CrowdStrike Stock is Trading Higher Wednesday: What's Going On?

CrowdStrike Holdings Inc CRWD shares are trading higher Wednesday in the wake of the company's quarterly results. Several analysts also raised price targets following the print.

What Happened: CrowdStrike reported third-quarter financial results Tuesday after the close. The cybersecurity company said third-quarter revenue increased 35% year-over-year to $786 million, which beat the consensus estimate of $777.13 million, according to Benzinga Pro. 

CrowdStrike reported quarterly earnings of 82 cents per share, which beat analyst estimates of 74 cents per share.

New ARR was $223 million and the company ended the quarter with ARR of more than $3 billion, up 35% year-over-year. 

"CrowdStrike's record third quarter exceeded expectations, delivering new milestones across the business: net new ARR growth accelerated to a record $223 million and ending ARR surpassed $3 billion, making CrowdStrike the fastest and only pure play cybersecurity software vendor in history to achieve this milestone," said George Kurtz, co-founder, president and CEO of CrowdStrike. 

Guidance: CrowdStrike sees fourth-quarter revenue of $836.6 million to $840 million versus estimates of $836.71 million. The company expects full-year revenue to be between $3.047 billion and $3.05 billion versus estimates of $3.04 billion.

CrowdStrike anticipates fourth-quarter earnings of 81 cents to 82 cents per share versus estimates of 78 cents per share. The company sees full-year earnings in the range of $2.95 to $2.96 per share versus estimates of $2.83 per share.

See Also: Bill Ackman Bets On Potential Fed Interest Rate Cut As Soon As Q1 Next Year

Analyst Changes: 

• Keybanc analyst Eric Heath maintained CrowdStrike with an Overweight and raised the price target from $240 to $245.
• Barclays analyst Saket Kalia maintained CrowdStrike with an Overweight and raised the price target from $225 to $240.
• Needham analyst Alex Henderson maintained CrowdStrike with a Buy and raised the price target from $245 to $250.
• Rosenblatt analyst Catharine Trebnick maintained CrowdStrike with a Buy and raised the price target from $200 to $245.
• JP Morgan analyst Brian Essex maintained CrowdStrike with an Overweight and raised the price target from $210 to $230.
• Oppenheimer analyst Ittai Kidron maintained CrowdStrike with an Outperform and raised the price target from $215 to $240.

CRWD Price Action: CrowdStrike shares were down 1.17% after hours at $209.87 at the time of writing, according to Benzinga Pro.

Photo: B_A from Pixabay.