The message volume on the Cloudflare stream on Stocktwits jumped 2,000% over the 24 hours leading up to late Tuesday.
- Gartner analysts blamed an operational failure for the outage, rather than a distributed denial-of-service (DDoS) attack.
- Cloudflare’s stock has gained over 80% this year.
- The consensus stock price target suggests potential for another 22% upside.
Cloudflare, Inc. (NET) stock came under pressure on Tuesday, weighed down by the tech sell-off and a company-specific negative catalyst. The San Francisco, California-based connectivity cloud company suffered an outage early Tuesday that crippled the services of several high-profile companies, including OpenAI’s ChatGPT and Elon Musk’s social media platform X.
After ending Tuesday’s session down 2.83%, Cloudflare’s stock could stage a rebound, as it edged up in overnight trading.
Retail Mood Flips
On Stocktwits, retail sentiment toward Cloudflare stock improved to ‘extremely bullish’ as of early Wednesday from the ‘bearish’ mood that prevailed a day ago, as well as a week ago. Retail chatter increased to ‘extremely high’ levels. The message volume on the stream jumped 2,000% over the 24 hours leading up to late Tuesday.
A bullish user said the outage has turned their attention to Cloudflare stock. “Will be my watchlist for sure especially with their earnings,” they said.
Cloudflare reported strong quarterly results in late October, with 31% year-over-year revenue growth and higher adjusted earnings per share (EPS). Both metrics came above expectations.
Sharing a screenshot of Yahoo Finance’s quote page, another user noted that the stock has bounced back above its pre-outage price.
Earlier this week, Cloudflare announced a deal to buy Replicate, an artificial intelligence (AI) platform that makes it easy for developers to deploy and run AI models. “This acquisition will accelerate the company’s vision to make Cloudflare Workers the leading end-to-end platform for building and running scalable, fast, and reliable AI applications,” the company said.
Commenting on the outage, Gartner analysts blamed an operational failure, rather than a distributed denial-of-service (DDoS) attack, Cyber Daily reported.
The Cloudflare Stock
Cloudflare’s stock has traded in a 52-week range of $89.42 and $260. The upper bound of the range is also its all-time high, set on Nov. 3. The stock has gained over 80% this year.
According to Koyfing, the average price target for Cloudflare stock is $239.35, implying scope for nearly 22% upside.
For updates and corrections, email newsroom[at]stocktwits[dot]com.<