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The Moat Index

CLOUDFLARE, INC.

NET · Technology · $96.7B mkt cap · FY2025 filings · Shallow moat ·

Doesn't clear the bar

44/ 100
Shallow moat

The four filters

Pricing power100

Median gross margin 77.3% over 9y, very stable.

Returns on capital0

Median ROIC -20.3%, above the 9% hurdle in 0% of years.

Balance-sheet safety28

Net debt/EBITDA n/ax, interest coverage -24x.

Capital discipline44

Owner earnings trend unclear, share count n/a.

Margin of safety

Above valueOn sale
No price data
Owner earnings (normalized)
—
Est. intrinsic value / share
—
Recent price
$277.61
Discount to value
No price data

Conservative model: 9% discount rate, 0% assumed growth (capped at 4%), maintenance capex ≈ min(capex, D&A).

10 years of fundamentals

The business, in plain English

CLOUDFLARE, INC. booked $2.2B of revenue in FY2025 in the Technology sector and kept 74.5% of it as gross profit — a high-margin business by that measure. After every other cost, −4.7% of each revenue dollar reached the bottom line.

Across the filed record, revenue grew from $134.9M (FY2017) to $2.2B (FY2025) — about 41.5% a year compounded over 8 years.

It earned −31.7% on invested capital in FY2025, with a median of −20.3% across 7 filed years. The Returns on Capital filter above scores it 0/100.

The balance sheet carried $0 of total debt in FY2019. Balance-Sheet Safety scores it 28/100.

The share count rose 138.1% between FY2019 and FY2025 — existing owners have been diluted over the record. Capital Discipline scores it 44/100.

Put together: Pricing Power is the strongest of the four filters (100/100) and Returns on Capital the weakest (0/100), which is how NET lands at 44/100 — a Shallow moat.

This breakdown is generated from the filed numbers and sub-scores above — no outside narrative, no estimates. Where a filing doesn’t disclose an input, the sentence that would need it is omitted instead of guessed.

FY2016–FY2025 · 10 fiscal years, normalized from NET’s SEC filings

RevenueSales, as filed$2.2B FY2025
$0$1B$2B2016201920222025
Gross marginRevenue kept after cost of goods74.5% FY2025
0%50%2016201920222025
Return on invested capitalOperating profit on the capital employed−31.7% FY2025
−40%−20%0%2016201920222025
Owner earningsCash an owner could take out−$102.3M FY2025
−$200M−$100M$02016201920222025

Gaps in a line mean that item isn’t in NET’s filings for that year — the series is never interpolated or estimated. The Table view lists every filed value, including operating and net margins, total debt, and share count.

Moat Score history

3 logged readings since Jul 17, 2026 · append-only, never rewritten

Moat Score over timeLast scored reading of each day, on the 0–100 scale44.3 / 100
0406080100WideNarrowShallowNo moatJul 17, 2026

Score history begins Jul 17, 2026 — the record builds from here and can’t be backfilled.

Tier changesSame-methodology crossings of the Wide / Narrow / Shallow bars

None yet — NET has read Shallow moat for every logged capture since Jul 17, 2026.

Scores are logged append-only and never overwritten — this record can’t be backfilled, which is exactly why it’s worth keeping.

Technology context

#250 of 532 scored Technology companies, ranked by Moat Score.

Nearest peers by Moat Score

  1. #248SEDG SOLAREDGE TECHNOLOGIES, INC.44.4Shallow moat
  2. #249CACI CACI International Inc44.3Shallow moat
  3. #251DDOG Datadog, Inc.44.3Shallow moat
  4. #252PCOR Procore Technologies, Inc.44.3Shallow moat

Compare NET with its nearest peers →All Technology companies on the Index →

Common questions about NET

Does CLOUDFLARE, INC. have an economic moat?
Based on its FY2025 SEC filings, the Moat Index scores CLOUDFLARE, INC. (NET) 44.3 out of 100 — a Shallow moat. The four filters behind that score (each 0–100): pricing power 100, returns on capital 0, balance-sheet safety 28, capital discipline 44.
How has NET's Moat Score changed over time?
The record logs 3 readings since Jul 17, 2026; the latest reads 44.3 out of 100 (shallow moat). No tier changes on record yet. The history is append-only — readings are only ever added, never rewritten.
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Scored from primary SEC filings via the public methodology. Educational only — not a recommendation to buy or sell NET. See the disclaimer.

CLOUDFLARE, INC. (NET) Moat Score — The Moat Index · Buy Like Buffett