| | 1737 | | 407.69 | | --- | --- | --- | --- | | ROOKIng Holdings | 1735 | -0.17% | 5332.8 | | (Booking.com) | | | | | DD Holdings (Pinduoduo) | 1692 | -0.47% | 119.24 | | 德州仪器 | 1601 | 2.17% | 176.3 | | 高通 | 1596 | + -1.35% | 145.38 | | S 索尼 | 1540 | 1 0.79% | 25.53 | | Schneider Electric | 1431 | 1.82% | 252 | | arm Arm Holdings | 1344 | -1.62% | 127.18 | | Spotify | 1340 | 2.68% | 653.82 | | Shopify | 1302 | .72% | 101.51 | | 22 自动数据处理 | 1303 | -0.17% | 321.09 | | MercadoLibre | 1271 | -3.77% | 2507.83 ...

When equities, in general, have been all over the place this year, CrowdStrike Holdings, Inc. ( CRWD ) , which is amongst the top 3 largest cybersecurity stocks in the world, hasAnalyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no busi ...

Industry Overview - Cybersecurity spending is projected to increase by 15% in 2025, driven by evolving threats, particularly from generative artificial intelligence applications [2] - The need for cybersecurity is expected to grow significantly in the coming years, necessitating businesses to invest more in this area [2] Company Analysis CrowdStrike - CrowdStrike is recognized as a leading player in cloud-based cybersecurity, with an annualized recurring revenue (ARR) of $4.2 billion, reflecting a 23% increase from the previous fiscal year [5] - The company offers a subscription platform composed of 29 software modules, allowing customers to customize their cybersecurity solutions [6] - The introduction of Falcon Flex aims to encourage customers to experiment with more modules, which is crucial for long-term growth, as only 21% of customers currently use eight or more modules [7][8] Rubrik - Rubrik, a newer entrant in the cybersecurity market, reported an ARR of over $1 billion, marking a 39% increase [11] - The company focuses on providing secure solutions for data recovery and preparation against attacks, complementing the offerings of companies like CrowdStrike [10] - Rubrik has recently begun generating positive free cash flow, indicating operational efficiency and potential for scaling [12] Palo Alto Networks - Palo Alto Networks offers a comprehensive range of hardware and software solutions, with a strong focus on acquisitions to enhance its product portfolio [13][14] - The company reported a 34% year-over-year growth in ARR for Next-Generation Security, reaching over $5 billion, and a 19% increase in remaining performance obligations to $13.5 billion [15] - The outlook for Palo Alto Networks remains strong, making it a significant player in the cybersecurity sector [15] Valuation Insights - The valuation of Rubrik is considerably lower than that of CrowdStrike, while being comparable to Palo Alto Networks, suggesting potential for higher growth rates for Rubrik due to its smaller size [16] - Rubrik is considered riskier due to its newcomer status, but it may offer better long-term value for investors willing to take on that risk [17]

Core Insights - The market has experienced a V-shaped recovery, with sectors like battery tech, utilities, AI infrastructure, and particularly cybersecurity showing strong performance [1] - CrowdStrike Holdings Inc. (CRWD) is highlighted as a key player in the cybersecurity sector, with a year-to-date increase of 29% and trading close to its 52-week highs [2][6] Company Performance - CrowdStrike's stock is currently priced at $436.38, with a P/E ratio of 855.57 and a price target of $403.56, indicating a potential downside of 7.62% from current levels [2][10] - The company is expected to report earnings on June 3, with previous earnings showing an EPS of $1.04, surpassing estimates, and a revenue increase of 31.7% year-over-year to $963.87 million [8] Technical Analysis - CrowdStrike's stock is forming a bullish chart pattern known as a bull flag, consolidating below key resistance at $450, which could signal a breakout if it surpasses this level on high volume [3][4][6] - The stock is trading above rising key moving averages, indicating strength, with support established around the $420 zone [4] Institutional Interest - Institutional investors have shown strong confidence in CrowdStrike, with $12.4 billion in inflows over the past 12 months, resulting in a net inflow of $5.7 billion [10][11] - Currently, 71.16% of CrowdStrike's shares are held by institutions, reflecting growing institutional interest despite valuation concerns [11] Analyst Sentiment - Analysts maintain a Moderate Buy consensus on CrowdStrike, with an average price target of $403.56, suggesting the stock may be overextended in the short term [12] - Despite the high valuation, analysts remain optimistic about CrowdStrike's long-term potential, indicating a cautious outlook [12]

| 亚德诺 | 1113 | -0.02% | 224.49 | | --- | --- | --- | --- | | CrowdStrike | 1101 | -0.47% | 442.25 | | N 美光科技 | 1096 | -0.56% | 98.1 | | 拉姆研究 | 1078 | 1 0.56% | 84.29 | | 美团 美团 | 1066 | 1 0.15% | 17.45 | | Keyence | 1054 | -0.71% | 434.77 | | 科雷 | 1045 | 1 0.42% | 790.29 | | SK Hynix 110 | 1000 | + -0.5% | 144.96 | | sed Sea Limited | del | -0.19% | 162.41 | | intel 英特尔 | 927 | 0.51% | 21.27 | | 任天堂 | 920 | -1.47% | 1 78.82 | | 费哲金融服务 | 919 | + -1.93% | 165.87 | | 铿腾电子 cadence | 875 | 1 0.08% | 320.55 | | DO ...

Group 1: Company Performance - CrowdStrike has seen a stock return of 25.4% over the past six months, outperforming the Zacks Security industry's growth of 13% [1] - Subscription revenues increased by 27% year-over-year, surpassing $1 billion in quarterly revenues in Q4 of fiscal 2025 [4] - The Falcon Flex Subscription Model has contributed to revenue growth by allowing customers to commit upfront and choose modules later, reducing procurement friction [4] Group 2: Customer Adoption and AI Integration - As of January 31, 2025, 67% of CrowdStrike's subscription customers adopted five or more cloud modules, with 48% using six or more, and 32% using seven or more [5] - The Falcon platform is gaining traction as an "AI-native SOC," with strong adoption in various AI-related functionalities [5] - CrowdStrike has integrated its Falcon platform with NVIDIA's Enterprise AI Factory to enhance security for AI systems and partnered with Extrahop to address shadow AI concerns [6] Group 3: Challenges and Investigations - The company is facing negative customer sentiment following a global IT outage incident on July 19, 2024, leading to the implementation of a Customer Commitment Package [7] - CrowdStrike is under federal investigation regarding a $32 million deal with Carahsoft Technology, raising concerns about potential financial irregularities [8][9] - The ongoing investigation poses legal and reputational risks, which may affect investor confidence [10] Group 4: Competitive Landscape - Competitors such as Palo Alto Networks, SentinelOne, and Cisco are positioned to attract CrowdStrike's customer base amid ongoing regulatory scrutiny [11] - CrowdStrike's Falcon Extended Detection and Response competes with similar offerings from SentinelOne and Palo Alto Networks [12][13] Group 5: Financial Outlook - The Zacks Consensus Estimate indicates a year-over-year decline of 12.5% in CrowdStrike's fiscal 2026 earnings [14] - CrowdStrike is trading at a high price-to-sales (P/S) ratio of 21.47X, significantly above the Zacks Security industry's ratio of 14.20X [15] Group 6: Conclusion - The combination of disappointing profit outlook, rising costs, and deteriorating margins makes CrowdStrike less attractive in the near term, leading to a Zacks Rank of 4 (Sell) [17]

Core Viewpoint - Cybersecurity providers are expected to remain resilient amid market volatility caused by tariffs, as cybercriminal activities continue unabated. Investors are encouraged to consider four leading cybersecurity stocks this month [1]. Group 1: Palo Alto Networks - Palo Alto Networks is transitioning from a next-generation firewall provider to a comprehensive cybersecurity platform, implementing a "platformization" strategy to consolidate customers onto three main platforms [3]. - The strategy has resulted in 1,150 of its top 5,000 customers adopting one of its platforms, with a target of 2,500 to 3,500 by fiscal year 2030. Growth is also seen in its Cortex threat detection and response solution and Prisma Cloud [4]. - Although the platformization strategy temporarily slowed growth, it is expected to yield long-term benefits for investors [5]. Group 2: CrowdStrike - CrowdStrike is positioned to benefit from companies consolidating their cybersecurity needs onto a single platform, being a leader in endpoint security [6]. - The company offers a comprehensive suite of cybersecurity solutions, with 67% of customers deploying five or more modules and 21% using eight or more [8]. - With the impact of a previous IT outage behind it, CrowdStrike is expected to see growth accelerate, making it an attractive investment opportunity [9]. Group 3: Zscaler - Zscaler is a leader in zero-trust security, emphasizing continuous verification of users and devices for secure access [10]. - The company has successfully upsold its zero-trust systems and reported a 40% increase in annual contract value for its data security products, with overall revenue growing 23% year over year [12]. - Zscaler's strong net dollar retention rate of 115% indicates robust growth within its existing customer base, positioning it well for future success [12]. Group 4: SentinelOne - SentinelOne is a rapidly growing endpoint cybersecurity company with a low forward price-to-sales multiple of 6.6, despite achieving 29% revenue growth last quarter [13]. - The partnership with Lenovo, the world's largest enterprise PC vendor, to ship computers with SentinelOne's Singularity Platform is a significant opportunity [14]. - The company is also successfully upselling its Purple AI, which enhances security operations through hyper-automation, indicating a promising future [15][16].

Ctratom | (MicroStrategy) | | 1098 | -4.73% | 397.03 | | --- | --- | --- | --- | --- | | 拉姆研究 | | 1086 | -0.21% | 84.79 | | CrowdStrike | | 1075 | -0.94% | 431.84 | | K | Keyence | 1071 | 1 1.44% | 442 | | N 美光科技 | | 1066 | 1 0.14% | 95.45 | | 科器 | | 1065 | 1 0.12% | 806 | | 奥运 | 美国 | 1032 | -2.51% | 16.91 | | SK Hynix 10 + | | 1015 | ↑ 2.37% | 147.08 | | Sea Limited | | d6e | 1 0.89% | 164.63 | | intel 英特尔 | | 940 | 0.14% | 21.55 | | 任天堂 (1) | | 937 | 1 1.75% | 11 80.22 | | 费哲金融服务 | | 882 | + -16.19% | 159 ...

Core Viewpoint - CrowdStrike is currently facing a regulatory probe related to a $32 million deal with Carahsoft, which has raised concerns among investors despite a recent recovery in stock price due to positive trade news between the U.S. and China [1][2][4]. Group 1: Regulatory Concerns - The DOJ and SEC are investigating the $32 million transaction with Carahsoft, which provided IT solutions for the IRS, specifically for products that were never purchased [3]. - Both CrowdStrike and Carahsoft assert the legality of the transaction, but the involvement of regulators suggests a potentially lengthy resolution process [4]. - Investigators are asking critical questions that indicate the probe may extend beyond just the Carahsoft deal [4]. Group 2: Financial Performance and Forecast - CrowdStrike's stock price forecast is $403.20, indicating an 8.41% downside from the current price of $440.20, based on 45 analyst ratings [6]. - The company has announced a 5% reduction in its global workforce, which may raise short-term concerns among investors, although layoffs are generally aimed at improving efficiency [6][7]. - CrowdStrike has reaffirmed its full-year revenue guidance of $4.74 to $4.81 billion, suggesting confidence in its financial outlook [7]. Group 3: Market Position and Analyst Sentiment - The cybersecurity industry is projected to grow to $24 trillion by 2027, with CrowdStrike capturing a significant share and boasting one of the highest operating margins in the sector [8]. - Despite current stock trading above the consensus average, analysts maintain a positive outlook, with Rosenblatt Securities reiterating a Buy rating and a $450 price target [9]. - The options market indicates potential volatility ahead of the earnings report scheduled for June 3, with equal numbers of call and put options purchased [10][11].

Core Insights - CrowdStrike and Check Point Software Technologies are leading companies in the cybersecurity sector, focusing on cloud and endpoint security solutions [1][2] - The cybersecurity market is projected to grow at a CAGR of 12.63% from 2025 to 2030, driven by increasing cyber threats [2] CrowdStrike Overview - CrowdStrike's primary offering is the Falcon platform, recognized as the first multi-tenant, cloud-native security solution, securing various environments and endpoints [4] - The share of subscription-based sales in CrowdStrike's total revenues increased from 72% in fiscal 2017 to 95% in fiscal 2025 [5] - Despite its strong platform, CrowdStrike faces challenges due to customer pessimism following a global IT outage in July 2024, leading to a Customer Commitment Package that has impacted profitability [6] - The Zacks Consensus Estimate for CrowdStrike's fiscal 2026 earnings indicates a year-over-year decline of 12.5% [7] Check Point Overview - Check Point offers software and hardware solutions for IT infrastructure security, focusing on network and gateway security [9] - The company is experiencing revenue growth from its cloud solutions and strong demand for its Quantum Force, Harmony Email, and Infinity platforms [10] - Check Point's subscription-based model generated $291 million in security subscription revenues in Q1 2025, reflecting a 10% year-over-year increase, with projected earnings of $9.91 per share for 2025, indicating an 8.2% growth [11] Stock Performance and Valuation - Over the past year, Check Point's stock has returned 45.6%, outperforming CrowdStrike's 28.7% gain [13] - Check Point trades at a forward sales multiple of 8.69X, significantly lower than the Zacks Security industry's 13.53X, while CrowdStrike's multiple is 20.14X, indicating Check Point's more attractive valuation [14] Conclusion - Check Point is gaining traction with its platforms, while CrowdStrike is dealing with reputational damage and profit margin pressures [16] - Check Point holds a Zacks Rank 3 (Hold), making it a stronger investment option compared to CrowdStrike, which has a Zacks Rank 4 (Sell) [16]