Cloudflare shares surge 5.29% intraday on Q4 AI-driven growth optimism ahead of earnings report.

Cloudflare (NET) rose 5.29% intraday amid anticipation of strong Q4 earnings and AI-driven growth. Analysts highlighted the company’s positioning in AI adoption, with ~80% of leading AI firms using its solutions, and projected Q4 revenue of $591 million (28.6% YoY growth), slightly below Q3’s pace but achievable. Jefferies noted potential to outperform estimates by 2%, consistent with prior quarters, while Zacks affirmed revenue guidance near $590 million and 27 cents per share in non-GAAP earnings. The stock’s rebound followed a 15% YTD decline, with analysts emphasizing Cloudflare’s resilience in enterprise transformation and global expansion, including 33% YoY growth in paying customers. While a recent service outage (Reason 5) raised concerns, the positive momentum was driven by optimism around earnings visibility and long-term AI tailwinds.