Cloudflare, Inc. (NYSE:NET) was among the stocks Jim Cramer commented on, saying that tech stocks cannot be trusted to lead anymore.
Cramer highlighted the stock’s erratic movement, as he commented: Well, it’s been a whirlwind few weeks for Cloudflare, the internet infrastructure play with a major cybersecurity business
When the company reported in early May, the numbers were excellent. It was a textbook beat-and-raise quarter, but they also announced some big layoffs, amounting to roughly 20% of the workforce. It was done sadly, but they had to do it… Stock’s sold off hard, down over 27% in a three-day losing streak thereafter, the quarter.
Then it snapped right back. I would argue it should never have been down. By last week, Cloudflare was setting fresh all-time highs.