a few hours and was resolved by 17:06 UTC, the stock slid more than 2% due to the outage.

​Analyst Zilberman of BofA noted that although the outage caused reputational challenges, it is a non-structural issue that does not pose any long-term impact. In addition to handling 20% of the web traffic, Cloudflare, Inc. (NYSE:NET) serves 35% of Fortune 100 companies, underscoring the company’s strategic position in the industry.

​Cloudflare, Inc. (NYSE:NET) is a connectivity cloud company that provides a comprehensive platform to secure, accelerate, and improve the performance and reliability of websites, applications, and APIs.

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.