Cloudflare shares rose 5% in the afternoon session ahead of its Q4 2025 earnings release, as analysts projected revenue to climb 28.4% year over year. Investor sentiment was buoyed by the prospect of strong top-line growth driven by cloud security and performance services.

The company’s CEO highlighted that 80% of leading AI firms already rely on its network, and predicted that future AI agents will route through Cloudflare’s infrastructure. This positioning in the AI sector has reinforced expectations for continued demand across its core products.

Cloudflare has experienced 23 moves exceeding 5% over the past year, reflecting high share price volatility. The stock is down 7.4% year to date and trades 28.3% below its 52-week high, though a $1,000 investment five years ago would now be worth nearly $2,000.