Financial Results Q4 FY 2026 As of March 3, 2026 ® CrowdStrike, Inc. All rights reserved. Safe Harbor This presentation includes express and implied "forward-looking statements", including forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that are not historical facts, and in some cases, can be identified by terms such as "anticipate," "believe," "can," "continue," "could," "estimate," "expect," "intend," ...

Group 1: AI Impact on Software Industry - The latest AI models have the potential to threaten or replace traditional software products, particularly in the software-as-a-service (SaaS) sector, which has seen significant growth and margins in recent years [1][2] - Despite the current fear in the software industry, AI is expected to disrupt some companies but not all, indicating a nuanced impact [2] Group 2: Investment Opportunities in Software Stocks - CrowdStrike Holdings is positioned to benefit from AI advancements due to its strong cybersecurity platform, which utilizes AI and machine learning to analyze data for threats, enhancing its capabilities as it grows [6][7] - CrowdStrike's stock has recently declined, presenting a potential buying opportunity, as it currently trades at 21 times sales, approximately 20% below its five-year average [8] - Snowflake is identified as a significant potential winner in the AI space, as it provides essential data infrastructure that supports AI applications, distinguishing itself from surface-level software solutions [9]

分组1 - The current market sentiment is causing widespread selling of technology shares due to uncertainty about their valuations and future earnings potential [1][2] - Danaher’s acquisition of Masimo is viewed negatively due to Masimo's litigation history with Apple and its high valuation at nearly 25 times next year's earnings [1] - Workday's valuation at 15 times next year's earnings raises concerns about whether earnings estimates are overly optimistic, especially with leadership changes [1] 分组2 - Micron is seen as a more attractive investment at approximately 10.5 times next year's earnings, benefiting from high demand for its proprietary high-bandwidth memory chips [1] - Capital One faces challenges in maintaining a higher valuation due to potential regulatory changes affecting credit card interest rates and execution risks from its acquisition of Brex [1] - Goldman Sachs has improved its earnings stability under CEO David Solomon, leading to a higher P/E ratio compared to JPMorgan Chase [1] 分组3 - CrowdStrike's stock remains under pressure despite positive news about its Falcon Platform being available on the Microsoft Marketplace, with a high valuation of 85 times current earnings [1][2] - Palo Alto Networks is experiencing valuation challenges, with its stock dropping significantly despite its strong cybersecurity offerings, now trading at 39 times earnings estimates [1][2] - Alphabet is considered undervalued at 26 times forward earnings, given its diverse and valuable assets, while Meta is seen as cheap at 21 times earnings but is primarily valued for its advertising business [2] 分组4 - Microsoft is trading at 22 times earnings, which is considered a fair valuation, but concerns remain about its recent product performance and the potential for future growth [2] - Amazon's stock is under scrutiny due to its significant capital expenditure plans and recent earnings misses, leading to a market cap loss of over $450 billion [2] - ServiceNow's stock is defended by management despite falling prices, with a P/E ratio of 25 reflecting skepticism about its growth potential in the face of AI competition [2][3] 分组5 - Salesforce's stock is underperforming the S&P 500, trading at 14 times forward earnings, raising concerns about its growth prospects amid competition from AI-driven CRM solutions [3] - The market sentiment suggests that Salesforce's non-Agentforce business may slow down, impacting its valuation despite the potential of its Agentforce platform [3]

Core Insights - CrowdStrike Holdings Inc. announced plans to acquire SGNL for $740 million, enhancing its leadership in next-gen identity security [2] - This acquisition marks the largest in terms of dollars for CrowdStrike, surpassing the $400 million paid for Humio in 2021 [2] - Despite the acquisition, CRWD stock has seen a decline of about 1% in the week following the announcement, indicating ongoing valuation concerns [3] Acquisition Strategy - CrowdStrike's M&A strategy focuses on enhancing specific capabilities within the Falcon platform rather than reshaping the overall business [3] - The acquisition of SGNL is part of a broader trend, being the 10th acquisition of its kind in the last five years [2] Evolving Threat Landscape - The transition from generative AI to agentic AI represents a significant shift in digital operations, increasing reliance on automated systems and AI agents [4] - This shift introduces new security challenges, which the acquisition of SGNL aims to address strategically [4] Dynamic Access Control - SGNL's technology enables dynamic authorization, allowing access to be granted or revoked based on real-time conditions such as device health and user behavior [5] - By integrating SGNL, CrowdStrike can extend its security intelligence to identity and access decisions across SaaS applications and major cloud providers [6] Security Enhancements - The acquisition is designed to strengthen identity security within the Falcon platform, providing dynamic access controls for various identities across cloud and SaaS environments [6] - This integration will help limit privileges and reduce the threat radius in case of compromised credentials or unexpected automated system behavior [7]

Financial Performance - CrowdStrike's Q3 FY2026 ending annual recurring revenue (ARR) reached $4.92 billion, a 23% year-over-year increase[8] - Net new ARR for Q3 FY2026 was $265 million, representing a 73% year-over-year growth[8] - The company achieved a record operating income of $265 million in Q3 FY2026[8] - Q3 FY2026 diluted earnings per share (EPS) was $0.96[8] - Free cash flow for Q3 FY2026 was $296 million, with a free cash flow margin of 24%[8] Platform Adoption - Module adoption rates among subscription customers are increasing, with 49% adopting 6+ modules, 34% adopting 7+ modules, and 24% adopting 8+ modules[19] Market Opportunity - CrowdStrike estimates the cybersecurity total addressable market (TAM) to be $140 billion in CY2026 and $300 billion in CY2030[12, 14] Guidance - The company projects total revenue for Q4 FY2026 to be between $1.29 billion and $1.3 billion[32] - Non-GAAP income from operations for Q4 FY2026 is projected to be between $315.4 million and $319.4 million[32] - Full year FY2026 total revenue is expected to be between $4.7966 billion and $4.8066 billion[32]

Core Insights - CrowdStrike is enhancing its capabilities in agentic AI security features, focusing on AI agent orchestration within the Falcon Platform and establishing a secure environment for enterprises to deploy agents [1] Group 1: Company Developments - The company is pursuing growth through multiple acquisitions and technological advancements in the field of AI security [1] Group 2: Analyst Background - The analysis is provided by an experienced buy-side equity analyst with over 5 years in the industry, who has a diverse background in sectors such as Oil & Gas, Information Technology, and consumer discretionary [1]

Group 1 - CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is recognized as one of the 15 stocks predicted by ChatGPT to potentially generate significant wealth in the next five years [1] - ColorTokens has integrated its Xshield Enterprise Microsegmentation Platform with the CrowdStrike Falcon Platform, now available on the CrowdStrike Marketplace [2] - This integration allows customers to utilize CrowdStrike Falcon Firewall Management for microsegmentation without needing additional agents, facilitating faster adoption of Zero Trust strategies [2][3] Group 2 - The integration aims to address deployment challenges and reduce overheads, thereby enhancing security posture and supporting least-privilege access controls essential for Zero Trust [3] - Michael Rogers, VP of Global Alliances at CrowdStrike, emphasized that this integration simplifies the path to Zero Trust and improves security outcomes through the CrowdStrike partner ecosystem [3] - CrowdStrike has shown strong performance in 2025, with a year-to-date stock gain of 30% as of September 15 [3]

Financial Performance - CrowdStrike's Q2 FY26 ending ARR reached $466 billion, a 20% year-over-year increase[8] - The company achieved a record Q2 net new ARR of $221 million[8] - Q2 FY26 total revenue grew 21% year-over-year to $1169 billion[37, 46] - The company's Q2 FY26 free cash flow was $284 million, representing a 24% margin[8, 41] - Non-GAAP operating income for Q2 FY26 was $255 million[8] - Non-GAAP diluted earnings per share for Q2 FY26 was $093[8] Platform Adoption and Growth - Cloud security ending ARR grew over 40% year-over-year, exceeding $156 billion[31, 46] - LogScale Next-Gen SIEM ending ARR grew over 95% year-over-year, reaching over $430 million[34, 46] - Next-Gen Identity ending ARR grew over 21% year-over-year, reaching over $435 million[34, 46] - 60% of customers with $100K+ ending ARR have adopted 8+ modules[26] Market Opportunity - The company estimates the CY25 total addressable market (TAM) for the AI-Native Security Platform to be $116 billion, growing to $250 billion by CY29[13, 14]

Core Insights - CrowdStrike Holdings Inc. has seen a significant stock price increase of 37.6% in 2025, recovering from a previous outage and nearly doubling its value since then [1][3][2] - The company's stock is currently trading at a price-to-sales ratio of 28x, which is a premium compared to historical averages and industry peers [3] - The demand for cybersecurity solutions is at an all-time high, which may justify the premium valuation of CrowdStrike's stock [4] Company Overview - CrowdStrike's Falcon platform integrates AI capabilities, with features like the Threat Graph engine that analyzes trillions of signals daily to detect threats [5][6] - The company has been leveraging AI since its inception, appealing to customers seeking intelligent and easy-to-integrate cybersecurity solutions [7] Market Dynamics - The rise of AI has complicated cybersecurity, necessitating companies like CrowdStrike to be agile in their responses to cyber threats [8][9] - CrowdStrike's end-to-end cloud-native design provides a competitive advantage, allowing it to embed AI deeply into its platform, unlike competitors who may need to pursue mergers and acquisitions to enhance their AI capabilities [9] Financial Performance - Recent earnings reports indicate that CrowdStrike has generated record net new annual recurring revenue (ARR), a crucial metric for software companies [10] - The company is successfully acquiring revenue from both public sector and enterprise clients, often winning customers from legacy cybersecurity firms [11] Stock Forecast - The 12-month stock price forecast for CrowdStrike is $461.17, indicating a potential downside of 2.33% from the current price [13] - Despite a recent decline of about 5.5% in the last 30 days, there has been a reversal in the last week, suggesting cautious optimism among investors [13] Options Market Activity - The options market shows significant interest in the $460 call option, indicating expectations of a post-earnings price increase [14] - Speculative bets are also being placed on higher-strike calls at $505 and $525, suggesting potential bullish sentiment [14]

Financial Highlights - CrowdStrike's Ending ARR reached $3.9 billion, a 32% year-over-year increase[86, 150] - The company's Net New ARR was $218 million, an 11% year-over-year increase[151] - Non-GAAP Subscription Gross Margin was 81%[152] - Free Cash Flow reached $272 million, a 44% year-over-year increase[152] Falcon Flex Subscription Model - Falcon Flex customers' Total Account Value exceeded $700 million in Q2 FY25, up from over $500 million in Q1 FY25 and over $185 million in 4Q24[36] - One customer case study showed a >350% ARR uplift with a total contract value of $110M+ over 5 years after adopting Falcon Flex[51] - Another customer case study showed a >200% ARR uplift with a total contract value of $20M+ over 5 years after adopting Falcon Flex[54] Market Opportunity and Growth Vectors - The company estimates the CY25 Total Addressable Market (TAM) for the AI-Native Security Platform to be $116 billion[66] and $250 billion by CY29[67] - Cloud Security ARR grew >80% year-over-year, reaching >$515 million in Q2 FY25[93, 94] - Next-Gen SIEM ARR grew >140% year-over-year, reaching >$220 million in Q2 FY25[104] - Identity Protection ARR grew >70% year-over-year, reaching >$350 million in Q2 FY25[92] Customer Adoption and Expansion - 48% of customers with $100K+ ARR have adopted 8+ modules[152] - There was a 66% year-over-year growth in deals involving 8+ modules[152]