CrowdStrike Holdings (CRWD) AI Stock Analysis

• Market Cap: $107.42B
• Dividend Yield: N/A
• Average Volume (3M): 3.20M
• Price to Earnings (P/E): 721.6
• Beta (1Y): 1.89
• Revenue Growth: 23.46%
• EPS Growth: -270.07%
• Country: US
• Employees: 10,118
• Sector: Technology
• Sector Strength: 84
• Industry: Software - Infrastructure
• EPS (TTM): 0.93
• Shares Outstanding: 250,955,140
• 10 Day Avg. Volume: 4,342,114
• 30 Day Avg. Volume: 3,201,948
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.02
• Enterprise Value/Revenue: 25.22
• Enterprise Value/Gross Profit: 34.08
• Enterprise Value/Ebitda: 2.07K
• 1Y Price Target: $481.83
• Price Target Upside: 13.77% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 39

• Rating: 67 Neutral
• Price Target: $463.00 ▲(9.32% Upside)

CrowdStrike's strong earnings call performance and robust cash flow generation are significant positives, driving the overall score. However, challenges in achieving profitability and negative valuation metrics weigh down the score. Technical indicators suggest potential short-term stability but longer-term caution.

Positive Factors

Market Potential

CRWD estimates its Total Addressable Market (TAM) at $116B, growing to $250B by CY29.

Product Performance

The company is seeing strong performance in newer areas, including next-gen SIEM, which grew 95% YoY.

Revenue and Growth

Net new ARR grew about 2% y/y compared to contractions in the past three quarters, and on a sequential basis, net new ARR grew 14% q/q compared to the past three July quarters’ average growth rate of about 10% q/q.

Negative Factors

Earnings Guidance

3Q and 4Q revenue guidance missed Street expectations by 210bps and 80bps, respectively.

Growth Challenges

Despite the re-acceleration in net-new ARR, both subscription revenues and ARR growth have declined on a year-over-year basis.

Valuation Concerns

There is a rich valuation, with the stock trading at 90x and 18x 2027 PE and EV/sales, respectively.

CrowdStrike Holdings Business Overview & Revenue Model

Company Description

CrowdStrike Holdings, Inc. is a leading cybersecurity technology company that specializes in endpoint protection, threat intelligence, and incident response. Founded in 2011 and headquartered in Sunnyvale, California, CrowdStrike operates primarily in the cybersecurity sector, providing innovative solutions that leverage cloud-native architecture and artificial intelligence to protect organizations from cyber threats. Its flagship product, the Falcon platform, offers a range of services including endpoint detection and response (EDR), managed threat hunting, and vulnerability management, catering to businesses of all sizes across various industries.

How the Company Makes Money

CrowdStrike generates revenue primarily through a subscription-based model, offering its Falcon platform as a cloud-based service. Customers pay for annual subscriptions that vary based on the number of endpoints protected and the specific features selected, creating a recurring revenue stream. Key revenue streams include subscription fees for endpoint protection services, add-on services like threat intelligence and IT hygiene, and professional services for incident response. The company has also established significant partnerships with major technology providers and system integrators, which enhance its market reach and drive additional revenue growth through collaborative solutions.

CrowdStrike Holdings Financial Statement Overview

Summary

CrowdStrike Holdings demonstrates strong revenue growth and efficient cost management, evidenced by a high gross profit margin of 74%. However, the company faces challenges in achieving profitability, with negative net profit and EBIT margins. The balance sheet shows a healthy capital structure with low leverage, and cash flow metrics indicate strong cash generation capabilities.

Income Statement

CrowdStrike Holdings shows a strong gross profit margin of approximately 74% in TTM, indicating efficient cost management. However, the company is still operating at a net loss, with a negative net profit margin of -6.84% in TTM. Revenue growth is positive at 4.96% in TTM, but the growth rate has slowed compared to previous years. The EBIT and EBITDA margins are negative, reflecting ongoing operational challenges.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.22 in TTM, indicating a relatively low level of leverage compared to previous years. However, the return on equity remains negative, suggesting that the company is not yet generating positive returns for shareholders. The equity ratio is stable, reflecting a solid capital structure.

Cash Flow

CrowdStrike's cash flow position is strong, with a positive free cash flow growth rate of 4.57% in TTM. The operating cash flow to net income ratio is healthy, indicating strong cash generation relative to net income. The free cash flow to net income ratio is also robust, suggesting effective cash management despite net losses.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.34B	3.95B	3.06B	2.24B	1.45B	874.44M
Gross Profit	3.21B	2.96B	2.30B	1.64B	1.07B	644.89M
EBITDA	53.01M	294.80M	293.83M	-40.75M	-65.98M	-46.17M
Net Income	-296.99M	-19.27M	89.33M	-183.25M	-234.80M	-92.63M
Balance Sheet
Total Assets	9.29B	8.70B	6.65B	5.03B	3.62B	2.73B
Cash, Cash Equivalents and Short-Term Investments	4.97B	4.32B	3.47B	2.71B	2.00B	1.92B
Total Debt	810.53M	788.90M	792.87M	783.62M	774.72M	778.99M
Total Liabilities	5.49B	5.38B	4.31B	3.54B	2.58B	1.86B
Stockholders Equity	3.76B	3.28B	2.30B	1.46B	1.03B	870.57M
Cash Flow
Free Cash Flow	1.07B	1.07B	929.10M	674.57M	441.10M	292.72M
Operating Cash Flow	1.39B	1.38B	1.17B	941.01M	574.78M	356.57M
Investing Cash Flow	-581.21M	-536.59M	-340.65M	-556.66M	-564.52M	495.43M
Financing Cash Flow	123.55M	107.21M	93.16M	77.44M	72.53M	800.13M

CrowdStrike Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 423.51
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CRWD, the sentiment is Positive. The current price of 423.51 is above the 20-day moving average (MA) of 422.62, below the 50-day MA of 451.85, and above the 200-day MA of 411.19, indicating a neutral trend. The MACD of -7.53 indicates Negative momentum. The RSI at 46.17 is Neutral, neither overbought nor oversold. The STOCH value of 45.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CRWD.

CrowdStrike Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PANW	80 Outperform	$130.07B	123.35	17.45%	―	14.87%	-57.43%
NET	70 Neutral	$74.72B	―	-11.04%	―	27.32%	-11.94%
FTNT	67 Neutral	$60.40B	32.07	165.17%	―	14.46%	48.06%
ZS	67 Neutral	$42.69B	―	-2.70%	―	23.31%	31.04%
CRWD	67 Neutral	$107.42B	721.64	-8.99%	―	23.46%	-270.07%
S	65 Neutral	$6.15B	―	-27.34%	―	25.39%	-42.90%
Sector *	61 Neutral	$35.83B	9.00	-10.39%	1.87%	8.46%	-7.85%

CrowdStrike Holdings Corporate Events

CrowdStrike Holds Annual Meeting, Elects New Directors

On June 18, 2025, CrowdStrike Holdings, Inc. held its Annual Meeting of Stockholders where two key proposals were voted on. The election of Class III Directors saw the appointment of Cary J. Davis, George Kurtz, and Laura J. Schumacher to serve until 2028. Additionally, the selection of PricewaterhouseCoopers LLP as the independent registered public accounting firm for the fiscal year ending January 31, 2026, was ratified. These decisions are expected to impact the company’s governance and financial oversight positively.