Cloudflare cannot justify a bullish view at a 10000x revenue valuation. x.com 

Cloudflare at 38x NTM revenue and 150x NTM EBITDA is insane, so a decent return from here is unlikely even though it is the leader. That has never happened before without massive acceleration in growth rates and margin expansion. x.com 

Cloudflare is a key enabler of agentic AI and has been overly punished in the software selloff, setting up a 2026 re-rating. It supports OpenClaw, the self-hosted autonomous agent popular since February, as it shifts toward autonomous AI workflows. Paying customers rose 40%, yet only about 1% of 25 million websites pay, and it signed a landmark $130 million contract. Relative strength versus the software ETF and a 30%+ rally after washouts below the 200-day average point the same way. x.com 

Cloudflare's stock price is far beyond what the company can ever pay back to shareholders. Even if free cash flow quadrupled next year to $250 million, or reached $1 billion annually, investors would only earn back their investment around 2106. SpaceX conceivably offers more optionality through Starlink. x.com 

Cloudflare looks like it is in a blow-off top, with a valuation that has entered la-la land. It trades at about 230x one-year forward earnings, a 5.5 five-year PEG ratio and 45x sales, leaving holders at risk of a 50% correction. x.com 

Cloudflare deserves its premium multiple far more than CrowdStrike does. Cloudflare is growing about 40% against CrowdStrike's mid-20s, and it adds a call option on agentic expansion. Both trade at nosebleed valuations. x.com 

Palantir, CrowdStrike and Cloudflare are top-tier companies, but their valuations may have reached bubble territory, a reason to book profits on long-term holds. Their combined market cap has grown from about $90B to $840B, and their P/E and P/S multiples price in much future growth. CrowdStrike and Cloudflare in particular trade on hopes that the agentic era, with bots charged for access and usage-based AI pricing, will make revenue explode. Trimming Cloudflare and CrowdStrike has started. … Show more

Cloudflare is a short because 45-50x sales is too much to pay for 35% growth. x.com 

Cloudflare is trying to make its network the control layer for more internet and AI traffic, not sell one more point product. Its CDN already sits close to users and applications on a global edge, a natural place to add security, Zero Trust, developer compute and AI controls such as Workers AI. Q1 2026 supports this: revenue up 33.5%, $2.54B of RPO and 118% net retention. The case holds if consolidation keeps showing up in adoption; the main risks are valuation and execution. x.com 

CrowdStrike is now more overvalued than Cloudflare, trading at 45-50x sales for barely 26% revenue growth, which are mediocre numbers. Cloudflare's drop after its earnings could be the same script for CrowdStrike. x.com  x.com  x.com