3 Reasons Cloudflare Stock Should Be on Your Radar in 2021 and Beyond

Since the company released its final quarterly update of 2020, Cloudflare (NYSE: NET) stock has been trading for an incredible 60 times trailing 12-month revenue -- full-year revenue was $431 million, up 51% from 2019, and the current market cap is at $26.5 billion. That's enough of a premium to give even an investor comfortable with sky-high valuations at least a brief pause before buying. 

However, this stock remains on my watch list in spite of such an absurd price tag. Cloudflare stock could be headed for a pullback after the last report, but the business itself is positioned for explosive growth over the next decade. Here are three reasons why the valuation doesn't tell the whole story.

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Source Fool.com