CrowdStrike stock rating reiterated at Market Outperform by Citizens JMP

Published 28/07/2025, 09:56
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Investing.com - Citizens JMP analyst Trevor Walsh has reiterated a Market Outperform rating on CrowdStrike Holdings (NASDAQ:CRWD) with a price target of $500.00. This aligns with the broader analyst sentiment, as 31 analysts have recently revised their earnings estimates upward, with price targets ranging from $330 to $610.

The reiteration comes as the cybersecurity company continues to maintain its strong position in endpoint protection, which is becoming increasingly relevant in the context of AI security. The company’s market leadership is reflected in its impressive 25.94% revenue growth and an 82.67% stock return over the past year.

In his analysis, Walsh referenced feedback from a product security leader who expressed confidence in CrowdStrike’s capabilities, stating, "I’ve already got CrowdStrike on the endpoint, so I’m not too worried about access or controls for AI at the user level."

This customer feedback highlights CrowdStrike’s perceived effectiveness in addressing security concerns related to artificial intelligence at the endpoint level, which represents a growing area of focus in the cybersecurity industry.

The $500.00 price target suggests potential upside for CrowdStrike shares based on the company’s market position in endpoint security and its relevance to emerging AI security requirements. According to InvestingPro, the company maintains a "FAIR" overall financial health score, with particularly strong momentum metrics. For deeper insights into CrowdStrike’s valuation and growth prospects, access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers.

In other recent news, CrowdStrike Holdings, Inc. has had its outlook raised to positive by Moody’s Ratings. The agency affirmed CrowdStrike’s Baa3 senior unsecured rating, highlighting the company’s strong competitive position in the cybersecurity market. Moody’s anticipates that CrowdStrike’s subscription revenue growth will accelerate from approximately 20% in the first half of fiscal year ending January 2026 to 23% in fiscal year 2027, with increased profitability expected to drive strong free cash flow growth. Meanwhile, Macquarie has initiated coverage on CrowdStrike with a Neutral rating, expressing confidence in the company’s innovation-focused product strategy. This strategy is noted to potentially drive top-line momentum and competitive differentiation. Additionally, CrowdStrike announced an expanded partnership with Amazon (NASDAQ:AMZN) Web Services (AWS), introducing new AI security offerings in the AWS Marketplace. The collaboration includes making its falcon-mcp server and AI Red Team Services available in the new AI Agents and Tools category. On another front, Morgan Stanley (NYSE:MS) downgraded CrowdStrike from Overweight to Equalweight, citing valuation concerns, though it slightly raised the price target to $495.00. Despite the downgrade, Morgan Stanley remains confident in CrowdStrike’s long-term growth potential.

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