Cloudflare stock jumps as revenue growth hits four-year high
Company's stock jumps as sales surge nearly 40%, exceeding expectations and boosting annual revenue past $3 billion.
(Photo via MarketWatch)
Cloudflare shares climbed nearly 15% in extended trading on Nov. 5, 2026, following the company's report of its fastest revenue growth in nearly four years. The surge in stock price occurred after the market closed, marking a recovery from an 8.3% decline during the regular trading session earlier that day.
The company reported revenue of $782.5 million for the third quarter of 2026, representing a 39% increase compared to the same period last year. With these results, Cloudflare officially surpassed the $3 billion threshold in annualized revenue.
Adjusted earnings reached $0.38 per share, exceeding the consensus estimate of $0.34. Despite these positive adjusted figures, the company recorded a GAAP net loss of $34.1 million for the quarter.
CEO Matthew Prince described the period as the company's best quarter to date, noting that the firm successfully accelerated growth while simultaneously expanding profitability. Cloudflare attributed its performance to rising demand for its cybersecurity and AI-related infrastructure services, which the company markets as a necessary layer for managing AI bots and distributed network security.
Looking ahead, the company raised its full-year 2026 adjusted earnings outlook to $1.35 per share.