Confluent, Inc. (CFLT): A Bull Case Theory

We came across a bullish thesis on Confluent, Inc. on Compounding Your Wealth’s Substack by Sergey. In this article, we will summarize the bulls’ thesis on CFLT. Confluent, Inc.'s share was trading at $17.12 as of August 4^th. CFLT’s forward P/E was 47.85 according to Yahoo Finance.

Confluent reported strong Q2 2025 results, with revenue rising 20.1% YoY to $282.3M, driven by robust subscription revenue of $270.8M (96% of total) and cloud growth of 28% YoY to $150.5M, now 53% of revenue. Non-GAAP operating margin expanded to 6.3%, up 580 bps YoY, while free cash flow margin...