CrowdStrike issued a strong financial forecast for fiscal 2027 and the current quarter, with revenue projections exceeding Wall Street estimates. The company is benefiting from enterprise cloud adoption and heightened security needs following high-profile cyberattacks.
Its shares experienced mixed trading, having recently faced pressure from investor concerns over new AI security tools from competitors like Anthropic. CrowdStrike also reported increased costs related to a major 2024 Windows outage, though these expenses are narrowing, and announced two significant acquisitions in the identity and browser security sectors.
The main topics covered are CrowdStrike's financial performance and forecasts, the market reaction and competitive landscape, the drivers of its business growth, costs from a past outage, and its recent acquisition strategy.
CrowdStrike forecast fiscal 2027 revenue above Wall Street estimates on Tuesday, betting on resilient demand for its artificial intelligence-powered cybersecurity solutions.
Shares of cybersecurity companies, including CrowdStrike, have fallen recently as investors assessed the potential impact of AI startup Anthropic's Claude Code Security tool, even as âsome analysts â said the â worries were overblown.
CrowdStrike's shares closed 1.7% higher. They were down 0.8% in âvolatile extended trading.
"I think people are still digesting numbers. But in this environment, âhaving a software stock trade close to flat post print seems like a good outcome," said Truist Securities analyst Junaid Siddiqui.
The company âis benefiting from rising enterprise cloud adoption â and modernizing âsecurity needs amid a wave of high-profile âcyberattacks that âhas hit global companies, including cybersecurity company F5.
CrowdStrike expects â fiscal 2027 revenue of $5.87 billion to $5.93 billion, above âanalysts' average estimate of $5.86 billion, according to data âcompiled by LSEG.
It projected annual adjusted earnings per share of $4.78 to $4.90, compared with estimates of $4.81.
First-quarter revenue forecast of $1.360 billion to $1.364 billion came above estimates of $1.35 billion.
It expects adjusted earnings per share of $1.06 to $1.07 in the first quarter, largely in-line with estimates of $1.06.
Revenue ârose 23% to $1.31 billion in the fourth quarter. The adjusted EPS of $1.12 exceeded estimates of $1.10.
The company said âcosts associated with âthe Windows outage â of July 19, 2024 and related matters widened to $117.7 million in fiscal 2026, compared with $60.1 million a year earlier.
The costs, however, narrowed âto $16.2 million in the quarter ended January 31, compared with $21 million a year ago in the same quarter.
In January, CrowdStrike said it will buy identity security startup SGNL for $740 million and Israeli browser runtime security startup Seraphic Security for about $420 million.
Shares of cybersecurity companies, including CrowdStrike, have fallen recently as investors assessed the potential impact of AI startup Anthropic's Claude Code Security tool, even as âsome analysts â said the â worries were overblown.
CrowdStrike's shares closed 1.7% higher. They were down 0.8% in âvolatile extended trading.
"I think people are still digesting numbers. But in this environment, âhaving a software stock trade close to flat post print seems like a good outcome," said Truist Securities analyst Junaid Siddiqui.
The company âis benefiting from rising enterprise cloud adoption â and modernizing âsecurity needs amid a wave of high-profile âcyberattacks that âhas hit global companies, including cybersecurity company F5.
CrowdStrike expects â fiscal 2027 revenue of $5.87 billion to $5.93 billion, above âanalysts' average estimate of $5.86 billion, according to data âcompiled by LSEG.
It projected annual adjusted earnings per share of $4.78 to $4.90, compared with estimates of $4.81.
First-quarter revenue forecast of $1.360 billion to $1.364 billion came above estimates of $1.35 billion.
It expects adjusted earnings per share of $1.06 to $1.07 in the first quarter, largely in-line with estimates of $1.06.
Revenue ârose 23% to $1.31 billion in the fourth quarter. The adjusted EPS of $1.12 exceeded estimates of $1.10.
The company said âcosts associated with âthe Windows outage â of July 19, 2024 and related matters widened to $117.7 million in fiscal 2026, compared with $60.1 million a year earlier.
The costs, however, narrowed âto $16.2 million in the quarter ended January 31, compared with $21 million a year ago in the same quarter.
In January, CrowdStrike said it will buy identity security startup SGNL for $740 million and Israeli browser runtime security startup Seraphic Security for about $420 million.
Meridiano
