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On Wednesday, BTIG analysts reiterated their Buy rating and maintained a $520 price target for CrowdStrike Holdings (NASDAQ: NASDAQ:CRWD) stock, which currently trades at $488.76. The reaffirmation comes after CrowdStrike reported solid financial results for the first quarter of fiscal year 2026, showing a robust growth outlook. According to InvestingPro data, the stock has delivered an impressive 60% return over the past year and is trading near its 52-week high of $491.20, though technical indicators suggest the stock may be in overbought territory.
CrowdStrike’s annual recurring revenue (ARR) reached $4.436 billion, marking a 21.6% year-over-year increase. This figure surpassed both BTIG’s estimate of $4.418 billion and the consensus estimate of $4.417 billion. The net ARR additions for the first quarter were $194 million, exceeding the Street’s expectations of $175 million. With a market capitalization of $121.74 billion and revenue growth of 29.39%, CrowdStrike maintains strong momentum. For deeper insights into CrowdStrike’s valuation metrics and growth potential, InvestingPro subscribers can access comprehensive analysis and 15+ additional ProTips.
The cybersecurity firm maintained its fiscal year 2026 revenue outlook at $4.775 billion, reflecting a 21% year-over-year growth. Additionally, CrowdStrike increased its operating income guidance by approximately 2.5%. Analysts noted that while some investors may have anticipated more substantial quarterly gains, the results were commendable given the current macroeconomic environment. The company maintains a healthy financial position with a current ratio of 1.77, indicating strong liquidity, though InvestingPro’s Fair Value analysis suggests the stock may be currently overvalued.
BTIG analysts expressed satisfaction with CrowdStrike’s commentary on expected sequential improvements in net new ARR for the second quarter and anticipated acceleration in the second half of the fiscal year. The firm also highlighted encouraging developments in new product categories, such as Next (LON:NXT) Gen SIEM and Cloud Security.
In summary, BTIG analysts made only minor adjustments to their financial model and continue to support a Buy rating for CrowdStrike stock, maintaining confidence in the company’s growth trajectory and market position.
In other recent news, CrowdStrike Holdings reported a 19.8% year-over-year increase in total revenue for the first quarter, aligning with the midpoint of its guidance. The company’s net new annual recurring revenue (NNARR) reached $194 million, surpassing consensus expectations by $19 million. Despite this, the second-quarter revenue guidance was slightly below market expectations, and the fiscal year 2026 revenue outlook was reiterated. CrowdStrike also announced a $1 billion share buyback program, seen as a strategic move to enhance shareholder value.
Analysts have responded to these developments with varying adjustments to their price targets. Stifel raised its price target to $495, while TD Cowen increased it to $500, both maintaining a Buy rating. RBC Capital went further, raising its target to $510 and maintaining an Outperform rating, citing strong NNARR performance and improved profitability. Meanwhile, Wolfe Research maintained its Peerperform rating, expressing caution over current trading multiples and the need for confidence in growth post-outage. William Blair reiterated an Outperform rating, highlighting management’s optimism for business acceleration in the latter half of the year.
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