BofA update shows where active managers are putting money
Investing.com - CrowdStrike Holdings (NASDAQ:CRWD) received a reiterated Buy rating and $495.00 price target from Stifel following its fiscal second-quarter 2026 results. According to InvestingPro data, the stock has delivered an impressive 60% return over the past year, with analyst targets ranging from $330 to $610. Based on InvestingPro’s Fair Value analysis, the stock appears to be trading at premium valuations.
The cybersecurity company delivered better-than-expected performance with key metrics exceeding guidance and analyst estimates. Net new annual recurring revenue (NNARR) reached $221 million, surpassing consensus expectations of $206 million and achieving re-acceleration one quarter ahead of expectations. The company maintains strong fundamentals with revenue growing at 26% year-over-year to $4.1 billion and a healthy gross profit margin of 74.5%.
CrowdStrike demonstrated continued strength across its platform, particularly with Flex deals and emerging areas including Cloud, Identity, SIEM, and Exposure Management, according to Stifel’s analysis.
Despite initially trading down over 7.5% due to a softer-than-expected fiscal third-quarter revenue guidance, shares partially recovered during the earnings call when management provided optimistic forecasts. These included high-single-digit quarter-over-quarter NNARR growth for fiscal Q3, at least 40% year-over-year NNARR growth for the second half of fiscal 2026, and annual recurring revenue growth exceeding 22% year-over-year for the full fiscal year.
Stifel noted that CrowdStrike reaffirmed its midterm targets for fiscal years 2029 and 2031, with investor attention now shifting to the upcoming Fal.Con user conference and investor briefing in the coming weeks. InvestingPro subscribers can access 12 additional ProTips and a comprehensive analysis of CrowdStrike’s financial health, growth prospects, and valuation metrics in the exclusive Pro Research Report, available for over 1,400 US stocks.
In other recent news, CrowdStrike Holdings reported its second-quarter fiscal 2026 earnings, with revenues reaching $1,169.0 million, surpassing both Citizens JMP’s projection of $1,151.2 million and the consensus estimate of $1,149.6 million. The company’s earnings per share stood at $0.93, exceeding Citizens JMP’s estimate of $0.83 and the consensus forecast. Despite these positive results, several analyst firms have adjusted their price targets for CrowdStrike. Goldman Sachs lowered its price target from $530 to $492, maintaining a Buy rating, citing a 10% beat in net new annual recurring revenue and a 2% revenue exceedance. BTIG also reduced its target from $520 to $489, keeping a Buy rating, highlighting mixed signals in the quarterly results. Evercore ISI adjusted its target to $405 from $425, maintaining an "In Line" rating, due to a miss in net new annual recurring revenue expectations. BMO Capital revised its target to $450 from $460, keeping an Outperform rating, after increasing its net new Annual Recurring Revenue estimates for future fiscal years. These developments reflect a cautious yet optimistic outlook from analysts following the earnings report.
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