Cloudflare's (NYSE: NET) stock price dropped 6% during after-hours trading on Nov. 2 following its third-quarter report. The cloud-based content delivery network (CDN) and cybersecurity service provider's revenue rose 32% year over year to $336 million and exceeded analysts' estimates by $5 million. Its adjusted net income surged 189% to $55 million, or $0.16 per share, and beat the consensus forecast by $0.06 per share.
Cloudflare's growth rates looked healthy, but its cautious fourth-quarter guidance sunk its stock. Let's see if the market overreacted and created a good buying opportunity for long-term investors.
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Source Fool.com