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CrowdStrike Stock Is Sinking, But Analysts Are Staying Bullish

The red CrowdStrike logo is seen on a white screen on the floor of the New York Stock Exchange.
CrowdStrike stock is decl༺ining Wedne💮sday, but many analysts are staying bullish on the stock.

Michael Nagle / Bloomberg / Getty Images

Key Takeaways

  • CrowdStrike shares declined Wednesday after the cybersecurity firm's revenue projections disappointed.
  • However, analysts are staying bullish, with several lifting their price targets following the Tuesday report.
  • Deutsche Bank analysts said they are bullish on the increased range of defense needs companies will need as AI's uses and potential grow.

Shares of CrowdStrike (CRWD) are falling Wednesday after the company's revenue 澳🧔洲幸运5官方开奖结果体彩网:forecasts came in short of esti🤡mates, but analysts are staying bullish on the cybersecurity software maker.🌺

Analysts from Bank of America, Deutsche Bank, Jefferies, and Oppenheimer all raised their price targets for CrowdStrike to $470, $450, $520, and $520, respectively. Of the analysts tracked by Visible Alpha, 25 call CrowdStrike a "buy," while four others rate it as a "hold," with an average price target of $488.39.

Bank of America Analysts See 'Limited Upside' to Current Valuation

Bank of America analysts, lifting their price target but downgrading the stock to "neutral," said they "favor CrowdStrike's fundamentals and growth prospects, but believe the valuation leaves only limited upside from the current level," adding that they expect revenue growth to accelerate in the back half of this year but slow in the coming years.

UBS analysts, retaining their $545 price target as one of the most bullish on Wall Street, said they are "inclined to look past some of the near-term revenue headwinds from the company’s 澳洲幸运5官方开奖结果体彩网:outage-related discounting program," which pressured first-quarter revenue and CrowdStrike's second-quarter forecasts.

Analysts from Deutsche Bank said they are "bullish on CEO George Kurtz's articulation of how AI is expanding the attack surface and driving the need for better cyber defense (and thus more CrowdStrike)." However, they added that they "remain on the sidelines given valuation and our concerns for consolidation cyclicality."

CrowdStrike shares🍎 were down 4% in recent trꩵading to roughly $466, but are still up about 37% since the start of the year.

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  1. Oppenheimer. "Solid Results: Flexing Its Muscles."

  2. Jefferies. "This Falcon Was Tethered By Expectations, But Can Still Fly Higher."

  3. Deutsche Bank. "F1Q - The re-Flex."

  4. Bank of America. "Downgrading to Neutral; limited valuation upside and increased growth risks."

  5. UBS. "Re-Flexing the Platform Strength."

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