CyberArk Software (NASDAQ:CYBR) vs. CrowdStrike (NASDAQ:CRWD) Head to Head Review

CyberArk Software (NASDAQ:CYBR) and CrowdStrike (NASDAQ:CRWD) are both large-cap computer and technology companies, but which is the better business? We will compare the two companies based on the strength of their risk, valuation, analyst recommendations, institutional ownership, profitability, dividends and earnings.

Valuation and Earnings

This table compares CyberArk Software and CrowdStrike”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CyberArk Software	$1.00 billion	18.92	-$93.46 million	($1.86)	-205.94
CrowdStrike	$3.95 billion	30.03	-$19.27 million	($0.69)	-690.29

CrowdStrike has higher revenue and earnings than CyberArk Software. CrowdStrike is trading at a lower price-to-earnings ratio than CyberArk Software, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for CyberArk Software and CrowdStrike, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CyberArk Software	0	1	26	1	3.00
CrowdStrike	2	15	28	0	2.58

CyberArk Software presently has a consensus price target of $416.79, suggesting a potential upside of 8.81%. CrowdStrike has a consensus price target of $453.17, suggesting a potential downside of 4.86%. Given CyberArk Software’s stronger consensus rating and higher possible upside, research analysts plainly believe CyberArk Software is more favorable than CrowdStrike.

Profitability

This table compares CyberArk Software and CrowdStrike’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CyberArk Software	-7.97%	0.71%	0.43%
CrowdStrike	-4.17%	0.43%	0.17%

Institutional and Insider Ownership

91.8% of CyberArk Software shares are held by institutional investors. Comparatively, 71.2% of CrowdStrike shares are held by institutional investors. 1.4% of CyberArk Software shares are held by insiders. Comparatively, 3.3% of CrowdStrike shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Volatility and Risk

CyberArk Software has a beta of 0.99, meaning that its stock price is 1% less volatile than the S&P 500. Comparatively, CrowdStrike has a beta of 1.16, meaning that its stock price is 16% more volatile than the S&P 500.

Summary

CrowdStrike beats CyberArk Software on 8 of the 15 factors compared between the two stocks.

About CyberArk Software

CyberArk Software Ltd., together with its subsidiaries, develops, markets, and sells software-based identity security solutions and services in the United States, Europe, the Middle East, Africa, and internationally. Its solutions include Privileged Access Manager, which offers risk-based credential security and session; Vendor Privileged Access Manager combines Privileged Access Manager and Remote Access to provide secure access to third-party vendors; Dynamic Privileged Access, a SaaS solution that provides just-in-time access to Linux Virtual Machines; Endpoint Privilege Manager, a SaaS solution that secures privileges on the endpoint; and Secure Desktop, a solution that protects access to endpoints. The company also provides workforce identity, which offers adaptive multi-factor authentication (MFA), single sign-on, secure web sessions, workforce password management, application gateway, identity lifecycle management, and directory services; and customer identity services that provides authentication and authorization services, MFA, directory, and user management. In addition, it offers Secrets Manager Credential Providers to provide and manage the credentials used by third-party solutions; Conjur Enterprise and Conjur Cloud, which offers a secrets management solution for specific requirements; Secrets Hub, a centralized visibility and management platform; Cloud Security solutions; Identity Management solutions, including lifecycle management, identity flows, identity compliance, and directory services; and Secure Browser. The company serves financial services, manufacturing, insurance, healthcare, energy and utilities, transportation, retail, technology, and telecommunications industries; and government agencies. The company was incorporated in 1996 and is headquartered in Petah Tikva, Israel.

About CrowdStrike

CrowdStrike Holdings, Inc. provides cybersecurity solutions in the United States and internationally. Its unified platform offers cloud-delivered protection of endpoints, cloud workloads, identity, and data. The company offers corporate endpoint and cloud workload security, managed security, security and vulnerability management, IT operations management, identity protection, SIEM and log management, threat intelligence, data protection, security orchestration, automation and response and AI powered workflow automation, and securing generative AI workload services. It primarily sells subscriptions to its Falcon platform and cloud modules. The company was incorporated in 2011 and is headquartered in Austin, Texas.