TSX runs higher on rate cut expectations
Investing.com - Cantor Fitzgerald has reiterated an Overweight rating and $475.00 price target on CrowdStrike Holdings (NASDAQ:CRWD) following the company’s recent earnings report. The cybersecurity firm, currently trading at $422.61, has delivered an impressive 60% return over the past year, according to InvestingPro data.
Despite CrowdStrike beating expectations, its shares traded down 4% in the aftermarket, likely due to what analysts viewed as conservative guidance metrics. The cybersecurity firm raised its full-year operating income and EPS guidance but only maintained the high end of its previous revenue outlook. With a robust gross profit margin of 74.5% and revenue growth of 26% in the last twelve months, the company maintains strong fundamentals.
Cantor Fitzgerald noted this maintained revenue guidance may have fallen short of more bullish investor expectations. The firm’s analysis indicated that key performance indicators for CrowdStrike remained solid despite the market reaction.
The research firm expressed continued positive sentiment on CrowdStrike’s growing platform adoption, supported by Falcon Flex, ongoing innovation, and strong customer retention rates across its cybersecurity offerings.
Cantor Fitzgerald expects robust second-half fiscal 2026 Annual Recurring Revenue (ARR) growth for CrowdStrike, aided by ongoing industry consolidation tailwinds and easier comparative periods ahead.
In other recent news, CrowdStrike Holdings reported earnings that exceeded expectations, with key metrics surpassing both guidance and analyst estimates. The company recorded a net new annual recurring revenue (NNARR) of $221 million, surpassing the consensus expectations of $206 million. However, analysts have adjusted their price targets on CrowdStrike, reflecting a mixed outlook despite the strong quarterly performance. Rosenblatt Securities lowered its price target to $490, while maintaining a Buy rating, citing conservative guidance. Stifel reiterated a Buy rating with a $495 price target, noting the re-acceleration of NNARR. BMO Capital adjusted its price target to $450, increasing its net new ARR estimates for fiscal years 2026 and 2027. Evercore ISI lowered its target to $405, highlighting a mixed outlook due to guidance concerns. BTIG also reduced its target to $489, maintaining a Buy rating while pointing to mixed signals in the quarterly results.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.