Can CRWD's Partnership Ecosystem Accelerate its Path to $10B ARR?

CrowdStrike (CRWD) is rapidly expanding through strategic partnerships to strengthen its growth outlook. In the second quarter of fiscal 2026, about 60% of new business came through partners, showing the importance of strategic partnerships to the company’s growth strategy.

In September 2025, CrowdStrike announced several partnerships that highlight the growing adoption of its Falcon platform. In September 2025, CrowdStrike expanded its partnership with NVIDIA, where it introduced Charlotte AI AgentWorks, which is integrated with NVIDIA’s Nemotron models. Through this partnership, CrowdStrike aims to combine Charlotte AI with NVIDIA’s AI models and enable security teams to safely build and manage AI agents.

In addition to NVIDIA, CrowdStrike also announced collaborations with KPMG, Salesforce, and Meta. KPMG will use CrowdStrike’s Falcon Next-Gen SIEM to help its clients upgrade old security systems, while improving their security operations. This partnership will make it easier for companies to modernize their security centers and reduce costs while improving detection speed.

With Salesforce, CrowdStrike is securing AI-powered business tools. The integration connects Falcon Shield with Salesforce Security Center and brings Charlotte AI into Agentforce. This gives companies better visibility into AI agents and stronger protection for sensitive business data. CrowdStrike also teamed up with Meta to create CyberSOCEval, which is an open benchmark that measures how AI models perform in the real world.

The above-mentioned strategic partnerships demonstrate the rising adoption of CrowdStrike’s Falcon platform. These alliances are expected to support the company’s long-term goal of $10 billion in annual recurring revenue (ARR) by fiscal 2031 and help the company strengthen its position in the cybersecurity market. The Zacks Consensus Estimate for both fiscal 2026 and 2027 revenues indicates a year-over-year increase of around 21%.

How Competitors Fare Against CRWD

Palo Alto Networks (PANW) and Okta Inc. (OKTA) are key players competing with CrowdStrike, which are also focusing on acquisitions for platform expansion and AI innovation.

Palo Alto Networks’ pending acquisition of CyberArk would strengthen the company’s foothold in a category where it currently lacks scale. Identity-driven threat protection has remained a weaker link for Palo Alto Networks. By integrating CyberArk’s capabilities, Palo Alto Networks would be able to deliver a more comprehensive and unified platform that spans cloud, endpoint, network and identity protection.

Okta completed its acquisition of Axiom Security in September 2025. Through this acquisition, Okta has added new tools for privileged access management, helping customers control who can reach sensitive cloud, SaaS, and database systems.

CRWD’s Price Performance, Valuation and Estimates

Shares of CrowdStrike have gained 63.6% year to date compared with the Security industry’s growth of 23.8%.

CRWD YTD Price Return Performance

From a valuation standpoint, CrowdStrike trades at a forward price-to-sales ratio of 23.25X, way higher than the industry’s average of 13.23X.

CRWD Forward 12-Month P/S Ratio

The Zacks Consensus Estimate for CrowdStrike’s fiscal 2026 earnings implies a year-over-year decline of 6.6%, while for fiscal 2027 earnings indicates year-over-year growth of 29.3%. The estimates for fiscal 2026 have been revised upward over the past 60 days, while for fiscal 2027, the estimates have been revised upward over the past 30 days.

CrowdStrike currently flaunts a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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