FMR LLC Cuts Cloudflare (NET) Stake to 4.986%, Holds 14.76M Shares

TL;DR

**FMR LLC just trimmed its Cloudflare (NET) stake to under 5%.**

AI Summary

FMR LLC, a major investment firm, and its Chairman and CEO, Abigail P. Johnson, have updated their ownership stake in Cloudflare, Inc. (NET) to 4.986% of Class A Common Stock, totaling 14,761,437 shares as of February 9, 2024. This represents a slight decrease from their previously reported holdings, indicating FMR LLC is reducing its passive investment in Cloudflare. For investors, this matters because a large institutional investor like FMR LLC trimming its position could signal a re-evaluation of Cloudflare's future prospects, potentially influencing other investors' decisions.

Why It Matters

This filing shows a significant institutional investor, FMR LLC, has slightly reduced its stake in Cloudflare, which could be interpreted as a minor loss of confidence or a portfolio rebalancing.

Risk Assessment

Risk Level: low — The change in ownership is minor, and FMR LLC still holds a substantial stake, indicating no immediate severe risk.

Analyst Insight

Investors should note this minor reduction in FMR LLC's stake but recognize it's still a substantial holding. It might warrant a deeper look into Cloudflare's upcoming earnings or news for any underlying reasons for the adjustment, but it's not a strong buy or sell signal on its own.

Key Numbers

• 14,761,437 — Shares Beneficially Owned (This is the total number of Cloudflare Class A Common Stock shares FMR LLC and Abigail P. Johnson collectively own.)
• 4.986% — Percent of Class (This percentage represents FMR LLC's and Abigail P. Johnson's total ownership of Cloudflare's Class A Common Stock.)

Key Players & Entities

• FMR LLC (company) — the reporting person and parent holding company
• Cloudflare, Inc. (company) — the subject company whose stock is being reported
• Abigail P. Johnson (person) — reporting person, associated with FMR LLC
• 14,761,437 (dollar_amount) — total shares beneficially owned by FMR LLC and Abigail P. Johnson
• 4.986% (dollar_amount) — percentage of Class A Common Stock owned

Forward-Looking Statements

• FMR LLC will continue to hold a significant, albeit potentially fluctuating, passive stake in Cloudflare, Inc. (FMR LLC) — high confidence, target: Next 12 months

FAQ

From the Filing

0000315066-24-001044.txt : 20240209 0000315066-24-001044.hdr.sgml : 20240209 20240209085019 ACCESSION NUMBER: 0000315066-24-001044 CONFORMED SUBMISSION TYPE: SC 13G/A PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20240209 DATE AS OF CHANGE: 20240209 SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: Cloudflare, Inc. CENTRAL INDEX KEY: 0001477333 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-PREPACKAGED SOFTWARE [7372] ORGANIZATION NAME: 06 Technology IRS NUMBER: 270805829 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13G/A SEC ACT: 1934 Act SEC FILE NUMBER: 005-91163 FILM NUMBER: 24611505 BUSINESS ADDRESS: STREET 1: 101 TOWNSEND ST. CITY: SAN FRANCISCO STATE: CA ZIP: 94107 BUSINESS PHONE: 888.993.5273 MAIL ADDRESS: STREET 1: 101 TOWNSEND ST. CITY: SAN FRANCISCO STATE: CA ZIP: 94107 FORMER COMPANY: FORMER CONFORMED NAME: CloudFlare, Inc. DATE OF NAME CHANGE: 20091120 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: FMR LLC CENTRAL INDEX KEY: 0000315066 STANDARD INDUSTRIAL CLASSIFICATION: UNKNOWN SIC - 0000 [0000] ORGANIZATION NAME: IRS NUMBER: 043532603 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13G/A BUSINESS ADDRESS: STREET 1: 245 SUMMER STREET CITY: BOSTON STATE: MA ZIP: 02210 BUSINESS PHONE: 6175706339 MAIL ADDRESS: STREET 1: 245 SUMMER STREET CITY: BOSTON STATE: MA ZIP: 02210 FORMER COMPANY: FORMER CONFORMED NAME: FMR CORP DATE OF NAME CHANGE: 19920717 SC 13G/A 1 filing.txt SCHEDULE 13G Amendment No.6 CLOUDFLARE INC CLASS A COMMON STOCK Cusip #18915M107 Check the appropriate box to designate the rule pursuant to which this Schedule is filed: [x] Rule 13d-1(b) [ ] Rule 13d-1(c) [ ] Rule 13d-1(d) Cusip #18915M107 Item 1: Reporting Person - FMR LLC Item 2: (a) [ ] (b) [ ] Item 4: Delaware Item 5: 14,584,604 Item 6: 0 Item 7: 14,761,437 Item 8: 0 Item 9: 14,761,437 Item 11: 4.986% Item 12: HC Cusip #18915M107 Item 1: Reporting Person - Abigail P. Johnson Item 2: (a) [ ] (b) [ ] Item 4: United States of America Item 5: 0 Item 6: 0 Item 7: 14,761,437 Item 8: 0 Item 9: 14,761,437 Item 11: 4.986% Item 12: IN Item 1(a). Name of Issuer: CLOUDFLARE INC Item 1(b). Address of Issuer's Principal Executive Offices: 101 TOWNSEND ST. SAN FRANCISCO, CA 94107 US Item 2(a). Name of Person Filing: FMR LLC Item 2(b). Address or Principal Business Office or, if None, Residence: 245 Summer Street, Boston, Massachusetts 02210 Item 2(c). Citizenship: Not applicable Item 2(d). Title of Class of Securities: CLASS A COMMON STOCK Item 2(e). CUSIP Number: 18915M107 Item 3. This statement is filed pursuant to Rule 13d-1(b) or 13d-2(b) or (c) and the person filing, FMR LLC, is a parent holding company in accordance with Section 240.13d-1(b)(1)(ii)(G). (Note: See Exhibit A). Item 4. Ownership (a) Amount Beneficially Owned: 14,761,437 (b) Percent of Class: 4.986% (c) Number of shares as to which such person has: (i) sole power to vote or to direct the vote: Please see the responses to Items 5 and 6 on the cover page (ii) shared power to vote or to direct the vote: 0 (iii) sole power to dispose or to direct the disposition of: 14,761,437 (iv) shared power to dispose or to direct the disposition of: 0 Item 5. Ownership of Five Percent or Less of a Class. If this statement is being filed to report the fact that as of the date hereof, the reporting person has ceased to be the beneficial owner of more than five percent of the class of securities, check the following (X). Item 6. Ownership of More than Five Percent on Behalf of Another Person. One or more other persons are known to have the right to receive or the power to direct the receipt of dividends from, or the proceeds from the sale of, the CLASS A COMMON STOCK of CLOUDFLARE INC. No one other person's interest in the CLASS A COMMON STOCK of CLOUDFLARE INC is more than five percent of the total outstanding CLASS A COMMON STOCK. Item 7. Identification and Classification of the Subsidiary Which Acquired the Security Being Reported on By the Par