Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.
Operating Margin-9.6%
Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.
Net Income Margin-4.7%
Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.
Financial Health
C
Years to Pay Off Debt-34.4 yrs
Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.
Working Capital vs Long-Term Debt$320M
Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.
Working Capital$2.3B
Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.
Valuation
F
Price-to-Book49.32x
Market price vs book value per share. Rarely below 1.5x for quality businesses today. Intangible assets (brand, software, patents) don't appear on the balance sheet under accounting rules, making P/B artificially high for asset-light companies like software and consumer brands.
Cash Flow
A
Free Cash Flow$261M
Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.
Owner Earnings$430M
Net Income + Depreciation & Amortisation − Capital Expenditures. Buffett's preferred measure of a company's true annual earning power — what could theoretically be distributed to owners without impairing the business. More reliable than reported EPS because it accounts for the capital cost of maintaining the business.
About Cloudflare, Inc.
Cloudflare, Inc. operates as a cloud services provider that delivers a range of services to businesses worldwide. The company provides a cloud-based security solution to secure a range of combination of platforms, including public and private cloud, on-premises, software-as-a-service applications, and Internet of things (IoT) devices; and application security products comprising web application firewall, bot management, distributed denial of service mitigation, API security, SSL/TLS encryption, client-side security, and security center products. It also offers application performance solutions, such as content delivery, load balancing, DNS, smart shield, video stream delivery, web optimization, cloudfare waiting room, and cloudfare data localization suite; SASE platform that combines network services and Zero Trust and workplace security products that provides a cloud-based network and security-as-a-service; network services, including magic WAN, magic transit, magic firewall, cloudflare network interconnect, and spectrum. In addition, the company provides zero trust security services which include cloudflare zero trust network access, secure web gateway, and one client; and remote browser isolation, cloud access security broker, cloud email security, digital experience monitoring, and data loss prevention products. Further, it provides developer-based solutions comprising workers AI, vectorize, AI gateway, cloudflare workers, cloudflare pages, R2 object storage, workers KV, durable objects, D1, hyperdrive, queues, cloudfare stream, cloudfare images, and cloudflare realtime; and consumer offerings, such as 1.1.1.1 DNS and with WARPm and cloudfare registrar that offers secure registration and management of domain names. The company serves customers in technology, healthcare, financial services, consumer and retail, industrial, and non-profit industries, as well as government. The company was incorporated in 2009 and is headquartered in San Francisco, California.
Cloudflare, Inc. operates as a cloud services provider that delivers a range of services to businesses worldwide. The company provides a cloud-based security solution to secure a range of combination of platforms, including public and private cloud, on-premises, software-as-a-service applications, and Internet of things (IoT) devices; and application security products comprising web application firewall, bot management, distributed denial of service mitigation, API security, SSL/TLS encryption, client-side security, and security center products. It also offers application performance solutions, such as content delivery, load balancing, DNS, smart shield, video stream delivery, web optimization, cloudfare waiting room, and cloudfare data localization suite; SASE platform that combines network services and Zero Trust and workplace security products that provides a cloud-based network and security-as-a-service; network services, including magic WAN, magic transit, magic firewall, cloudflare network interconnect, and spectrum. In addition, the company provides zero trust security services which include cloudflare zero trust network access, secure web gateway, and one client; and remote browser isolation, cloud access security broker, cloud email security, digital experience monitoring, and data loss prevention products. Further, it provides developer-based solutions comprising workers AI, vectorize, AI gateway, cloudflare workers, cloudflare pages, R2 object storage, workers KV, durable objects, D1, hyperdrive, queues, cloudfare stream, cloudfare images, and cloudflare realtime; and consumer offerings, such as 1.1.1.1 DNS and with WARPm and cloudfare registrar that offers secure registration and management of domain names. The company serves customers in technology, healthcare, financial services, consumer and retail, industrial, and non-profit industries, as well as government. The company was incorporated in 2009 and is headquartered in San Francisco, California.
Metric Explanations
What each dimension measures and where the thresholds come from.
Gross Profit Margin
Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.
Operating Margin
Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.
Net Income Margin
Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.
Years to Pay Off Debt
Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.
Working Capital vs Long-Term Debt
Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.
Working Capital
Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.
Price-to-Book
Market price vs book value per share. Rarely below 1.5x for quality businesses today. Intangible assets (brand, software, patents) don't appear on the balance sheet under accounting rules, making P/B artificially high for asset-light companies like software and consumer brands.
Free Cash Flow
Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.
Owner Earnings
Net Income + Depreciation & Amortisation − Capital Expenditures. Buffett's preferred measure of a company's true annual earning power — what could theoretically be distributed to owners without impairing the business. More reliable than reported EPS because it accounts for the capital cost of maintaining the business.
Net Income From Continuing Operation Net Minority Interest
-102,267
-78,800
-183,949
-193,381
Reconciled Depreciation
189,742
127,722
135,820
102,335
Reconciled Cost Of Revenue
552,525
378,702
307,005
232,610
EBITDA
105,802
62,047
-36,170
-83,414
EBIT
-83,940
-65,675
-171,990
-185,749
Net Interest Income
122,453
82,230
62,295
9,893
Interest Expense
8,766
5,196
5,872
4,984
Interest Income
131,219
87,426
68,167
14,877
Normalized Income
-102,267
-78,800
-144,212
-193,381
Net Income From Continuing And Discontinued Operation
-102,267
-78,800
-183,949
-193,381
Total Expenses
2,375,142
1,824,387
1,482,230
1,176,444
Total Operating Income As Reported
-207,205
-154,761
-185,485
-201,203
Diluted Average Shares
348,421
341,411
333,656
326,332
Basic Average Shares
348,421
341,411
333,656
326,332
Diluted EPS
0
0
0
0
Basic EPS
0
0
0
0
Diluted NI Availto Com Stockholders
-102,267
-78,800
-183,949
-193,381
Net Income Common Stockholders
-102,267
-78,800
-183,949
-193,381
Net Income
-102,267
-78,800
-183,949
-193,381
Net Income Including Noncontrolling Interests
-102,267
-78,800
-183,949
-193,381
Net Income Continuous Operations
-102,267
-78,800
-183,949
-193,381
Tax Provision
9,561
7,929
6,087
2,648
Pretax Income
-92,706
-70,871
-177,862
-190,733
Other Income Expense
-7,954
1,660
-54,672
577
Other Non Operating Income Expenses
-7,954
1,660
-4,372
577
Special Income Charges
0
0
-50,300
0
Other Special Charges
50,300
72,234
Net Non Operating Interest Income Expense
122,453
82,230
62,295
9,893
Interest Expense Non Operating
8,766
5,196
5,872
4,984
Interest Income Non Operating
131,219
87,426
68,167
14,877
Operating Income
-207,205
-154,761
-185,485
-201,203
Operating Expense
1,822,617
1,445,685
1,175,225
943,834
Research And Development
512,489
421,374
358,143
298,303
Selling General And Administration
1,310,128
1,024,311
817,082
645,531
Selling And Marketing Expense
920,817
745,791
599,117
465,762
General And Administrative Expense
389,311
278,520
217,965
179,769
Other Gand A
389,311
278,520
217,965
179,769
Gross Profit
1,615,412
1,290,924
989,740
742,631
Cost Of Revenue
552,525
378,702
307,005
232,610
Total Revenue
2,167,937
1,669,626
1,296,745
975,241
Operating Revenue
2,167,937
1,669,626
1,296,745
975,241
Balance Sheet
2025
2024
2023
2022
2021
Ordinary Shares Number
351,887
344,855
337,532
330,086
Share Issued
351,887
344,855
337,532
330,086
Net Debt
2,321,865
1,139,630
1,196,498
1,232,014
Total Debt
3,518,327
1,463,213
1,435,203
1,577,091
Tangible Book Value
1,190,761
843,249
595,436
443,434
Invested Capital
4,724,524
2,333,522
2,046,409
2,060,156
Working Capital
2,294,274
1,475,343
1,415,993
1,490,014
Net Tangible Assets
1,190,761
843,249
595,436
443,434
Capital Lease Obligations
252,926
175,892
151,841
140,899
Common Stock Equity
1,459,123
1,046,201
763,047
623,964
Total Capitalization
3,433,243
2,333,522
2,046,409
2,060,156
Total Equity Gross Minority Interest
1,459,123
1,046,201
763,047
623,964
Stockholders Equity
1,459,123
1,046,201
763,047
623,964
Other Equity Interest
4,439
Gains Losses Not Affecting Retained Earnings
12,259
-4,253
1,984
-11,896
Other Equity Adjustments
12,259
-4,253
1,984
-11,896
Retained Earnings
-1,204,907
-1,102,640
-1,023,840
-839,891
Additional Paid In Capital
2,651,420
2,152,750
1,784,566
1,475,423
Capital Stock
351
344
337
328
Common Stock
351
344
337
328
Total Liabilities Net Minority Interest
4,577,133
2,254,961
1,996,720
1,963,944
Total Non Current Liabilities Net Minority Interest
2,226,570
1,461,307
1,429,636
1,566,074
Other Non Current Liabilities
29,337
23,625
15,540
10,526
Non Current Deferred Liabilities
41,088
22,095
17,244
11,732
Non Current Deferred Revenue
41,088
22,095
17,244
11,732
Long Term Debt And Capital Lease Obligation
2,156,145
1,415,587
1,396,852
1,543,816
Long Term Capital Lease Obligation
182,025
128,266
113,490
107,624
Long Term Debt
1,974,120
1,287,321
1,283,362
1,436,192
Current Liabilities
2,350,563
793,654
567,084
397,870
Other Current Liabilities
1,902
4,651
Current Deferred Liabilities
684,207
477,765
347,608
218,647
Current Deferred Revenue
684,207
477,765
347,608
218,647
Current Debt And Capital Lease Obligation
1,362,182
47,626
38,351
33,275
Current Capital Lease Obligation
70,901
47,626
38,351
33,275
Current Debt
1,291,281
12,117
Other Current Borrowings
1,291,281
12,117
Pensionand Other Post Retirement Benefit Plans Current
111,005
80,854
63,801
42,014
Payables And Accrued Expenses
193,169
187,409
117,324
103,934
Current Accrued Expenses
109,054
81,602
63,597
68,327
Payables
84,115
105,807
53,727
35,607
Accounts Payable
84,115
105,807
53,727
35,607
Total Assets
6,036,256
3,301,162
2,759,767
2,587,908
Total Non Current Assets
1,391,419
1,032,165
776,690
700,024
Other Non Current Assets
47,221
21,197
14,474
7,389
Non Current Deferred Assets
219,499
172,217
133,236
93,145
Goodwill And Other Intangible Assets
268,362
202,952
167,611
180,530
Other Intangible Assets
41,799
21,865
19,564
32,483
Goodwill
226,563
181,087
148,047
148,047
Net PPE
856,337
635,799
461,369
418,960
Accumulated Depreciation
-379,445
-280,318
-218,480
-178,901
Gross PPE
1,235,782
916,117
679,849
597,861
Leases
50,906
49,047
42,984
20,392
Construction In Progress
58,372
68,973
45,557
72,827
Other Properties
965,235
658,005
469,677
373,015
Machinery Furniture Equipment
161,269
140,092
121,631
131,627
Current Assets
4,644,837
2,268,997
1,983,077
1,887,884
Other Current Assets
128,203
75,484
47,502
70,556
Restricted Cash
9,364
4,273
2,522
10,555
Prepaid Assets
29,433
Receivables
406,019
333,321
259,309
156,836
Other Receivables
23,531
16,568
11,041
8,292
Accounts Receivable
382,488
316,753
248,268
148,544
Allowance For Doubtful Accounts Receivable
-7,079
-8,166
-5,996
-3,134
Gross Accounts Receivable
389,567
324,919
254,264
151,678
Cash Cash Equivalents And Short Term Investments
4,101,251
1,855,919
1,673,744
1,649,937
Other Short Term Investments
3,157,715
1,708,228
1,586,880
1,445,759
Cash And Cash Equivalents
943,536
147,691
86,864
204,178
Cash Equivalents
886,060
102,804
40,035
127,014
Cash Financial
57,476
44,887
46,829
77,164
Cash Flow
2025
2024
2023
2022
2021
Free Cash Flow
260,562
166,915
119,464
-39,769
Repurchase Of Capital Stock
0
0
-34
-3
Repayment Of Debt
0
0
-207,649
-16,571
Issuance Of Debt
2,000,000
0
0
0
Capital Expenditure
-342,552
-213,514
-134,942
-163,364
Interest Paid Supplemental Data
29
75
670
1,238
Income Tax Paid Supplemental Data
7,767
4,995
4,454
2,223
End Cash Position
954,357
154,214
91,224
215,204
Beginning Cash Position
154,214
91,224
215,204
320,958
Changes In Cash
800,143
62,990
-123,980
-105,754
Financing Cash Flow
2,003,729
12,785
-192,185
6,347
Cash Flow From Continuing Financing Activities
2,003,729
12,785
-192,185
6,347
Net Other Financing Charges
-54,829
-19,922
-18,436
-2,483
Proceeds From Stock Option Exercised
58,558
32,707
33,934
25,404
Net Common Stock Issuance
0
0
-34
-3
Common Stock Payments
0
0
-34
-3
Net Issuance Payments Of Debt
2,000,000
0
-207,649
-16,571
Net Long Term Debt Issuance
2,000,000
0
-207,649
-16,571
Long Term Debt Payments
0
0
-207,649
-16,571
Long Term Debt Issuance
2,000,000
0
0
0
Investing Cash Flow
-1,806,700
-330,224
-186,201
-235,696
Cash Flow From Continuing Investing Activities
-1,806,700
-330,224
-186,201
-235,696
Net Other Investing Changes
-49,056
-37,953
-6,009
-88,151
Net Investment Purchase And Sale
-1,415,092
-78,757
-45,250
15,819
Sale Of Investment
2,121,993
1,493,356
1,832,263
1,148,770
Purchase Of Investment
-3,537,085
-1,572,113
-1,877,513
-1,132,951
Net Business Purchase And Sale
-6,083
-88,187
-5,605
Purchase Of Business
-6,083
-88,187
-5,605
Net PPE Purchase And Sale
-315,617
-185,037
-114,396
-143,606
Purchase Of PPE
-315,617
-185,037
-114,396
-143,606
Capital Expenditure Reported
-26,935
-28,477
-20,546
-19,758
Operating Cash Flow
603,114
380,429
254,406
123,595
Cash Flow From Continuing Operating Activities
603,114
380,429
254,406
123,595
Change In Working Capital
-97,322
-108,922
-104,728
-79,296
Change In Other Working Capital
74,910
18,205
33,008
34,264
Change In Other Current Liabilities
-64,888
-54,288
-38,088
-31,944
Change In Other Current Assets
6,792
2,170
1,018
-539
Change In Payables And Accrued Expense
50,961
47,268
37,569
-14,968
Change In Accrued Expense
42,097
28,642
25,788
-5,363
Change In Payable
8,864
18,626
11,781
-9,605
Change In Account Payable
8,864
18,626
11,781
-9,605
Change In Prepaid Assets
-79,995
-38,227
-22,125
-7,701
Change In Receivables
-85,102
-84,050
-116,110
-58,408
Changes In Account Receivables
-80,595
-78,523
-113,361
-56,195
Other Non Cash Items
175,082
131,900
111,514
86,735
Stock Based Compensation
451,454
338,461
273,989
202,777
Provisionand Write Offof Assets
14,989
10,038
13,637
4,828
Amortization Of Securities
-29,897
-42,081
-44,441
-263
Deferred Tax
1,333
2,111
2,264
-140
Deferred Income Tax
1,333
2,111
2,264
-140
Depreciation Amortization Depletion
189,742
127,722
135,820
102,335
Depreciation And Amortization
189,742
127,722
135,820
102,335
Operating Gains Losses
50,300
72,234
Net Income From Continuing Operations
-102,267
-78,800
-183,949
-193,381
1/6
Graham Score
Speculative Investor
Fails most of Graham's safety criteria. Treat with caution.
Graham's Fair Value
N/A (negative EPS)
Margin of Safety
—
Market Cap / Net Assets
49.3x
Net Assets: $1.5B
Warren's Owner Earnings
$430M
Latest fiscal year
Graham's 7 Criteria
Defensive Investor Checklist
1/6 — Speculative Investor
✅
Adequate Size
Graham required companies large enough to withstand economic downturns. This threshold ($1.5B) is inflation-adjusted from Graham's original $100M — virtually all S&P 500 companies pass this today.
$2.2B
vs > $1.5B revenue
❌
Strong Financial Condition
Current assets must be at least twice current liabilities. Note: highly profitable companies (Apple, Domino's) often run negative or low working capital deliberately — they collect cash fast and stretch payables. A failing score here is not always a warning sign.
1.98x
vs Current Ratio > 2.0x
❌
Earnings Stability
Graham required uninterrupted positive earnings. Any loss year is a red flag for defensive investors. Growth companies and cyclicals may show occasional losses during investment cycles or downturns without being fundamentally unsound.
4 loss years (4 yrs data)
vs No negative EPS years
❌
Dividend Record
Graham valued dividends as evidence of financial discipline and shareholder alignment. Many excellent modern businesses (Alphabet, Amazon, Berkshire Hathaway) pay no dividend, preferring to reinvest cash at high rates of return. Failing this criterion does not indicate a poor business — it may indicate a high-growth one.
No dividend
vs Uninterrupted dividends
❌
Moderate P/E Ratio
Graham's 15x P/E threshold was calibrated to 1960s market averages when interest rates were higher. Today's lower rate environment structurally supports higher multiples — the S&P 500 long-run average P/E is now closer to 20–25x. A stock trading at 20x is not automatically speculative in the modern context.
142.4x
vs P/E ≤ 15.0x
❌
Moderate Price-to-Book
Graham's 1.5x P/B threshold made sense when most company value was tangible. Today, intangible assets — brand, software, patents, network effects — rarely appear on the balance sheet. A high P/B in tech, pharma, or consumer brands often reflects intangible value, not overvaluation. P/FCF or EV/EBITDA are more reliable for asset-light businesses.
49.32x P/B (P/E×P/B: 7021.8)
vs P/B ≤ 1.5x | P/E × P/B ≤ 22.5
Graham's 7 Criteria — Explained
What each criterion measures and why it matters.
✅ Adequate Size — $2.2Bvs > $1.5B revenue
Graham required companies large enough to withstand economic downturns. This threshold ($1.5B) is inflation-adjusted from Graham's original $100M — virtually all S&P 500 companies pass this today.
"The minimum size of an enterprise should be not less than $100 million of annual sales."
❌ Strong Financial Condition — 1.98xvs Current Ratio > 2.0x
Current assets must be at least twice current liabilities. Note: highly profitable companies (Apple, Domino's) often run negative or low working capital deliberately — they collect cash fast and stretch payables. A failing score here is not always a warning sign.
"For industrial companies, current assets should be at least twice current liabilities."
❌ Earnings Stability — 4 loss years (4 yrs data)vs No negative EPS years
Graham required uninterrupted positive earnings. Any loss year is a red flag for defensive investors. Growth companies and cyclicals may show occasional losses during investment cycles or downturns without being fundamentally unsound.
"The company should have shown no deficit in the past ten years."
❌ Dividend Record — No dividendvs Uninterrupted dividends
Graham valued dividends as evidence of financial discipline and shareholder alignment. Many excellent modern businesses (Alphabet, Amazon, Berkshire Hathaway) pay no dividend, preferring to reinvest cash at high rates of return. Failing this criterion does not indicate a poor business — it may indicate a high-growth one.
"Some current dividend payments — for at least the past 20 years."
❌ Moderate P/E Ratio — 142.4xvs P/E ≤ 15.0x
Graham's 15x P/E threshold was calibrated to 1960s market averages when interest rates were higher. Today's lower rate environment structurally supports higher multiples — the S&P 500 long-run average P/E is now closer to 20–25x. A stock trading at 20x is not automatically speculative in the modern context.
"The price-earnings ratio should be no more than 15 times average earnings."
Graham's 1.5x P/B threshold made sense when most company value was tangible. Today, intangible assets — brand, software, patents, network effects — rarely appear on the balance sheet. A high P/B in tech, pharma, or consumer brands often reflects intangible value, not overvaluation. P/FCF or EV/EBITDA are more reliable for asset-light businesses.
"The price should not be more than 1½ times book value. P/E × P/B ≤ 22.5."
These metrics estimate what Cloudflare, Inc. is worth based on fundamentals — independent of what the market prices it at.
Graham's Fair Value and NCAV are conservative floors.
EPV assumes zero growth. These are reference points, not price targets.
Net Current Asset Value
$0.21
Trading at 1062.9x NCAV. Expected for most quality businesses — NCAV was designed to find depression-era bargains and rarely applies to modern profitable companies.
"Buy at two-thirds of net current assets." — Graham
Earnings Power Value
$-7.17
Per share, no-growth floor. Compare to current price.
ROIC — Return on Invested Capital
-4.4%
Return on Invested Capital — Buffett's preferred measure for asset-light businesses. ROIC > 15% consistently signals a durable competitive advantage (moat). More meaningful than P/B for software, pharma, and consumer brand companies where most value is intangible and off-balance-sheet.
Cash Flow Analysis
Metric
2025
2024
2023
2022
2021
Capital Expenditure % of Net Income
N/A
N/A
N/A
N/A
N/A
Repurchase of Capital Stock
$0M
$0M
-$0M
-$0M
N/A
Free Cash Flow
$261M▲
$167M▲
$119M▲
-$40M•
N/A•
Warren's Owner Earnings
$430M
$262M
$87M
$72M
N/A
Peers & Industry
No auto-detected peers for Software - Infrastructure. You can manually compare NET against any stock using the Compare tool.
"The management of a business is its most important single factor — more important than market position, patents, or financial structure."
— Benjamin Graham
Capital Allocation & Alignment
Insider Ownership
0.65%
Low — management has little skin in the game
Return on Equity (ROE)
-7.0%
Weak — poor returns on equity
Return on Assets (ROA)
-1.7%
Poor — assets are not generating adequate returns
Debt Trend YoY
+140.5% YoY
Debt is growing — management is leveraging up
Leadership Team
Matthew Prince
Co-Founder, Co-Chairman & CEO
Age 50
Pay: $2,299,951
Michelle Zatlyn
Co-Founder, President & Co-Chair of the Board
Age 45
Pay: $1,794,059
Thomas Josef Seifert
Chief Financial Officer
Age 62
Pay: $750,000
Philip Alan Winslow Jr., , Jr.
Vice President of Strategic Finance, Treasury and Investor Relations
Mark Anderson
President of Revenue
Age 63
Pay: $7,665
Top Institutional Holders
Institution
% Owned
Shares
Capital World Investors
7.08%
22,735,569
Blackrock Inc.
6.57%
21,094,282
Vanguard Portfolio Management LLC
4.99%
16,039,889
BAILLIE GIFFORD & CO
4.96%
15,924,423
Morgan Stanley
4.95%
15,883,321
Vanguard Capital Management LLC
4.27%
13,716,196
FMR, LLC
4.22%
13,560,451
Capital International Investors
3.39%
10,893,165
Risk Analysis
Beta (Market Risk)
1.67
High volatility — moves more than the market
Short Interest
3.1% of float
Low short interest — market is not heavily bearish
Debt-to-Equity
2.31x
High leverage — significant financial risk
Current Ratio
1.96x
Adequate liquidity
52-Week Price Range
Low: $158.83Current: $224.06High: $276.81
Currently at 55% of 52-week range
Cloudflare, Inc. (NET) fundamental analysis — Overall grade D based on profitability, financial health, valuation and cash flow. Graham's
Fair Value: N/A (negative EPS). Gross profit margin: 74.5%. Operating margin: -9.6%. Net margin: -4.7%. Market cap: $79.5B. Sector: Technology. Industry: Software - Infrastructure. Analysis powered by 360investing — free fundamental stock analysis based on Benjamin Graham and Warren Buffett
principles.
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and may be delayed, inaccurate, or incomplete. Past performance is not indicative of future results. Analysis, scores, and valuations are algorithmic and do not represent professional investment recommendations. Always conduct your own due
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