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Investing.com - KeyBanc has reiterated an Overweight rating on CrowdStrike Holdings (NASDAQ:CRWD) with a price target of $495.00, following the company’s fiscal second-quarter results. According to InvestingPro data, 31 analysts have revised their earnings upwards, with the stock delivering an impressive 60% return over the past year. Current analysis suggests the stock is trading above its Fair Value.
CrowdStrike reported a solid beat on Annual Recurring Revenue (ARR) by $15 million, though this was below the trailing twelve-month average beat of $23 million. The company also delivered upside on revenue and margins for the quarter, maintaining a robust gross profit margin of 74.5%. With a market capitalization of $105.6 billion and revenue growth of 26% year-over-year, CrowdStrike continues to demonstrate strong market momentum. Get deeper insights into CrowdStrike’s performance metrics and 12 additional ProTips with InvestingPro.
Management raised its fiscal year 2026 ARR guidance to more than 22% growth, with Net New ARR (NNARR) expected to grow over 40% in the second half of fiscal 2026. The revenue guidance for fiscal 2026 was raised by only $3 million following a $21 million second-quarter beat versus guidance, which KeyBanc suggests may reflect incremental headwinds from increased rebates.
Falcon Flex continued to show strength, now exceeding 1,000 customers with average utilization above 75%. More than 100 customers have now "Re-Flexed," up from 39 last quarter, with an average ARR uplift of approximately 50%.
The company’s emerging products maintained strong momentum, with Security Information and Event Management (SIEM) reaching $430 million (over 95% year-over-year growth), Identity at $435 million (over 21% year-over-year), and Cloud at $700 million (over 35% year-over-year).
In other recent news, CrowdStrike Holdings reported its fiscal second-quarter 2026 results, showcasing a year-over-year subscription growth decline to 20.1%, just before the company begins to address the effects of its July 2023 outage. Despite the mixed earnings report, CrowdStrike exceeded expectations in several key metrics, with net new annual recurring revenue reaching $221 million, surpassing consensus expectations. This performance led to various analyst reactions, with Cantor Fitzgerald maintaining a $475 price target and an Overweight rating, citing the company’s raised full-year operating income and EPS guidance.
Rosenblatt Securities adjusted its price target to $490, noting the conservative guidance that accompanied the otherwise strong quarterly results. Similarly, Stifel reiterated a Buy rating and set a price target of $495, highlighting the better-than-expected performance. On the other hand, Bernstein lowered its price target to $343, maintaining a Market Perform rating due to the underwhelming guidance. BMO Capital also adjusted its price target to $450, maintaining an Outperform rating while increasing net new Annual Recurring Revenue estimates for the coming fiscal years. These developments reflect a range of perspectives from analysts on CrowdStrike’s recent performance and future outlook.
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