Cybersecurity Stocks Are Surging After Palo Alto Earnings: Why These 2 Strategists Agree CrowdStrike Is The Best Name In The Space

Better-than-expected earnings from Palo Alto Networks Inc PANW are driving several cybersecurity stocks higher on Wednesday. A pair of CNBC panelists have identified CrowdStrike Holdings Inc CRWD as the one with the most upside from current levels. 

What To Know: Virtus Investment Partners' Joe Terranova, who used to own Palo Alto shares, made the case for CrowdStrike Wednesday afternoon on CNBC's "Fast Money Halftime Report."

"I think ultimately when you see the turnaround in the market, CrowdStrike because of its high beta nature and its ability to capture market share ... will see the most significant performance gains," Terranova said.

He noted that CrowdStrike, along with Palo Alto and Fortinet Inc FTNT are the names to own in the space, and said he plans to initiate a position in the former sometime soon. 

Related Link: What's Going On With Palo Alto Networks Stock Today?

"I've got my eye on CrowdStrike," he said, adding that he is looking for the right opportunity to enter the stock. 

Ritholtz Wealth Management's Josh Brown is already in the name and he isn't going anywhere soon, he said, citing the company's consistent track record of upside earnings surprises. 

"January of '22 they beat by 48%, April of '22 they beat by 38%, they beat by 32% in July and then in October, the last quarter they reported, they beat by 26.5%," Brown said.

"This is a company that routinely outperforms expectations and expectations are lofty, so it's no mean feat what they've been able to pull off and the way that you do that is with execution," he added.

CrowdStrike is set to report its fourth-quarter results after the market close on March 7. The company has turned in 14 straight quarters of upside earnings surprises, according to data from Benzinga Pro.

"This is a high momentum, high beta stock. You either choose that you are going to live by the sword and die by the sword or you choose not to. I've chosen that I'm willing to accept the volatility here because I think the story has years to play out," Brown said.

See Also: Best Cybersecurity Stocks Right Now

CRWD Price Action: CrowdStrike has a 52-week high of $242 and a 52-week low of $92.25.

At last check, the stock was up 4.38% at $117.41 in the wake of Palo Alto's results.

Photo: Darwin Laganzon from Pixabay.