Truist Securities reiterates Buy rating on CrowdStrike stock, maintains $500 target

Published 28/08/2025, 15:20
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Investing.com - Truist Securities has reiterated its Buy rating on CrowdStrike Holdings (NASDAQ:CRWD) with a price target of $500.00, citing strong platform demand and successful adoption of the company’s Falcon Flex offering. According to InvestingPro data, the cybersecurity giant, currently trading at $431.17, has delivered an impressive 60% return over the past year, with 31 analysts recently revising their earnings estimates upward.

According to Truist Securities, CrowdStrike reported results that exceeded the high end of guidance across all metrics. The strong performance prompted management to raise its fiscal year 2026 guidance, with expectations that second-half net new annual recurring revenue (NNARR) will grow more than 40% year-over-year. This outlook builds on the company’s robust 26% revenue growth and impressive 74.5% gross profit margin in the last twelve months.

The Falcon Flex program has surpassed expectations, with more than 1,000 customers adopting the service and over 100 customers already "re-flexing," leading to larger deals and vendor consolidation favoring CrowdStrike.

Truist Securities noted that Flex and emerging products now represent more than $1.56 billion in business and are growing at a rate exceeding 40% year-over-year.

The investment firm expects these offerings to drive reacceleration of net new annual recurring revenue in the second half of fiscal year 2026 and beyond, supporting its maintained Buy rating and $500 price target.

In other recent news, CrowdStrike Holdings reported its fiscal second-quarter results, highlighting a record net new annual recurring revenue (NNARR) of $221 million. This figure, however, raised some concerns as it was near the low end of expectations. UBS adjusted its price target for CrowdStrike to $500 from $545, citing these NNARR concerns, while still maintaining a Buy rating. Meanwhile, TD Cowen reiterated its Buy rating with a $500 price target, noting the 1% year-over-year increase in NNARR as a sign of strong growth.

RBC Capital also maintained an Outperform rating with a price target of $510, pointing to CrowdStrike’s favorable annual recurring revenue (ARR) outlook. KeyBanc echoed positive sentiment, keeping an Overweight rating and a $495 price target, after CrowdStrike exceeded expectations on ARR by $15 million and delivered upside on revenue and margins. On a different note, Bernstein lowered its price target to $343, maintaining a Market Perform rating due to underwhelming guidance and a decline in subscription growth to 20.1%. These developments come as the company prepares to navigate the effects of its July 2023 outage.

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