One-glance verdict
Overvalued
$257.37 our estimate vs market $687.27
Wall Street consensus: $712.37 (176.8% higher than our fair-value estimate)
167% above our estimate, beyond the bull case
Fundamentals snapshot
CrowdStrike Holdings, Inc.
CRWD · NMS · Technology · Software - Infrastructure
Current price
$687.27
52-week range
$342.72 - $785.66
Market cap
$174.95B
Balance sheet
Healthy
-10.47x Concerning
Net cash $3.73B. Interest coverage shows how many times profit covers the interest bill.
What stands out
2 Rewards
1 Risk
2 rewards · 1 risks
- Reward Revenue grew 21.7% last year.
- Reward Free cash flow was positive in 6/10 years.
- Risk Return on equity was -0.2% last year — the company lost money on shareholders' equity.
What this company does
CrowdStrike Holdings, Inc.
CrowdStrike is a cybersecurity company that sells software subscriptions to protect businesses' computers and data from digital attacks, creating predictable recurring revenue (money that comes in regularly from ongoing payments). As more companies move their work online and adopt new technologies like artificial intelligence, the demand for this kind of digital protection grows.
How the company got here
CrowdStrike was founded in 2011 by a team who felt that traditional cybersecurity methods, like antivirus software, were no longer enough to stop sophisticated cyberattacks. They built the company around a new idea: instead of just looking for known viruses, they would watch for the behaviors of attackers to stop breaches before they happen. A key moment came in 2013 with the launch of their main product, the Falcon platform, which is delivered through the cloud as a subscription service (a model where customers pay a recurring fee for access). The company gained significant public recognition for investigating high-profile cyberattacks and went public with a successful IPO (Initial Public Offering, the first time a private company sells its stock to the public) in 2019.
What it actually does
CrowdStrike provides cybersecurity services to businesses and governments to protect their computers, servers, and cloud-based data from hackers and malicious software. Its main product is the Falcon platform, which acts like a security guard for a company's entire digital environment. Instead of installing bulky software that needs constant updates, CrowdStrike places a small, lightweight sensor on each device. This sensor watches for suspicious activities and sends information to CrowdStrike's cloud, where artificial intelligence helps to instantly identify and block threats.
Subscription
This is CrowdStrike's primary way of making money, accounting for the vast majority of its revenue (the total amount of money generated from sales). Customers pay a recurring fee, typically yearly, to access the Falcon platform and its various security modules. This subscription-based model provides the company with a predictable stream of income. Customers can choose from different tiers of service and add on more modules as their needs grow, covering everything from protecting employee laptops to securing their data in the cloud.
Professional Services
This is a much smaller part of CrowdStrike's business, making up a small fraction of its total revenue. This segment includes hands-on help from CrowdStrike's security experts. For example, a company that has experienced a data breach can hire CrowdStrike's team to investigate what happened, remove the attacker, and restore their systems. Other services include proactive threat hunting (actively searching for hidden threats in a network) and providing expert advice to improve a company's overall security.
What management is betting on now
CrowdStrike's leadership is focused on expanding the capabilities of its Falcon platform to become a comprehensive security solution for modern businesses. A major priority is securing the growing use of artificial intelligence (AI), helping companies protect their AI models and data from new types of threats. They are also heavily invested in cloud security, aiming to protect the vast amounts of data and applications that companies now run in the cloud. The strategy is to encourage customers to adopt more of their modules, effectively consolidating their security spending with CrowdStrike instead of using multiple different vendors.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2025 Q2
$287.39M
FY2025 Q3
$247.43M
FY2025 Q4
$258.51M
FY2026 Q1
$298.36M
FY2026 Q2
$302.33M
FY2026 Q3
$314.15M
FY2026 Q4
$395.40M
FY2027 Q1
$493.31M
Revenue
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Net income
$27.77M
Diluted EPS
0.11
Operating cash flow
$590.94M
Free cash flow
$493.31M
Fetching…
Sources
Revenue
—
Net income
$59.38M
Diluted EPS
0.24
Operating cash flow
$497.87M
Free cash flow
$395.40M
Fetching…
Sources
Revenue
—
Net income
$-34.00M
Diluted EPS
-0.14
Operating cash flow
$397.54M
Free cash flow
$314.15M
Fetching…
Sources
Revenue
—
Net income
$-77.67M
Diluted EPS
-0.31
Operating cash flow
$332.83M
Free cash flow
$302.33M
Fetching…
Sources
Revenue
—
Net income
$-110.21M
Diluted EPS
-0.44
Operating cash flow
$384.11M
Free cash flow
$298.36M
Fetching…
Sources
Revenue
—
Net income
$-92.28M
Diluted EPS
-0.37
Operating cash flow
$345.72M
Free cash flow
$258.51M
Fetching…
Sources
Revenue
—
Net income
$-16.82M
Diluted EPS
-0.07
Operating cash flow
$326.14M
Free cash flow
$247.43M
Fetching…
Sources
Revenue
—
Net income
$47.01M
Diluted EPS
0.19
Operating cash flow
$326.64M
Free cash flow
$287.39M
Fetching…
Sources
Is it cheap or expensive?
Fair value $257.37 vs current price $687.27
Wall Street consensus is the average analyst price target: $712.37 (176.8% higher than our fair-value estimate).
Our most-likely fair value is $257.37 a share — about 62.6% below today's price of $687.27, so the stock currently looks expensive (overvalued).
Is it drowning in debt?
Healthy
Net cash $3.7B - more cash than debt. Interest coverage -10.5x.
Net debt
$-3.73B
Interest coverage
-10.47x
CrowdStrike Holdings, Inc. is healthier than 0 of 1 peers on balance-sheet leverage.
Healthy
Worse cushion
Baseline
Better cushion
CRWD
BASELINE
CrowdStrike Holdings, Inc.
Total debt $821.34M Interest coverage -10.47x This is the baseline the peer rows are being compared against.
What you should know
The case for and against CRWD
2 Rewards
1 Risk
Rewards
-
Revenue grew 21.7% last year.
-
Free cash flow was positive in 6/10 years.
Risks
-
Return on equity was -0.2% last year — the company lost money on shareholders' equity.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
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Forward P/E
109.97x
P/B
37.75x
P/S
34.34x
EV/EBITDA
2,905.46x
PEG ratio
5.27x
Profitability
How much profit each dollar creates
Gross margin
75.1%
Operating margin
-2.2%
Net margin
-0.6%
ROE
-0.2%
ROA
-1.0%
Health
Liquidity and balance-sheet strength
Debt / equity
0.18x
Current ratio
1.53x
Quick ratio
1.33x
Total debt
$821.34M
Total cash
$4.55B
Growth
How the business has been compounding
Revenue TTM
$5.09B
Revenue 5Y CAGR
29.0%
EPS TTM
-0.14
EPS 5Y CAGR
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Cash flow
How much cash the business throws off
Operating CF TTM
$1.82B
Free CF TTM
$1.31B
FCF margin
25.7%
Dividend
Shareholder payout
Yield
—
Payout ratio
0.0%
Last ex-div date
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