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Cloudflare Stock Jumps After Earnings. This Analyst Is Still on the Sidelines. - Barron's

1. Cloudflare landed its largest contract worth over $100 million. 2. Q1 revenue of $479.1 million exceeded estimates of $469.3 million. 3. Second-quarter earnings expectations are slightly below Wall Street forecasts. 4. Truist Securities rates NET as a Buy with a $175 price target. 5. Jefferies lowered its price target to $150 while maintaining a Hold rating.

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FAQ

Why Bullish?

The substantial new contract and robust revenue growth signal positive momentum. Similar past trends often lead to sustained stock performance, particularly post-large deals.

How important is it?

The article outlines significant milestones that directly influence perceived company value.

Why Short Term?

Immediate investor sentiment may rise from the contract announcement. However, ongoing performance and valuation concerns may moderate long-term impacts.

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