Morgan Stanley is bullish on Cloudflare ahead of earnings: strong AI-related demand and growth sustainability support high valuation.

Morgan Stanley released a third-quarter earnings preview report on Cloudflare, maintaining an "Overweight" rating on the stock with a price target of $370. The firm believes that rising consumption, accelerating developer adoption, and AI/agentic workloads are providing Cloudflare with multiple growth levers, which are expected to support revenue growth in the mid-30% range for Q3, Q4, and 2027. The latest partner checks show robust demand across CDN/application security, Workers, SASE, and the broader AI space, a healthy order pipeline, and continued large-deal activity.