@moneyspin Hi Ronnie - I agree that I was hoping for more. Yet, stepping back, the revised full year revenue guidance is likely where it should have been coming out of Q4. Assuming they don't have to revise again, then 31.5% growth in this environment is favorable. Additionally, they outperformed on profitability measures. The valuation had gotten high (no fault of Cloudflare) and appears inline with other software infra peers at this point. I am still bullish on the product offering and strategy. The GTM improvements should take some time, but be a net positive to growth. And, when these IT budget headwinds subside, growth will reaccelerate with record profitability.
I am planning to add to my position as I think the set up for the next 12 months is good.
@stackinvesting Thank you for the reply. I am also confident on the long term story of NET. I didn't add to my position but I didn't trim either - my portfolio is being hit hard so I could have done without that 25% drop in NET stock price. I expect other tech companies to report similiar issues with longer sales cycles etc. and that will proove that its not a problem with NET but purely macro. But I have to say that I was not impressed by the way the CEO handled the call - throwing the sales team under the bus - I would have expected better from him - that is a bit of a concern for me. Wishing you good luck for the rest of the earnings season. Thanks again. Best regards.