CrowdStrike Holdings (CRWD) ended the recent trading session at $368.45, demonstrating a +1.59% swing from the preceding day's closing price. This move lagged the S&P 500's daily gain of 2.51%. Elsewhere, the Dow gained 2.66%, while the tech-heavy Nasdaq added 2.71%.
Coming into today, shares of the cloud-based security company had lost 2.67% in the past month. In that same time, the Computer and Technology sector lost 12.18%, while the S&P 500 lost 8.86%.
The investment community will be paying close attention to the earnings performance of CrowdStrike Holdings in its upcoming release. The company's upcoming EPS is projected at $0.65, signifying a 30.11% drop compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $1.1 billion, indicating a 19.93% increase compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.40 per share and revenue of $4.78 billion, indicating changes of -13.49% and +20.95%, respectively, compared to the previous year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for CrowdStrike Holdings. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.18% decrease. CrowdStrike Holdings currently has a Zacks Rank of #4 (Sell).
From a valuation perspective, CrowdStrike Holdings is currently exchanging hands at a Forward P/E ratio of 106.57. This denotes a premium relative to the industry's average Forward P/E of 56.29.
One should further note that CRWD currently holds a PEG ratio of 4.96. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Security was holding an average PEG ratio of 2.92 at yesterday's closing price.
The Security industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 89, finds itself in the top 36% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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CrowdStrike (CRWD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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