Cloudflare Weathers Tech Sector Selloff, Maintains Momentum

On August 29th, 2025, shares of cloud security and performance company Cloudflare (NYSE:NET) fell 2.8% in the afternoon session, as a broad-based selloff in the technology sector pulled the wider market down from recent highs. However, the decline was not driven by company-specific news, but rather by a wider market retreat, with the tech-heavy Nasdaq 100 sliding approximately 1.4% and the S&P 500 falling nearly 1%.

Despite the negative sentiment in the sector, Cloudflare has continued to maintain its positive momentum. Just a day earlier, the company had announced a new suite of AI security features and integrations aimed at helping businesses safely adopt artificial intelligence. These include the 'Cloudflare Application Confidence Score,' a metric to assess AI applications, and 'MCP Server Portals' to secure AI connections. Cloudflare also integrated its Cloud Access Security Broker (CASB) platform with major generative AI tools like ChatGPT Enterprise, Claude by Anthropic, and Google Gemini, allowing customers to monitor and control employee AI usage in real-time.

Cloudflare's stock has surged 84.4% since the beginning of 2025, and at $207.50 per share, it is trading close to its 52-week high of $215.53 from August 2025. Investors who bought $1,000 worth of Cloudflare's shares 5 years ago would now be looking at an investment worth $5,423, highlighting the company's strong performance and growth potential.