Article published Mar 24, 2026. Prices below use latest available snapshots.
Company Overview
Cloudflare Inc ($73B market cap) — internet infrastructure and cybersecurity company. Provides CDN, DDoS protection, zero-trust security, serverless computing (Workers), and AI inference at the edge. The network spans 300+ cities in 100+ countries. Positioned at the intersection of cybersecurity, edge computing, and AI inference — three secular growth themes.
Price Action
| Metric | Value |
|---|---|
| Price | $216.09 |
| RSI | 60 |
| SMA20 | $200.82 (+7.6%) |
| SMA50 | $188.78 (+14.5%) |
| SMA200 | $200.64 (+7.7%) |
| Trend | Up |
| Signal | Death cross (legacy, being invalidated) |
| 7D | +3.70% |
| 30D | +31.92% |
| 3M | +6.63% |
| From 52wk High | -16.89% |
| 1Y Return | +88.04% |
| 1Y Alpha vs SPY | +68.74% |
NET is the outlier — the only focus list stock in an uptrend. Up +32% in 30 days while everything else bleeds. RSI 60 with room to run (not overbought). The legacy death cross is being invalidated as the stock surges back above both SMA20 and SMA200. The 1Y return of +88% and alpha of +69% vs SPY make this the best risk-adjusted performer in the focus list.
Recent News & Catalysts
- Stock surging on momentum (Mar 23) — +3.8% in a single session on broad market rally. The stock has been catching every updraft and resisting every downdraft.
- AI inference at the edge — Cloudflare's Workers AI platform is positioned for the next wave of AI — inference at the edge rather than centralized data centers. This is the narrative driving the re-rating.
- Zero-trust security — Enterprise security spend is non-discretionary, providing revenue resilience in a downturn.
- Developer platform adoption — Workers, R2, D1 gaining developer mindshare as an alternative to AWS Lambda.
Technical Setup
- Support: $200 (SMA20 and SMA200 converging — strong support), then $189 (SMA50)
- Resistance: $260 (52-week high area)
- Key level: $200 is now the floor. As long as NET holds above it, the breakout is intact. Overbought above RSI 70 would be the first caution signal.
Bull Case
- Defying the entire SaaS bear market — relative strength is extraordinary
- AI inference at the edge is a massive TAM expansion
- Zero-trust security is mandatory spend, not discretionary
- +88% 1Y with RSI only 60 — still has room to run
- Developer platform creating switching costs and ecosystem lock-in
Bear Case
- +32% in 30 days is a lot — mean reversion risk is real
- Legacy death cross still technically on the chart (though being invalidated)
- Valuation is rich on traditional metrics (10x+ revenue)
- If the broad market crashes harder, even relative strength winners get sold
- Competition from Akamai, Fastly (both also surging recently)
Verdict
NET is the trade that's working. +32% in 30 days, RSI 60 with room, defying the SaaS bear market. The AI inference + zero-trust security narrative is real and the company is executing. If you own it, hold — the entry was 30% ago but the trend says stay long. If you don't own it, wait for a pullback to $200 (SMA20/200 convergence). Don't chase at $216 but don't short it either. This is genuine relative strength, not a dead cat bounce.