Cloudflare Stock Volatility
| NET Stock | USD 217.49 5.97 2.82% |
Cloudflare shows an elevated volatility profile over the current evaluation window. From an efficiency perspective, Cloudflare records a Sharpe Ratio (Efficiency) of 0.057, reflecting risk-adjusted gains over the last 3 months. Our analysis points to 30 technical indicators driving current risk behavior.
Sharpe Ratio = 0.057
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For Cloudflare, recent data highlights a Market Risk Adjusted Performance of 0.1%, a Risk of 3.84, and a Risk Adjusted Performance of 0.02%. Recent moving average trends suggest Cloudflare is tracking at about 4% of its historical return corridor. Portfolio-level outcomes depend on how the asset interacts with other holdings.
Key indicators related to Cloudflare's volatility include:90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
The volatility profile of Cloudflare determines how much Cloudflare's price can move in either direction over a given time frame. Investors use volatility estimates to size positions, set stop-loss levels, and price the cost of hedging Cloudflare exposure.
Cloudflare | Build portfolio with Cloudflare Stock |
Volatility Strategy
Volatility in Cloudflare reflects changing market conditions that influence diversification outcomes. Current statistical measures show total volatility near 3.84% with a beta coefficient of 0.8, indicating sensitivity relative to the broader market benchmark. Risk-adjusted efficiency, represented by a Sharpe ratio of 0.057, evaluates return per unit of total risk. An alpha value of 0.078 reflects performance relative to systematic market exposure. Expected return estimates near 0.22% are derived from historical distribution modeling and help frame forward-looking return assumptions within a portfolio context. Growth repricing can increase short-term volatility.
Main indicators related to Cloudflare's market risk premium analysis include:
Beta 0.8 | Alpha 0.078 | Risk 3.84 | Sharpe Ratio 0.057 | Expected Return 0.22 |
Moving together with Cloudflare Stock
Moving against Cloudflare Stock
Sensitivity To Market
The beta coefficient of 0.8 for Cloudflare measures how its returns respond to broader market changes. In regression terms, beta captures the slope between asset returns and index returns. Historical volatility is currently near 3.84%.Cloudflare return patterns over the selected horizon reflect a forward elevated level of variability, based on dispersion and downside-focused statistics. Options markets imply a forward-looking volatility estimate near 74.0%. This suggests the market is pricing in the possibility of wider future price swings compared to recent historical dispersion. For Cloudflare, dispersion metrics describe what happened historically across the selected window.
3 Months Beta |Analyze Cloudflare Demand TrendCheck current 90 days Cloudflare correlation with market (Dow Jones Industrial)Downside Risk
Cloudflare standard deviation quantifies the typical daily price movement relative to its average over your selected period. Volatile instruments show high standard deviation; stable instruments show low.
Standard Deviation | 3.84 |
The difference between upside risk and downside risk is meaningful for Cloudflare investors. Upside risk is measured by Cloudflare's standard deviation, while downside risk is captured by semi-deviation or downside deviation of Cloudflare's daily returns. For Cloudflare, recent data highlights a Downside Deviation of 4.05, a Downside Variance of 16.43, and a Maximum Drawdown of 19.40.
Using Cloudflare Put Option to Manage Risk Based on 2026-06-18 Contracts
For Cloudflare, recent data highlights an Option Max Pain Price of 210. Investors holding Cloudflare can use put options to hedge against potential price declines. A put option on Cloudflare Stock gives the buyer the right to sell Cloudflare at the strike price until expiration.
Cloudflare's PUT expiring on 2026-06-18
Profit |
| Cloudflare Price At Expiration |
Current Cloudflare Insurance Chain
| Delta | Gamma | Open Int | Expiration | Current Spread | Last Price | |||
Put | NET260618P00300000 | -0.945586 | 0.002374 | 5 | 2026-06-18 | 87.55 - 90.25 | 0.0 | View |
Put | NET260618P00280000 | -0.847376 | 0.004626 | 1 | 2026-06-18 | 69.25 - 72.85 | 0.0 | View |
Put | NET260618P00270000 | -0.816989 | 0.005301 | 22 | 2026-06-18 | 61.55 - 64.3 | 0.0 | View |
Put | NET260618P00260000 | -0.741152 | 0.005913 | 11 | 2026-06-18 | 53.4 - 56.15 | 0.0 | View |
Put | NET260618P00250000 | -0.678349 | 0.006304 | 4 | 2026-06-18 | 46.25 - 48.75 | 0.0 | View |
Put | NET260618P00240000 | -0.619272 | 0.006615 | 121 | 2026-06-18 | 39.1 - 41.5 | 0.0 | View |
Put | NET260618P00230000 | -0.553975 | 0.006684 | 64 | 2026-06-18 | 32.95 - 34.9 | 0.0 | View |
Put | NET260618P00220000 | -0.48876 | 0.006639 | 95 | 2026-06-18 | 27.0 - 29.0 | 0.0 | View |
Put | NET260618P00210000 | -0.423002 | 0.00639 | 136 | 2026-06-18 | 21.8 - 23.55 | 0.0 | View |
Put | NET260618P00200000 | -0.358666 | 0.006019 | 284 | 2026-06-18 | 17.6 - 18.45 | 0.0 | View |
Put | NET260618P00195000 | -0.328329 | 0.005672 | 60 | 2026-06-18 | 15.3 - 17.4 | 0.0 | View |
Stock Volatility Analysis
When measuring the risk of Cloudflare stock, volatility is a critical metric. It indicates how dramatically Cloudflare's price swings over a specific time horizon. A stock with high volatility can produce outsized gains or losses compared to a low-volatility alternative.
Transformation |
This analysis covers sixty-one data points across the selected time horizon. Cloudflare Average Price is the average of the sum of open, high, low and close daily prices of a bar. It can be used to smooth an indicator that normally takes just the closing price as input.
Projected Return Density Against Market
Considering the 90-day investment horizon Cloudflare has a beta of 0.7979 . This indicates as returns on the market go up, Cloudflare's average returns are expected to increase less than the benchmark. However, during a bear market, the loss from holding Cloudflare is expected to be smaller as well.Cloudflare carries exposure to broad market movements as well as company or sector-specific developments. While portfolio diversification can reduce asset-level risk, systematic volatility cannot be avoided. Standard deviation and beta quantify this exposure. For Cloudflare, recent data highlights a Downside Deviation of 4.05, a Mean Deviation of 2.71, and a Semi Deviation of 3.85.
Predicted Return Density |
| Returns |
What Drives Cloudflare's Price Volatility?
Several factors can influence Cloudflare's market volatility:Industry Dynamics
Sector-level events can directly affect Cloudflare's price stability. Regulatory changes, supply disruptions, or shifts in demand within Cloudflare's industry may create volatility even when the broader market is calm. Competitive dynamics and industry consolidation can also amplify price swings for companies like Cloudflare.Political and Economic Environment
Macroeconomic conditions and policy decisions shape the backdrop for Cloudflare's price movements. Interest rate changes, trade policy shifts, and fiscal legislation can all alter investor sentiment toward Cloudflare. During periods of economic expansion, Cloudflare's price tends to benefit from broader market optimism, while downturns can amplify selling pressure.Cloudflare's Company-Specific Factors
Volatility can also stem from events unique to Cloudflare. Earnings surprises, management changes, product launches, or legal developments may trigger sharp price reactions in Cloudflare's stock. Conversely, operational setbacks, guidance revisions, or data breaches can weigh on Cloudflare's share price.Stock Risk Measures
Considering the 90-day investment horizon the coefficient of variation of Cloudflare is 1753.52. The daily returns are distributed with a variance of 14.74 and standard deviation of 3.84. The mean deviation of Cloudflare is currently at 2.77. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.79
α | Alpha over Dow Jones | 0.08 | |
β | Beta against Dow Jones | 0.80 | |
σ | Overall volatility | 3.84 | |
Ir | Information ratio | 0.02 |
Stock Return Volatility
Volatility for Cloudflare quantifies the day-to-day dispersion of stock returns around their historical average. The firm carries 3.8393% return volatility across the 90-day horizon. As a benchmark, Dow Jones Industrial has volatility of 0.8012% on return distribution over a 90-day investment horizon. Performance |
| Timeline |
Related Correlations Analysis
Correlation Matchups
Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.High positive correlations
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Risk-Adjusted Indicators
Cloudflare Company may look attractive on headline returns alone, but deeper analysis often tells a different story. A thorough review of Cloudflare's risk-adjusted indicators provides a clearer picture of whether returns are being earned efficiently. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.| Mean Deviation | Jensen Alpha | Sortino Ratio | Treynor Ratio | Semi Deviation | Expected Shortfall | Potential Upside | Value @Risk | Maximum Drawdown | ||
|---|---|---|---|---|---|---|---|---|---|---|
| SNPS | 2.02 | -0.07 | 0.00 | -0.09 | 0.00 | 3.78 | 12.24 | |||
| CDNS | 1.89 | -0.13 | 0.00 | -0.13 | 0.00 | 3.87 | 13.16 | |||
| SNOW | 2.48 | -0.22 | 0.00 | -0.19 | 0.00 | 5.06 | 16.12 | |||
| FTNT | 1.53 | 0.07 | 0.04 | 0.05 | 2.02 | 2.82 | 10.68 | |||
| NTES | 1.40 | -0.16 | 0.00 | -0.39 | 0.00 | 2.74 | 12.63 | |||
| CRWV | 4.94 | 0.24 | 0.03 | 0.03 | 5.58 | 10.77 | 41.14 | |||
| MRVL | 2.14 | 0.06 | 0.02 | 0.01 | 2.40 | 4.23 | 21.42 | |||
| MSTR | 4.01 | -0.03 | 0.00 | -0.05 | 0.00 | 8.85 | 31.72 | |||
| ZS | 2.34 | -0.59 | 0.00 | -0.70 | 0.00 | 4.11 | 19.66 | |||
| GLW | 2.88 | 0.62 | 0.17 | 0.35 | 3.17 | 7.32 | 24.08 |
Risk Metrics, Assumptions & Methodology
Volatility for Cloudflare measures return dispersion and uncertainty over time. Standard deviation provides a baseline measure of variability magnitude. Cloudflare has a market cap of 72.98 B, ROE of -8.16%.
This section for Cloudflare is built from periodic company reporting and market reference feeds, with harmonization applied to align reporting definitions. Professional analyst research is incorporated when coverage is available. Values may update on different source schedules. Volatility and downside metrics are estimated from historical return dispersion.
This content is curated and reviewed by:
Raphi Shpitalnik - Junior Member of Macroaxis Editorial BoardCloudflare Investment Opportunity
Recent data suggests that Cloudflare is meaningfully more volatile than Dow Jones Industrial, by roughly a 4.8x factor. Used properly, this comparison helps investors decide whether the extra volatility is strategic or simply uncompensated risk.You can use Cloudflare to enhance the returns of your portfolios. This short-horizon strategy note focuses on what the latest move may imply for immediate trading context. It is intended to separate routine noise from more speculative bursts in price action. an unexpected upward trend. Watch out for market signals. Check odds of Cloudflare to be traded at $260.99 in 90 days.Excellent diversification
NET currently posts a -0.63 correlation with DJI, indicating a Excellent diversification relationship for the active sample. This matters because lower overlap can improve diversification, while higher overlap leaves more of the same risk inside the portfolio.
Cloudflare Additional Risk Indicators
Looking at additional risk metrics for Cloudflare helps investors judge how the position may behave under different market and portfolio conditions. This is most useful when investors want to understand whether the current opportunity is being paid for with reasonable risk.
| Risk Adjusted Performance | 0.0196 | |||
| Market Risk Adjusted Performance | 0.0669 | |||
| Mean Deviation | 2.71 | |||
| Semi Deviation | 3.85 | |||
| Downside Deviation | 4.05 | |||
| Coefficient Of Variation | 6733.29 | |||
| Standard Deviation | 3.73 |
Cloudflare Suggested Diversification Pairs
Using Cloudflare in a pair-trading setup can improve risk control because gains and losses are judged against a second position instead of against the market alone. The advantage is that adverse movement in one leg may be partly offset by the other when correlation and thesis alignment hold.
Risk reduction through pair trading is real but has limits - not every type of exposure can be offset by a second leg. Cloudflare's exposure to overall market risk stays intact regardless of pairing. The value of a second leg lies in reducing Cloudflare's idiosyncratic risk - the part that comes from company-level events rather than macro conditions.
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