Crowdstrike Holdings Inc. (CRWD:NSD) Analysts Bullish with a Strong Buy

STA Research
by: STA Research
Crowdstrike Holdings Inc.

Crowdstrike Stock Forecast Analysis:

Based on the Crowdstrike stock forecast from 21 analysts, the average analyst target price for Crowdstrike Holdings Inc is USD 231.77 over the next 12 months. Crowdstrike Holdings Inc’s average analyst rating is Strong Buy. Stock Target Advisor’s own stock analysis of Crowdstrike Holdings Inc is Slightly Bearish, which is based on 4 positive signals and 6 negative signals. At the last closing, Crowdstrike Holdings Inc’s stock price was USD 192.05Crowdstrike Holdings Inc’s stock price has changed by +3.32% over the past week, +4.60% over the past month and -31.97% over the last year.

Crowdstrike Holdings Inc has stock forecasts from 30 Crowd Ratings with the average Crowd target price for Crowdstrike Holdings Inc at $274.19 over the course of the next 12 months.  The Crowd User also rates the company with a Strong Buy rating.

Mizuho Securities just maintained their Buy rating on the stock, raised their target forecast to $230 from $220 after the company reported earnings.

Barclays Capital also just raised it’s price target to $225 from $215.

Citigroup also bumped up their target to $245 from $235.

STA Research just maintained their Buy rating on the stock, with a $200 target.

About Crowdstrike Holdings Inc (CRWD:NSD)

CrowdStrike Holdings, Inc. provides cloud-delivered protection across endpoints and cloud workloads, identity, and data. It offers threat intelligence, managed security services, IT operations management, threat hunting, Zero Trust identity protection, and log management. The company primarily sells subscriptions to its Falcon platform and cloud modules through its direct sales team that leverages its network of channel partners. It serves customers worldwide. The company was incorporated in 2011 and is based in Austin, Texas.

 

News:

CrowdStrike  just reported it’s second quarter results and beat top and bottom line estimates. CrowdStrike showed  earnings of 36 cents per share from revenue of $535.2 million for the quarter, in which analysts forecasted 28 cents per share with revenue of $516 million. Crowdstrike’s yearly revenue was $2.14 billion against  the forecasted $2.11 billion.

Company executives have forecasted the third quarter revenue will be in the range of $569 million to $575.9 million. The company’s Chief Executive George Kurtz commented on the earnings report, “CrowdStrike delivered a strong second quarter with new milestones across the business”. The Chief Financial Officer  was also very positive on the company’s quarterly results stating.  “CrowdStrike delivered robust growth at scale and exceptional unit economics with over 80% year-over-year growth in operating and free cash flow.”

Most Recent Analyst Ratings for Crowdstrike Stock Forecast:

 

What we like:

High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Superior risk adjusted returns

This stock has performed well, on a risk adjusted basis, compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Superior Revenue Growth

This stock has shown top quartile revenue growth in the previous 5 years compared to its sector.

What we don’t like:

High volatility

The total returns for this company are volatile and above median for its sector over the past 5 years. Make sure you have the risk tolerance for investing in such stock.

Overpriced compared to book value

The stock is trading high compared to its peers median on a price to book value basis.

Overpriced on cashflow basis

The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Highly leveraged

The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.

Negative free cash flow

The company had negative total free cash flow in the most recent four quarters.

Low Earnings Growth

This stock has shown below median earnings growth in the previous 5 years compared to its sector

Disclaimer

Stock Target Advisor is not a broker/dealer, investment advisor, or platform for making stock buying or selling decisions. Our goal is to democratize and simplify financial information through automated analysis, aggregation of stock information, and education to help investors with their research. No content on our site, blogs or newsletters constitutes – or should be understood as constituting – a recommendation to enter into any securities transactions or to engage in any of the investment strategies presented in our site content. We also cannot guarantee the accuracy of any information presented on our site and in our analysis.

Leave a Reply

Your email address will not be published.