New York, Feb 11, 2026, 05:32 (ET) — Premarket
- Cloudflare stock jumps in premarket trading after the company’s new outlook beat forecasts.
- Management pointed to strong AI-agent demand and several large enterprise deals as key drivers behind the momentum.
- Traders are eyeing the regular-session open, waiting for more earnings from edge-network peers.
Cloudflare, Inc. surged roughly 14% before the bell Wednesday, buoyed by a bullish 2026 revenue forecast that topped analyst targets and a stronger-than-expected fourth quarter. Shares were quoted at $205.50, a jump of $25.52 from the previous session’s $179.98 close. 1
Why it matters now: Investors want hard evidence the AI surge is still driving actual spending, not just hype, for the firms powering and protecting internet traffic. Cloudflare is right in that mix, offering security, performance, and networking gear that developers and businesses rely on to keep their applications up and running.
The report follows a November outage that knocked out access to X, ChatGPT, and other big platforms, once again spotlighting how “edge” infrastructure can turn into a single point of failure. Before Wednesday’s jump, Cloudflare’s stock had dropped over 8% this year, despite an 83% rally in 2025. A strong outlook—and a nearly 12% surge in after-hours trading post-release—put bulls back in play. 2
Cloudflare’s fourth-quarter revenue jumped 33.6% to $614.5 million, according to its earnings release. The company posted a GAAP net loss of $12.1 million, while non-GAAP earnings came in at $0.28 per share. Looking ahead, Cloudflare expects first-quarter revenue in the $620 million to $621 million range, and for full-year 2026, it’s guiding between $2.785 billion and $2.795 billion. Free cash flow landed at $99.4 million, which is 16.2% of revenue—free cash flow being what’s left after capital expenditures. At year-end, Cloudflare held $4.1 billion in cash, equivalents, and marketable securities. 3
CEO Matthew Prince doubled down on the “AI agents” pitch, framing them as the next big source of internet traffic that needs secure routing. “If AI agents are the new users of the internet, Cloudflare is the platform they run on and the network they pass through,” Prince told analysts during the earnings call, highlighting how customers are building projects with the company’s Workers developer platform. 4
The earnings outlook turned out to be choppier. Cloudflare projected adjusted EPS of roughly $0.23 for the first quarter, coming in shy of the $0.25 consensus. For 2026, it forecast $1.11 to $1.12, trailing the consensus figure of about $1.19 mentioned in analyst notes. Bank of America, in a post-earnings note, called it a “record 4Q, record year, continued acceleration into FY26.” 5
Baird bumped Cloudflare up to “outperform” from “neutral,” raising its price target to $260 from $230, according to early trading notes. 6
An SEC filing shows that Chief Legal Officer Doug Kramer is set to exit the role at the end of March, shifting into a senior advisor position. Deputy Chief Legal Officer Alissa Starzak is the named successor. 7
Cloudflare sits alongside other edge-network and content-delivery names like Fastly and Akamai, but it’s been making a bigger push into security and developer tools. For investors, this group tends to serve as a proxy for trends in web traffic, app security budgets, and what’s happening with developer-driven demand.
Still, a sharp move before the bell doesn’t guarantee anything at the close. Extended-hours jumps can evaporate as regular trading kicks in. Investors remain focused on whether Cloudflare can put reliability headaches behind it and ramp up capacity for more AI-driven demand. The latest guidance signals the company is walking a fine line between chasing growth and protecting margins.
The peer calendar may end up stoking the fire — or throwing up a hurdle — come Wednesday. Fastly plans to report its fourth-quarter earnings after the U.S. bell on Feb. 11, and Akamai’s quarterly call lands on Feb. 19. 8
