Jim Cramer Weighs In On CrowdStrike Following Strong Q3 Earnings

CrowdStrike Holdings CRWD is trading relatively flat Thursday morning despite announcing strong fiscal third-quarter 2022 financial results.

What Happened: CrowdStrike reported adjusted quarterly earnings of 17 cents per share, which beat the estimate of 10 cents per share. The company reported quarterly revenue of $380.1 million, which beat the estimate of $363.53 million.

CrowdStrike said it expects fiscal fourth-quarter earnings to be in a range of 19 cents to 21 cents per share versus the estimate of 16 cents per share. The company expects revenue to be in a range $406.5 million to $412.3 million versus the estimate of $400 million.

Why It Matters: Jim Cramer thinks the stock should be trading much higher than where it is.

"They crushed it and the stock is getting crushed," Cramer said on CNBC's "Squawk On The Street."

Analysts cut their price targets following earnings and Cramer thinks it's because of comments from Fed chair Jerome Powell.

"Why are they cutting it? Because of Powell," Cramer said. "People decided high multiple has to go."

See Also: Looking At CrowdStrike Holdings's Recent Whale Trades

Goldman Sachs maintained CrowdStrike with a Neutral rating and lowered the price target from $305 to $270.

Morgan Stanley analyst Hamza Fodderwala maintained CrowdStrike with an Underweight rating and lowered the price target from $247 to $225.

Powell said inflation is likely to persist well into 2022 and that the Fed could potentially start tapering off its purchases of government bonds a few months sooner than previously expected.

"CrowdStrike's quarter was great," Cramer said. "Three months ago, pre-Powell, pre-worries, CrowdStrike would be up 10%."

CrowdStrike CEO George Kurtz will appear on "Mad Money" with Cramer Thursday night. 

CRWD Price Action: CrowdStrike has traded as high as $298.48 and as low as $138.24 over a 52-week period.

The stock was up 0.82% at $203.23 at time of publication.

Photo: Owen Byrne from Flickr.