CrowdStrike (CRWD) Initiated at 'Neutral' by Macquarie on Valuation Concerns

CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is one of the AI Stocks on Wall Street’s Radar. On July 17, Macquarie analyst Steve Koenig initiated coverage on the stock with a “Neutral” rating and a price target of $465. According to the firm, Crowdstrike’s product strategy can continue driving sales momentum and product differentiation.

However, the analysts told investors in a research note that the company’s valuation looks “rich on a variety of metrics” at current share levels.

In particular, the firm highlighted that CrowdStrike is trading at a 58% premium to their estimated “Rule of X” enterprise value to next-twelve-months revenue multiple.

CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is a leader in AI-driven endpoint and cloud workload protection.

While we acknowledge the potential of CRWD as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 10 AI Stocks Gaining Attention on Wall Street and 10 AI Stocks Investors Are Watching Closely.

Disclosure: None.