In an era where cybersecurity is paramount, CrowdStrike is not just a player; it’s a game-changer. With its cutting-edge Falcon platform, this Austin-based innovator provides comprehensive cloud-delivered protection that safeguards endpoints, identities, and data against ever-evolving threats. Renowned for its quality and commitment to innovation, CrowdStrike stands at the forefront of the software infrastructure industry. As we analyze its current market position, we must ask: do the company’s robust fundamentals still justify its high valuation and potential for future growth?
Table of contents
Company Description
CrowdStrike Holdings, Inc. is a leading provider of cloud-delivered cybersecurity solutions, specializing in endpoint protection, threat intelligence, and identity security. Founded in 2011 and headquartered in Austin, Texas, the company has rapidly established itself as a key player in the Software – Infrastructure sector, with a market cap of approximately $133B. CrowdStrike’s flagship Falcon platform offers comprehensive subscription services that protect against sophisticated cyber threats, catering to a global customer base. The company operates primarily through direct sales and a robust network of channel partners. As a pioneer in Zero Trust security and threat hunting, CrowdStrike is instrumental in shaping industry standards and advancing cybersecurity practices worldwide.
Fundamental Analysis
In this section, I will analyze CrowdStrike Holdings, Inc.’s income statement, financial ratios, and dividend payout policy to evaluate its financial health and investment potential.
Income Statement
The following table provides a comprehensive overview of the income statement for CrowdStrike Holdings, Inc. over the past five fiscal years, detailing key financial metrics.
| Metric | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | 874M | 1.45B | 2.24B | 3.06B | 3.95B |
| Cost of Revenue | 230M | 383M | 601M | 756M | 991M |
| Gross Profit | 645M | 1.07B | 1.64B | 2.30B | 2.96B |
| Operating Expenses | 737M | 1.21B | 1.83B | 2.30B | 3.08B |
| EBITDA | -46M | -66M | -40M | 294M | 295M |
| EBIT | -86M | -135M | -134M | 149M | 81M |
| Interest Expense | 2M | 25M | 25M | 26M | 26M |
| Net Income | -93M | -235M | -183M | 89M | -19M |
| EPS | -0.43 | -1.02 | -0.78 | 0.37 | -0.08 |
| Filing Date | 2021-03-18 | 2022-03-16 | 2023-03-09 | 2024-03-07 | 2025-03-10 |
Over the analyzed period, CrowdStrike has shown a significant increase in revenue, growing from 874M in 2021 to 3.95B in 2025, reflecting a robust demand for its cybersecurity solutions. However, net income fluctuated dramatically, reaching a peak profit of 89M in 2024 before dropping to a loss of 19M in 2025. Operating expenses have consistently risen, indicating increased investment in growth, but the company still struggles with profitability, particularly in the latest year, where margins have declined. This may suggest challenges in managing costs relative to revenue growth, necessitating careful monitoring of future operational strategies.
Financial Ratios
The table below summarizes the financial ratios for CrowdStrike Holdings, Inc. (CRWD) over the last available years.
| Ratio | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Net Margin | -10.6% | -16.2% | -8.2% | 2.9% | -0.5% |
| ROE | N/A | N/A | N/A | N/A | N/A |
| ROIC | N/A | N/A | N/A | N/A | N/A |
| P/E | N/A | N/A | -134.7 | 781.4 | -5055.7 |
| P/B | 53.8 | 40.0 | 16.9 | 30.3 | 29.7 |
| Current Ratio | 2.56 | 1.74 | 1.64 | 1.67 | 1.67 |
| Quick Ratio | 2.56 | 1.74 | 1.64 | 1.67 | 1.67 |
| D/E | 0.89 | 0.76 | 0.54 | 0.34 | 0.24 |
| Debt-to-Assets | 28.5% | 21.4% | 15.6% | 11.9% | 9.1% |
| Interest Coverage | -59.4 | -5.6 | -7.5 | -0.1 | -4.6 |
| Asset Turnover | 0.32 | 0.40 | 0.45 | 0.46 | 0.45 |
| Fixed Asset Turnover | 4.3 | 5.0 | 4.2 | 4.6 | 4.8 |
| Dividend Yield | 0% | 0% | 0% | 0% | 0% |
Interpretation of Financial Ratios
For the most recent year, CRWD’s net margin remains negative at -0.5%, indicating ongoing profitability challenges. The P/E ratio of -5055.7 suggests significant volatility and losses, while the current and quick ratios above 1 indicate adequate liquidity. However, the negative interest coverage ratio raises concerns about the ability to meet interest obligations.
Evolution of Financial Ratios
Over the past five years, CRWD’s financial ratios have shown a mixed evolution. While liquidity ratios have remained stable, the net margin has fluctuated, reflecting inconsistent profitability. The high P/E ratio in 2024 followed by a drastic drop in 2025 signals increased market skepticism about future earnings.
Distribution Policy
CrowdStrike Holdings, Inc. (CRWD) does not currently pay dividends, which aligns with its strategy of reinvesting in growth opportunities and innovation. The company is in a high-growth phase, directing resources towards research and development rather than returning cash to shareholders. Nonetheless, CRWD engages in share buybacks, demonstrating its commitment to enhancing shareholder value. This approach could support sustainable long-term value creation, provided the company successfully navigates its growth trajectory.
Sector Analysis
CrowdStrike Holdings, Inc. operates in the Software – Infrastructure sector, providing cloud-based cybersecurity solutions. Its competitive advantages include a robust Falcon platform and strong threat intelligence capabilities.
Strategic Positioning
CrowdStrike Holdings, Inc. (CRWD) maintains a robust position within the cybersecurity market, boasting a significant market share driven by its Falcon platform. With a market cap of approximately $133.16B, the company faces competitive pressure from established players and emerging startups. Technological disruptions, particularly in AI-driven security solutions, are reshaping the landscape, compelling CrowdStrike to innovate continuously. Its strong subscription model and comprehensive service offerings, including threat intelligence and Zero Trust identity protection, enable it to remain resilient amidst these challenges.
Revenue by Segment
The pie chart illustrates the revenue distribution by segment for CrowdStrike Holdings, Inc. for the fiscal year 2025.
In 2025, CrowdStrike’s revenue from the Subscription and Circulation segment reached 3.76B, significantly outpacing Professional Services, which generated 192.14M. This trend reflects the company’s strong focus on subscription-based revenue as a primary growth driver. Over the past years, Subscription and Circulation has consistently expanded, while Professional Services has seen more modest growth. Notably, the growth rate in Subscription revenue appears to be accelerating, highlighting potential concentration risks as the company relies heavily on this segment for overall performance.
Key Products
Below is a table outlining the key products offered by CrowdStrike Holdings, Inc. These products are essential for providing comprehensive cybersecurity solutions.
| Product | Description |
|---|---|
| Falcon Insight | A cloud-native endpoint protection platform that provides real-time threat detection and response. |
| Falcon Prevent | Next-generation antivirus that uses artificial intelligence to block malware and advanced threats. |
| Falcon OverWatch | A managed threat hunting service that offers 24/7 monitoring and expert analysis of security incidents. |
| Falcon Discover | A visibility solution that helps organizations understand and manage their assets across the network. |
| Falcon Identity | A solution that protects user identities through Zero Trust identity protection and threat detection. |
| Falcon LogScale | A log management and analytics platform that provides insights into security events and operational data. |
Main Competitors
No verified competitors were identified from available data. However, CrowdStrike Holdings, Inc. (CRWD) operates in the competitive software infrastructure sector, specializing in cloud-delivered security solutions. The company holds a significant market share, positioning itself as a leader in endpoint protection and cybersecurity, particularly within the North American market.
Competitive Advantages
CrowdStrike Holdings, Inc. (CRWD) has established a robust competitive edge through its advanced cloud-delivered security solutions, particularly its Falcon platform, which offers comprehensive protection across endpoints and cloud workloads. With a strong focus on Zero Trust identity protection, the company stands out in a crowded market. Looking ahead, CrowdStrike is well-positioned to capitalize on emerging opportunities in threat intelligence and managed security services, as well as expanding its footprint in international markets, potentially driving significant revenue growth.
SWOT Analysis
This analysis evaluates the key strengths, weaknesses, opportunities, and threats related to CrowdStrike Holdings, Inc. (CRWD) to inform strategic decision-making.
Strengths
- Strong market position
- Comprehensive cybersecurity solutions
- Robust subscription model
Weaknesses
- High dependency on subscription renewals
- Limited diversification of products
- Increasing competition
Opportunities
- Growing demand for cybersecurity
- Expansion into new markets
- Strategic partnerships and acquisitions
Threats
- Rapid technological changes
- Regulatory challenges
- Economic downturns
The overall SWOT assessment indicates that CrowdStrike has significant strengths and opportunities that can be leveraged for growth. However, it must address its weaknesses and remain vigilant against external threats to maintain its competitive edge.
Stock Analysis
Over the past year, CrowdStrike Holdings, Inc. (CRWD) has demonstrated significant price movements, characterized by a robust bullish trend that reflects strong investor confidence and market demand.
Trend Analysis
Analyzing CRWD’s price performance over the last two years, I observe a remarkable percentage change of +110.28%. This substantial increase clearly indicates a bullish trend. Additionally, notable price fluctuations were recorded, with a highest price of 543.01 and a lowest price of 217.89. The trend also shows signs of acceleration, further emphasizing the positive momentum in the stock’s performance. The standard deviation of 79.21 suggests considerable volatility, which investors should consider when assessing risk.
Volume Analysis
In the last three months, CRWD has experienced an average trading volume of approximately 14.5M shares. The volume analysis indicates a buyer-driven market, with an average buy volume of about 9.5M shares compared to a sell volume of 5.0M shares. However, the overall volume trend appears to be bearish, with a decreasing slope of -1065905.42. This deceleration in volume suggests a potential shift in investor sentiment, highlighting a cautious approach amid strong buying activity. The buyer volume proportion of 65.49% indicates that while buyers remain dominant, the declining trend in volume may warrant vigilance for potential future market dynamics.
Analyst Opinions
Recent analyst recommendations for CrowdStrike Holdings, Inc. (CRWD) have leaned towards a cautious approach, with a consensus rating of “sell.” Analysts highlight concerns over the company’s low overall score of 1 and a disappointing C- rating, indicating potential challenges in return on equity and assets. The debt-to-equity ratio received a slightly better score of 2, but overall, the financial metrics suggest increased risk. Analysts recommend investors remain vigilant and consider alternative options for their portfolios.
Stock Grades
The recent stock ratings for CrowdStrike Holdings, Inc. (CRWD) indicate a stable outlook from multiple reputable grading companies.
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Baird | Maintain | Neutral | 2025-11-14 |
| Barclays | Maintain | Overweight | 2025-11-14 |
| Morgan Stanley | Maintain | Equal Weight | 2025-11-13 |
| BTIG | Maintain | Buy | 2025-11-04 |
| Oppenheimer | Maintain | Outperform | 2025-10-17 |
| WestPark Capital | Maintain | Hold | 2025-10-15 |
| RBC Capital | Maintain | Outperform | 2025-10-13 |
| Stephens & Co. | Maintain | Overweight | 2025-10-09 |
| Wells Fargo | Maintain | Overweight | 2025-10-01 |
| Scotiabank | Upgrade | Sector Outperform | 2025-09-25 |
The overall trend reflects a consistent sentiment among analysts, with most maintaining their ratings. Notably, Scotiabank upgraded its rating to Sector Outperform, suggesting increased confidence in CRWD’s performance compared to its sector peers.
Target Prices
The consensus among analysts for CrowdStrike Holdings, Inc. (CRWD) indicates a strong outlook on the stock.
| Target High | Target Low | Consensus |
|---|---|---|
| 706 | 430 | 537 |
Overall, analysts expect CRWD to perform well, with the consensus target price suggesting significant upside potential.
Consumer Opinions
Consumer sentiment towards CrowdStrike Holdings, Inc. (CRWD) reflects a mix of enthusiasm for its cybersecurity solutions and concerns about pricing and customer service.
| Positive Reviews | Negative Reviews |
|---|---|
| “Exceptional threat detection capabilities!” | “Pricing is higher than competitors.” |
| “User-friendly interface and great support.” | “Customer service response times are slow.” |
| “Consistently updates and improves software.” | “Some features can be confusing to navigate.” |
| “Highly reliable for enterprise-level security.” | “Initial setup was complicated.” |
Overall, consumer feedback indicates that while users appreciate CrowdStrike’s robust security features and ease of use, concerns about pricing and customer service persist.
Risk Analysis
In evaluating CrowdStrike Holdings, Inc. (CRWD), it’s crucial to understand the various risks that could impact its performance. Below is a synthesis of key risks associated with the company.
| Category | Description | Probability | Impact |
|---|---|---|---|
| Market Risk | Fluctuations in the tech sector may affect CRWD’s stock price. | High | High |
| Cybersecurity Risk | Increasing sophistication of cyberattacks could challenge CRWD’s services. | Very High | Very High |
| Regulatory Risk | Changes in data protection laws could impact operations. | Medium | High |
| Competition Risk | Intense competition in the cybersecurity space may erode market share. | High | Medium |
The most pressing risks for CRWD include the very high probability of cybersecurity threats, which could significantly hinder its service effectiveness, alongside market volatility that can affect stock performance.
Should You Buy CrowdStrike Holdings, Inc.?
CrowdStrike Holdings, Inc. (CRWD) specializes in cybersecurity solutions, boasting a high gross profit margin of 74.9% but currently facing challenges with a negative net profit margin of -0.49% and an operating loss of -3%. The company has a WACC of 8.81% and a ROIC that has not surpassed this benchmark, indicating a need for improved return on its investments.
Given the current financial ratios, the negative net margin and lack of profitability suggest that it may be wise to wait for fundamental improvements before considering an investment in CRWD. Although the long-term trend remains bullish, the seller volumes indicate a cautious approach is warranted at this time.
The primary risks include intense competition within the cybersecurity sector and potential supply chain disruptions that could affect operational efficiency.
Disclaimer: This article is not financial advice. Each investor is responsible for their own investment decisions.
Additional Resources
- CrowdStrike $CRWD Shares Sold by Westwood Holdings Group Inc. – MarketBeat (Nov 16, 2025)
- CrowdStrike Holdings, Inc. (CRWD): A Bull Case Theory – Yahoo Finance (Oct 22, 2025)
- CrowdStrike Holdings (CRWD): Analysts Turn More Bullish as Growth Outlook Improves – MSN (Nov 14, 2025)
- CRWD Stock Hits Key Inflection Point Ahead of Earnings – The Globe and Mail (Nov 14, 2025)
- CrowdStrike Holdings Inc. (CRWD) Stock Price | Live Quotes & Charts | NASDAQ – StocksToTrade (Nov 15, 2025)
For more information about CrowdStrike Holdings, Inc., please visit the official website: crowdstrike.com
