1 Unstoppable Artificial Intelligence (AI) Stock That Could Soar 325% by 2036

Core Insights - CrowdStrike has presented a long-term revenue forecast indicating a potential 325% increase in its stock by 2036, driven by its AI-powered cybersecurity solutions [3][10]. - The company’s Falcon platform integrates 30 modules for comprehensive cybersecurity, addressing the fragmented nature of the industry [1][2]. Industry Trends - The cybersecurity landscape is evolving with the rise of agentic AI, which is creating new vulnerabilities for organizations, necessitating advanced security measures [5][6]. - The use of AI in cybersecurity is becoming critical as it automates threat detection and incident response, making it suitable for both small and large enterprises [2][5]. Company Developments - CrowdStrike launched Falcon Next-Gen Identity Security to protect both human and digital identities, utilizing a zero standing privileges approach to limit access [8][9]. - The company estimates that the agentic AI segment alone could represent a $150 billion opportunity within the cybersecurity market [10]. Financial Projections - CrowdStrike anticipates its annual recurring revenue (ARR) could reach $20 billion by fiscal 2036, up from $4.7 billion today, reflecting a compound annual growth rate of 14.1% [10][14]. - The current price-to-sales (P/S) ratio of CrowdStrike is 28.6, making it the most expensive stock in the cybersecurity sector, which may limit short-term upside potential [11][14]. Investment Considerations - While the projected growth is significant, there are concerns about the sustainability of CrowdStrike's high P/S ratio given the anticipated slowdown in revenue growth compared to previous years [14][15]. - If the company’s revenue growth decelerates, it could lead to a lower P/S ratio, impacting investor returns over the next several years [15][17].