Cloudflare shares surge as AI demand drives annual sales forecast above estimates
Cloudflare shares rose as the firm projected annual sales above estimates. Rapid AI growth is driving demand for digital infrastructure across its services.
Insights:
Cloudflare, Inc. announced on Tuesday that it expects full-year 2026 sales to reach between $2.79 billion and $2.80 billion, a forecast that exceeds the Wall Street consensus cited in the company's release. For the first quarter, the provider of cloud services expects revenue in the range of $620 million to $621 million, also topping analyst estimates. This optimistic outlook, driven by the rapid development of artificial intelligence, sent shares climbing nearly 12% in after-hours trading.
