CrowdStrike Holdings (CRWD) ended the recent trading session at $454.57, demonstrating a -1.85% change from the preceding day's closing price. The stock fell short of the S&P 500, which registered a loss of 0.37% for the day. Meanwhile, the Dow lost 0.74%, and the Nasdaq, a tech-heavy index, lost 0.03%.
Shares of the cloud-based security company witnessed a loss of 6.64% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 4.58%, and the S&P 500's gain of 2.68%.
Investors will be eagerly watching for the performance of CrowdStrike Holdings in its upcoming earnings disclosure. The company is predicted to post an EPS of $0.83, indicating a 20.19% decline compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $1.15 billion, indicating a 19.22% increase compared to the same quarter of the previous year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $3.5 per share and a revenue of $4.78 billion, signifying shifts of -10.94% and +20.86%, respectively, from the last year.
Investors should also take note of any recent adjustments to analyst estimates for CrowdStrike Holdings. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. CrowdStrike Holdings is currently a Zacks Rank #3 (Hold).
Digging into valuation, CrowdStrike Holdings currently has a Forward P/E ratio of 132.2. This represents a premium compared to its industry average Forward P/E of 73.13.
One should further note that CRWD currently holds a PEG ratio of 5.83. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Security industry had an average PEG ratio of 3.06 as trading concluded yesterday.
The Security industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 42, finds itself in the top 18% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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CrowdStrike (CRWD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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