CrowdStrike (NASDAQ:CRWD) Shares Down 7.9% – Here’s What Happened

CrowdStrike (NASDAQ:CRWD)’s share price dropped 7.9% on Friday . The company traded as low as $387.11 and last traded at $388.60. Approximately 8,283,541 shares were traded during trading, an increase of 155% from the average daily volume of 3,249,958 shares. The stock had previously closed at $422.14.

Trending Headlines about CrowdStrike

Here are the key news stories impacting CrowdStrike this week:

• Positive Sentiment: CrowdStrike announced an integration with Qualtrics to secure employee‑experience data, a product tie-up that supports cross‑sell and endpoint-to-data security use cases. CrowdStrike (CRWD) Teams Up With Qualtrics To Secure Employee Experience Data
• Positive Sentiment: Several bullish views remain on CRWD — many analysts still carry Buy/Overweight ratings and multi‑hundred dollar price targets, supporting longer‑term upside expectations despite near‑term weakness. CrowdStrike slides 7.9% as AI-driven “software replacement” fears hit cybersecurity stocks
• Neutral Sentiment: Short-interest reporting in the past days has odd/zero values in some feeds (likely a data anomaly), so current short‑squeeze risk is unclear from that report alone. CrowdStrike slides 7.9% as AI-driven “software replacement” fears hit cybersecurity stocks
• Neutral Sentiment: Recent analyst notes and market commentary (e.g., Globe and Mail piece) provide additional context on growth assumptions and valuation sensitivity but are mixed in immediate impact. Analysts Offer Insights on Technology Companies: CrowdStrike Holdings (CRWD) and SolarEdge Technologies (SEDG)
• Negative Sentiment: Anthropic’s limited preview of “Claude Code Security” — a capability that scans code for vulnerabilities and suggests fixes — sparked fears that agentic AI could automate workflows traditionally served by security vendors, pressuring demand/pricing for parts of the legacy stack and triggering a sector selloff. Multiple news outlets tied the CRWD move to this announcement. Cybersecurity stocks drop as Anthropic launches Claude Code Security tool
• Negative Sentiment: Analyst caution and a recent price‑target cut (Mizuho lowered its target to $490) and other valuation‑focused notes (including recent Hold moves) amplified downside sensitivity, making CRWD more vulnerable to negative headlines. Mizuho Lowers CrowdStrike (NASDAQ:CRWD) Price Target to $490.00
• Negative Sentiment: Significant insider selling activity reported over recent months adds a psychological headwind for investors interpreting insider flows as reduced alignment (though sales can be for many reasons). CrowdStrike slides 7.9% as AI-driven “software replacement” fears hit cybersecurity stocks

Analyst Ratings Changes

A number of equities research analysts recently issued reports on the stock. Sanford C. Bernstein reiterated a “market perform” rating and issued a $353.00 price objective on shares of CrowdStrike in a report on Wednesday, December 3rd. KeyCorp reissued a “sector weight” rating on shares of CrowdStrike in a report on Monday, January 12th. BNP Paribas Exane boosted their target price on CrowdStrike from $350.00 to $450.00 and gave the stock a “neutral” rating in a report on Wednesday, December 3rd. Cantor Fitzgerald reaffirmed an “overweight” rating on shares of CrowdStrike in a research report on Monday, February 9th. Finally, Robert W. Baird increased their price target on CrowdStrike from $490.00 to $550.00 and gave the company a “neutral” rating in a report on Friday, November 14th. Thirty equities research analysts have rated the stock with a Buy rating, sixteen have assigned a Hold rating and three have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $548.81.

CrowdStrike Trading Down 7.9%

The company has a debt-to-equity ratio of 0.18, a quick ratio of 1.81 and a current ratio of 1.81. The company has a 50-day simple moving average of $450.45 and a 200 day simple moving average of $471.99. The company has a market capitalization of $97.97 billion, a P/E ratio of -308.41, a P/E/G ratio of 21.86 and a beta of 1.03.

CrowdStrike (NASDAQ:CRWD) last posted its quarterly earnings data on Wednesday, December 3rd. The company reported $0.96 earnings per share for the quarter, beating the consensus estimate of $0.94 by $0.02. The company had revenue of $1.23 billion during the quarter, compared to analysts’ expectations of $1.22 billion. CrowdStrike had a negative return on equity of 2.12% and a negative net margin of 6.88%.CrowdStrike’s revenue for the quarter was up 21.8% compared to the same quarter last year. During the same period in the prior year, the business earned $0.93 earnings per share. Sell-side analysts expect that CrowdStrike will post 0.55 earnings per share for the current year.

Insider Buying and Selling

In related news, President Michael Sentonas sold 11,461 shares of the stock in a transaction dated Monday, December 22nd. The shares were sold at an average price of $479.78, for a total value of $5,498,758.58. Following the completion of the sale, the president owned 342,655 shares in the company, valued at approximately $164,399,015.90. This trade represents a 3.24% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO George Kurtz sold 28,853 shares of CrowdStrike stock in a transaction dated Wednesday, February 4th. The stock was sold at an average price of $413.01, for a total value of $11,916,577.53. Following the sale, the chief executive officer directly owned 2,054,902 shares in the company, valued at approximately $848,695,075.02. This trade represents a 1.38% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 100,247 shares of company stock worth $45,722,274. 3.32% of the stock is currently owned by corporate insiders.

Institutional Trading of CrowdStrike

Institutional investors have recently modified their holdings of the company. Vanguard Group Inc. lifted its position in CrowdStrike by 1.4% in the fourth quarter. Vanguard Group Inc. now owns 24,216,545 shares of the company’s stock worth $11,351,748,000 after purchasing an additional 340,047 shares during the period. State Street Corp raised its stake in shares of CrowdStrike by 2.2% in the 4th quarter. State Street Corp now owns 11,161,718 shares of the company’s stock valued at $5,232,167,000 after buying an additional 239,428 shares in the last quarter. Geode Capital Management LLC lifted its holdings in shares of CrowdStrike by 2.4% during the 4th quarter. Geode Capital Management LLC now owns 5,947,969 shares of the company’s stock worth $2,777,227,000 after acquiring an additional 137,224 shares during the period. Laurel Wealth Advisors LLC boosted its position in shares of CrowdStrike by 54,635.9% during the 2nd quarter. Laurel Wealth Advisors LLC now owns 4,293,484 shares of the company’s stock valued at $2,186,714,000 after acquiring an additional 4,285,640 shares in the last quarter. Finally, Price T Rowe Associates Inc. MD boosted its position in shares of CrowdStrike by 1.3% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 4,271,691 shares of the company’s stock valued at $2,002,398,000 after acquiring an additional 53,813 shares in the last quarter. Institutional investors and hedge funds own 71.16% of the company’s stock.

CrowdStrike Company Profile

CrowdStrike Holdings, Inc (NASDAQ: CRWD) is a cybersecurity company founded in 2011 and headquartered in Sunnyvale, California. The firm was co-founded by George Kurtz and Dmitri Alperovitch and became a publicly traded company following its initial public offering in 2019. CrowdStrike positions itself as a provider of cloud-native security solutions designed to protect endpoints, cloud workloads, identities and data against sophisticated cyber threats.

The company’s core offering is the CrowdStrike Falcon platform, a modular, cloud-delivered security architecture that combines endpoint protection (EPP), endpoint detection and response (EDR), threat intelligence, and device control through lightweight agents and centralized telemetry.