A number of stocks fell in the morning session after a hotter-than-expected wholesale inflation report revived concerns about persistent inflation and tempered hopes for a Federal Reserve interest rate cut.
"You get what you pay for" often applies to expensive stocks with best-in-class business models and execution.
While their quality can sometimes justify the premium, they typically experience elevated volatility during market downturns when expectations change.
Internet security and content delivery network Cloudflare (NYSE:NET) reported revenue ahead of Wall Street’s expectations in Q2 CY2025, with sales up 27.8% year on year to $512.3 million. Guidance for next quarter’s revenue was better than expected at $544 million at the midpoint, 1.1% above analysts’ estimates. Its non-GAAP profit of $0.21 per share was 15.5% above analysts’ consensus estimates.
Cloudflare’s second quarter results were shaped by accelerating enterprise demand and notable expansion within its largest customer segments, yet the market responded negatively, likely reflecting persistent operating margin concerns. Management highlighted the success of its “pool of funds” deals and a 22% year-over-year increase in customers spending more than $100,000 annually, which now contribute over 70% of revenue. CEO Matthew Prince emphasized that “record ACV bookings” and improved sales productivity underpinned the company’s revenue growth, while also pointing to architectural advantages in handling large-scale security events. However, the continued decline in GAAP operating margin appeared to weigh on investor sentiment.
The stocks featured in this article have all approached their 52-week highs.
When these price levels hit, it typically signals strong business execution, positive market sentiment, or significant industry tailwinds.
The highly anticipated release of OpenAI's GPT-5 is poised to ignite a new, more intense phase in the global artificial intelligence arms race. This latest iteration of the groundbreaking large language model (LLM) is not merely an incremental upgrade; it represents a strategic pivot by OpenAI that promises to fundamentally
Cloud communications infrastructure company Twilio (NYSE:TWLO)
will be reporting earnings this Thursday after market hours. Here’s what you need to know.
Large-cap stocks have the power to shape entire industries thanks to their size and widespread influence.
With such vast footprints, however, finding new areas for growth is much harder than for smaller, more agile players.
Application performance monitoring software provider Dynatrace (NYSE:DT)
will be reporting results this Wednesday before market hours. Here’s what investors should know.
A number of stocks jumped in the pre-market session after the Software as a Service (SaaS) sector rebounded following the sell-off in the previous trading session as a weaker-than-expected U.S. jobs report increased the probability of a Federal Reserve interest rate cut.
Internet security and content delivery network Cloudflare (NYSE:NET) beat Wall Street’s revenue expectations in Q2 CY2025, with sales up 27.8% year on year to $512.3 million. Guidance for next quarter’s revenue was better than expected at $544 million at the midpoint, 1.1% above analysts’ estimates. Its non-GAAP profit of $0.21 per share was 15.5% above analysts’ consensus estimates.
