Bernstein SocGen raises CrowdStrike stock price target to $371

Published 04/06/2025, 13:00
© Reuters

On Wednesday, Bernstein SocGen Group analysts raised the price target for CrowdStrike Holdings (NASDAQ:CRWD) stock to $371 from $347, while maintaining an Outperform rating. The adjustment follows CrowdStrike’s first-quarter fiscal year 2026 earnings, which met the midpoint of the company’s guidance but did not exceed expectations. Currently trading at $488.76, near its 52-week high of $491.20, the stock has delivered impressive returns of nearly 43% year-to-date. According to InvestingPro analysis, the stock appears to be trading above its Fair Value, with analyst targets ranging from $321 to $550.

During the earnings call and subsequent discussions, CrowdStrike addressed concerns about potential risks but emphasized its strong demand and anticipated growth acceleration in the second half of the year. The company pointed to positive signals from channel checks and other industry earnings reports as indicators of a rebound in demand in May. This optimism is supported by the company’s robust revenue growth of 26% and strong financial health score, as reported by InvestingPro, which offers 15+ additional insights about CrowdStrike’s performance and outlook in its comprehensive Pro Research Report.

Bernstein SocGen’s revised model accounts for the recent weaker-than-expected first quarter but anticipates a recovery in growth, projecting approximately 116% net revenue retention by the start of fiscal year 2027. The analysts employed a combination of multiples regression and a discounted cash flow model to arrive at the new price target.

The decision to maintain an Outperform rating reflects confidence in CrowdStrike’s ability to capitalize on market demand and achieve growth targets despite recent challenges.

In other recent news, CrowdStrike Holdings announced its fiscal first-quarter 2026 results, showcasing strong annual recurring revenue (ARR) performance, although revenue was slightly below expectations. This has led Stephens to raise its price target for CrowdStrike stock to $540, citing a positive growth outlook. Similarly, Scotiabank (TSX:BNS) increased its price target to $480, maintaining a Sector Perform rating while acknowledging CrowdStrike’s alignment with its guidance and ongoing concerns about market maturity. Meanwhile, BofA Securities downgraded CrowdStrike to neutral, adjusting the price target to $470 due to concerns about valuation despite an anticipated growth acceleration in the second half of the fiscal year. UBS reiterated its Buy rating with a $545 price target, highlighting CrowdStrike’s strong net new ARR and free cash flow performance. Raymond (NSE:RYMD) James also raised its price target to $485, maintaining an Outperform rating, and noted optimism about CrowdStrike’s potential to convert free programs into stable revenue. These developments reflect a mixed sentiment among analysts, with a focus on growth prospects and valuation considerations.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.