Why Cloudflare Stock Was Soaring on Thursday
Shares of Cloudflare (NYSE: NET) were up by 16.3% as of 1:20 p.m. ET on Thursday following positive analyst comments from MoffettNathson regarding the company's exposure to opportunities in the rapid adoption of artificial intelligence.
Cloudflare's expansive server network already improves the performance and security of many popular websites, but MoffettNathson analyst Sterling Auty noted that the company has a huge opportunity in AI. It already handles the security for popular applications such as OpenAI's ChatGPT and Apple's iCloud Private Relay service.
The stock fell hard last year as investors worried about macroeconomic headwinds and the possibility that companies would scale back their spending on cloud services. In addition, according to Auty, some investors might be nervous about the collapse in cryptocurrency prices and how that could impact Cloudflare, which counts some popular crypto exchanges among its clients.
Source Fool.com
