Time to Buy the Dip on Cloudflare Stock?
Next-gen internet infrastructure provider Cloudflare (NYSE: NET) was among several stocks getting a price boost in 2024 from its association with artificial intelligence (AI). But Cloudflare's AI rally faltered after the first-quarter update, though, leaving many investors wondering if this is a good time to buy the dip. Cloudflare is now down over 10% so far in 2024, but the stock still trades up more than 30% over the past 52 weeks.
There are reasons to remain optimistic about Cloudflare's long-term prospects. There are also questions regarding the current financial condition of the business. Here's what investors need to know.
At its core, Cloudflare is what's known as a content delivery network (CDN), data centers located close to internet users that store and deliver internet content (websites, video, etc.) on demand (when you click on an internet link, for example). On top of that core CDN service, Cloudflare has been building lots of software products, ranging from cybersecurity to software development tools.
Source Fool.com
