The most recent trading session ended with CrowdStrike Holdings (CRWD) standing at $423.08, reflecting a -0.42% shift from the previouse trading day's closing. The stock fell short of the S&P 500, which registered a gain of 0.06% for the day. Elsewhere, the Dow saw an upswing of 0.28%, while the tech-heavy Nasdaq depreciated by 0.1%.
Shares of the cloud-based security company witnessed a gain of 18.98% over the previous month, beating the performance of the Computer and Technology sector with its loss of 5.52% and the S&P 500's loss of 4.29%.
The investment community will be closely monitoring the performance of CrowdStrike Holdings in its forthcoming earnings report. The company is expected to report EPS of $0.66, down 29.03% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $1.1 billion, indicating a 19.92% growth compared to the corresponding quarter of the prior year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.44 per share and a revenue of $4.78 billion, indicating changes of -12.47% and +20.96%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for CrowdStrike Holdings. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 9.75% higher. CrowdStrike Holdings is currently a Zacks Rank #4 (Sell).
In the context of valuation, CrowdStrike Holdings is at present trading with a Forward P/E ratio of 123.53. This signifies a premium in comparison to the average Forward P/E of 63.04 for its industry.
It's also important to note that CRWD currently trades at a PEG ratio of 5.75. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The average PEG ratio for the Security industry stood at 3.2 at the close of the market yesterday.
The Security industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 160, which puts it in the bottom 36% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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 use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming 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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