Cloudflare Tumbles 1.99% Amid Inflation Fears, Ranks 205th in $490M Trading Volume

On August 14, 2025, Cloudflare (NET) closed down 1.99% with a trading volume of $490 million, ranking 205th in market activity. The stock’s decline followed broader market concerns over inflation data, which dampened sentiment for high-growth tech equities sensitive to interest rate expectations. Analysts highlighted the sector’s vulnerability to macroeconomic shifts as the Producer Price Index (PPI) surged 3.3% year-over-year, exceeding forecasts and delaying expectations for a Fed rate cut.

Despite a strong second-quarter earnings report—where revenue and profits exceeded estimates—Cloudflare shares dipped post-earnings, reflecting broader market volatility. Jim Cramer, a longtime advocate of the cybersecurity firm, acknowledged the post-earnings dip as “natural” but emphasized the company’s long-term potential. “Cloudflare is by far my favorite in the security and content delivery space,” he noted, praising its leadership and innovation in combating digital threats. The stock has risen nearly 80% year-to-date, outperforming peers in the cybersecurity sector.

Institutional ownership remains robust, with 78% of shares held by major investors. Recent commentary underscored Cloudflare’s strategic focus on AI integration and customer expansion, positioning it to benefit from long-term digital infrastructure trends. However, short-term traders remain cautious amid macroeconomic uncertainty, with the stock trading near its four-year peak but still below pre-earnings levels.

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