CrowdStrike (NASDAQ:CRWD) Announces Earnings Results, Beats Expectations By $0.02 EPS

CrowdStrike (NASDAQ:CRWD) issued its quarterly earnings data on Tuesday. The company reported $1.12 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.10 by $0.02, FiscalAI reports. The firm had revenue of $1.31 billion during the quarter, compared to the consensus estimate of $1.30 billion. CrowdStrike had a negative return on equity of 2.12% and a negative net margin of 6.88%.The business’s revenue for the quarter was up 23.8% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.03 EPS.

Here are the key takeaways from CrowdStrike’s conference call:

• CrowdStrike delivered a blockbuster Q4 and FY26 with Q4 net new ARR $331M (+47% YoY), ending ARR of $5.25B, record free cash flow of $376M in the quarter and $1.24B for the year, and record operating income, underscoring strong profitability and cash generation.
• The Falcon Flex subscription model is accelerating adoption and expansion — Flex cohort ARR reached $1.69B, CrowdStrike added ~350 Flex customers in Q4 (1,600+ total), and reflex behavior is driving average ARR lifts (26% after reflex, multiple reflexers showing larger gains).
• Management emphasized an AI-driven competitive moat — proprietary telemetry and Threat Graph scale, rising usage of the Charlotte agent (usage +6x YoY) and rapid early traction for AI-DR (5x QoQ) position CrowdStrike as a platform to secure the emerging AI stack.
• Leadership raised FY27 targets and provided a confident outlook — FY27 ARR guide of $6.466B–$6.516B (23%–24% growth) with planned net new ARR of $1.213B–$1.264B, and a change to sales commission amortization (4→5 years) that boosts non‑GAAP operating income.
• Recent acquisitions (SGNL, Seraphic, Pangea) are strategic for identity and browser/AI security but expected to add only $5M–$8M acquired ARR in Q1 with minimal organic contribution while incurring $74M–$80M of integration-related operating expense in FY27.

CrowdStrike Price Performance

CRWD opened at $391.42 on Wednesday. The company has a fifty day moving average price of $434.98 and a two-hundred day moving average price of $469.29. The company has a debt-to-equity ratio of 0.18, a quick ratio of 1.81 and a current ratio of 1.81. CrowdStrike has a 52 week low of $298.00 and a 52 week high of $566.90. The firm has a market capitalization of $98.68 billion, a PE ratio of -310.65, a P/E/G ratio of 21.65 and a beta of 1.06.

CrowdStrike News Roundup

Here are the key news stories impacting CrowdStrike this week:

• Positive Sentiment: CrowdStrike reported Q4 results that beat consensus (≈$1.31B revenue, $1.12 EPS), disclosed ARR topping ~$5.25B and highlighted a record net new ARR — news that underpins upside to subscription growth and recurring revenue. BusinessWire: Q4 & FY26 Results
• Positive Sentiment: CrowdStrike issued very strong forward guidance: Q1 FY27 EPS guide ~1.06–1.07 vs. consensus ~0.68, and FY27 EPS ~4.78–4.90 vs. consensus ~3.26 — a material beat on outlook that supports margin and cash‑flow upside. (Guidance included in the company release above.) BusinessWire: Guidance
• Positive Sentiment: Wells Fargo initiated coverage / upgraded CrowdStrike to an overweight / strong‑buy with a ~$450 price target, signaling institutional confidence that the company can navigate AI‑era security demand and recover from the recent AI‑related sell‑off. Seeking Alpha: Wells Fargo Coverage
• Neutral Sentiment: Some buy‑side analysts reiterated bullish stances (e.g., TD Cowen kept a Buy / $480 target), reflecting confidence in product road‑map and Falcon adoption but not changing near‑term narrative materially. TipRanks: TD Cowen Note
• Neutral Sentiment: BTIG adjusted its price target (to $499) while keeping a buy stance, showing some divergence across brokerages on upside magnitude even as they acknowledge strong execution. AmericanBankingNews: BTIG PT
• Negative Sentiment: Several firms flagged valuation as a concern and left or moved to Hold/neutral (e.g., Bernstein maintained a Hold citing rich multiples; Robert W. Baird cut its target to $450 and kept a neutral view) — that pressurizes upside despite strong numbers. TipRanks: Bernstein Hold AmericanBankingNews: Baird PT Cut
• Negative Sentiment: Investor caution from heavy insider selling disclosures and some third‑party data feeds that reported conflicting metrics (an outlier QuiverQuant piece showing a large EPS discrepancy) add near‑term noise and can amplify volatility. QuiverQuant: Data/Reporting Note

Insider Buying and Selling

In other CrowdStrike news, CFO Burt W. Podbere sold 10,516 shares of the stock in a transaction dated Monday, December 22nd. The stock was sold at an average price of $483.33, for a total value of $5,082,698.28. Following the transaction, the chief financial officer owned 179,114 shares of the company’s stock, valued at approximately $86,571,169.62. This represents a 5.55% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director Denis Oleary sold 7,750 shares of the firm’s stock in a transaction dated Friday, December 5th. The stock was sold at an average price of $515.44, for a total value of $3,994,660.00. Following the transaction, the director owned 10,816 shares in the company, valued at approximately $5,574,999.04. This trade represents a 41.74% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 100,247 shares of company stock worth $45,722,274 over the last 90 days. 3.32% of the stock is currently owned by corporate insiders.

Institutional Trading of CrowdStrike

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Daiwa Securities Group Inc. grew its holdings in CrowdStrike by 33.5% during the third quarter. Daiwa Securities Group Inc. now owns 1,426,641 shares of the company’s stock valued at $699,596,000 after purchasing an additional 357,865 shares during the period. Amundi raised its holdings in CrowdStrike by 30.6% in the fourth quarter. Amundi now owns 1,367,170 shares of the company’s stock worth $640,875,000 after purchasing an additional 320,250 shares during the period. Wellington Management Group LLP boosted its position in shares of CrowdStrike by 147.0% during the fourth quarter. Wellington Management Group LLP now owns 376,873 shares of the company’s stock worth $176,663,000 after purchasing an additional 224,279 shares in the last quarter. Rokos Capital Management LLP acquired a new position in shares of CrowdStrike in the 4th quarter valued at $101,531,000. Finally, Pinebridge Investments LLC bought a new stake in shares of CrowdStrike in the 4th quarter valued at $62,429,000. 71.16% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

CRWD has been the topic of several research reports. Mizuho reduced their price target on shares of CrowdStrike from $540.00 to $490.00 and set a “neutral” rating on the stock in a research report on Tuesday, February 17th. Scotiabank reiterated an “outperform” rating on shares of CrowdStrike in a research report on Wednesday, December 3rd. Loop Capital set a $550.00 price target on shares of CrowdStrike in a research note on Thursday, December 11th. Zacks Research lowered shares of CrowdStrike from a “hold” rating to a “strong sell” rating in a report on Monday, February 2nd. Finally, TD Cowen reduced their price objective on CrowdStrike from $580.00 to $480.00 and set a “buy” rating on the stock in a report on Tuesday, February 24th. One investment analyst has rated the stock with a Strong Buy rating, thirty have issued a Buy rating, fifteen have issued a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $516.38.

About CrowdStrike

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.