Back to top

Image: Bigstock

CrowdStrike Holdings (CRWD) Outpaces Stock Market Gains: What You Should Know

Read MoreHide Full Article

CrowdStrike Holdings (CRWD - Free Report) closed at $215.20 in the latest trading session, marking a +0.99% move from the prior day. This move outpaced the S&P 500's daily gain of 0.36%.

Heading into today, shares of the cloud-based security company had gained 0.08% over the past month, lagging the Computer and Technology sector's gain of 9.06% and the S&P 500's gain of 5.21% in that time.

CRWD will be looking to display strength as it nears its next earnings release. In that report, analysts expect CRWD to post earnings of $0.06 per share. This would mark year-over-year growth of 200%. Meanwhile, our latest consensus estimate is calling for revenue of $292.19 million, up 64.08% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $0.30 per share and revenue of $1.32 billion, which would represent changes of +11.11% and +51%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for CRWD. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 82.52% lower within the past month. CRWD currently has a Zacks Rank of #4 (Sell).

Valuation is also important, so investors should note that CRWD has a Forward P/E ratio of 691.69 right now. For comparison, its industry has an average Forward P/E of 76.29, which means CRWD is trading at a premium to the group.

We can also see that CRWD currently has a PEG ratio of 27.67. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Internet - Software was holding an average PEG ratio of 4.11 at yesterday's closing price.

The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 207, putting it in the bottom 19% 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.

Be sure to follow all of these stock-moving metrics, and many more, on 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