RBC Capital analyst Matthew Hedberg maintains $Cloudflare (NET.US)$ with a buy rating, and adjusts the target price from $99 to $123.
According to TipRanks data, the analyst has a success rate of 65.3% and a total average return of 20.1% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Cloudflare (NET.US)$'s main analysts recently are as follows:
There are 'several positive catalysts' anticipated that could propel the company's fundamentals and enhance stock performance in 2025. Initiated in spring 2023, the company started significant shifts in their marketing strategies under new leadership in their sales department. Increased productivity in sales and marketing is expected to continue benefiting the company through 2025. Discussions within the industry indicate a shift in artificial intelligence applications from training to inferencing, aligning with comments made by the company in their third-quarter discussions.
The year 2025 is viewed positively for the software sector, which might see benefits from multiple catalysts. Stabilized and, in some scenarios, improved spending trends, alongside the potential for generative artificial intelligence to spur new innovations, are notable factors. Additionally, comparisons for the first half of 2025 are more favorable as management teams prioritize growth. Favored stocks include major companies like Adobe, Microsoft, and Snowflake, with mid-cap mentions such as Gitlab and Guidewire Software, and small-cap mentions featuring Clearwater Analytics, Magnite, and Varonis Systems. Companies like Dynatrace, MongoDB, and Nexxen are highlighted as unconventional picks.
Note:
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Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
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