Piper Sandler raises CrowdStrike stock price target on growth outlook

Published 04/06/2025, 14:18
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On Wednesday, Piper Sandler analysts raised the price target for CrowdStrike Holdings (NASDAQ:CRWD) stock to $505 from $400, maintaining an Overweight rating. The stock, currently trading at $488.76 and up nearly 43% year-to-date according to InvestingPro data, reflects strong investor confidence. The analysts expressed confidence in CrowdStrike’s growth prospects, citing an acceleration in outlook despite first-quarter results not aligning with recent stock performance.

The analysts noted that while first-quarter revenue was affected by partner programs and accounting treatment, forward-looking metrics such as annual recurring revenue and free cash flow margin showed improvement. With a robust gross margin of 74.5% and revenue growth of 26% over the last twelve months, the company’s financial metrics support its market position. They highlighted the company’s continued leadership and momentum, along with growth opportunities that support a positive outlook.

CrowdStrike’s traction with its Flex (NASDAQ:FLEX) program was mentioned as a factor that could aid in accelerating the company’s consolidation momentum in the coming years. The analysts acknowledged the company’s valuation but emphasized its unique position in the software industry due to its scale, potential for reacceleration, and margin expansion.

The report underscored strong execution by CrowdStrike in a challenging environment, reinforcing Piper Sandler’s decision to maintain an Overweight rating alongside the increased price target.

In other recent news, CrowdStrike Holdings reported strong first-quarter 2026 results, surpassing analyst expectations for annual recurring revenue, earnings per share, and free cash flow. The company raised its full-year guidance for operating income and EPS, although it kept its revenue outlook unchanged. In addition to earnings, CrowdStrike achieved a significant milestone by surpassing $1 billion in total sales through its partnership with GuidePoint Security. This collaboration highlights the growing demand for advanced cybersecurity solutions.

Cantor Fitzgerald maintained an Overweight rating on CrowdStrike, with a price target of $475, citing strong platform adoption and innovation. Meanwhile, Susquehanna raised its price target to $530, expressing confidence in CrowdStrike’s strategic direction and growth potential. Bernstein SocGen also adjusted its price target to $371, maintaining an Outperform rating, while Stephens increased its target to $540, highlighting CrowdStrike’s robust annual recurring revenue performance. These developments underscore the company’s strong position and growth prospects in the cybersecurity industry.

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