CrowdStrike Shares Slip Despite Earnings Beat, Strong Outlook: The Details

CrowdStrike Holdings Inc CRWD shares are trading lower in Wednesday's after-hours session in the wake of the company's first-quarter earnings report.

• Q1 Revenue: $692.58 million beat estimates of $677.37 million
• Q1 EPS: 57 cents beat estimates of 51 cents

"CrowdStrike's first quarter results exceeded our guided metrics and reached new financial milestones, delivering the winning combination of growth, profitability and free cash flow at scale," said George Kurtz, co-founder, president and CEO of CrowdStrike.

"Our demonstrated leadership in leveraging AI to drive better security outcomes and consolidate security spend strategically positions CrowdStrike to win in our markets."

Outlook: CrowdStrike sees second-quarter revenue in the range of $717.2 million to $727.4 million versus estimates of $718.9 million. The company also anticipates earnings between 54 and 57 cents per share versus estimates of 54 cents per share.

For full-year 2024, CrowdStrike expects revenue will come in between $3 billion and $3.037 billion, versus estimates of $3 billion. The company also anticipates earnings of $2.32 to $2.43 per share versus estimates of $2.32 per share.

Although the company delivered better-than-expected results and issued strong guidance, the stock may be reacting negatively due to elevated expectations stemming from the recent surge in shares. CRWD shares are up more than 35% over the last month.

See Also: Salesforce Shares Are Sliding After The Bell: What's Going On?

CRWD Price Action: CrowdStrike shares were down 11.6% after hours at $141.35 at the time of writing, per Benzinga Pro.

Photo: Kris from Pixabay.