Jim Cramer on Cloudflare: "It's Holding Up Much Better Than Many of Its Other Rivals"

Cloudflare, Inc. (NYSE:NET) is one of the stocks on Jim Cramer’s radar. Cramer noted that the company’s operations are not as easily replaceable by AI, as he remarked:

Can any enterprise software stock escape that gravitational pull of a market that dislikes the entire group? If there were, it would look like something called Cloudflare, an internet infrastructure play with a cybersecurity kicker. This is not something that can easily be replaced by some piece of code written by the AI platforms. But somehow, that still hasn’t saved the stock. When Cloudflare reported three weeks ago, it delivered a top and bottom-line beat… In response, the stock popped 5%… but then it drifted down, and it’s now down 31% from its high four months ago. Stock is pretty expensive on a price-to-earnings basis. Then again, it’s holding up much better than many of its other rivals because it has fabulous growth.

Cloudflare, Inc. (NYSE:NET) provides cloud-based security, performance, and networking solutions for businesses, including website protection, Zero Trust security, content delivery, and developer tools. We recently covered the stock whilst discussing the best stocks to buy for long-term growth. You can read about it here.

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.

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