Back to top

Image: Bigstock

CrowdStrike Holdings (CRWD) Dips More Than Broader Markets: What You Should Know

Read MoreHide Full Article

CrowdStrike Holdings (CRWD - Free Report) closed at $145.36 in the latest trading session, marking a -1.64% move from the prior day. This change lagged the S&P 500's 0.15% loss on the day. Meanwhile, the Dow lost 0.07%, and the Nasdaq, a tech-heavy index, lost 0.47%.

Coming into today, shares of the cloud-based security company had gained 12.69% in the past month. In that same time, the Computer and Technology sector gained 6.24%, while the S&P 500 gained 3.19%.

Wall Street will be looking for positivity from CRWD as it approaches its next earnings report date. The company is expected to report EPS of $0, up 100% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $213.74 million, up 70.83% from the year-ago period.

CRWD's full-year Zacks Consensus Estimates are calling for earnings of $0.06 per share and revenue of $822.01 million. These results would represent year-over-year changes of +114.29% and +70.75%, respectively.

Investors should also note any recent changes to analyst estimates for CRWD. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. CRWD currently has a Zacks Rank of #3 (Hold).

In terms of valuation, CRWD is currently trading at a Forward P/E ratio of 2333.53. This valuation marks a premium compared to its industry's average Forward P/E of 89.96.

We can also see that CRWD currently has a PEG ratio of 93.34. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. CRWD's industry had an average PEG ratio of 6.63 as of yesterday's close.

The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 167, which puts it in the bottom 34% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow CRWD in the coming trading sessions, be sure to utilize Zacks.com.


In-Depth Zacks Research for the Tickers Above


Normally $25 each - click below to receive one report FREE:


CrowdStrike Holdings Inc. (CRWD) - free report >>

Published in