- JPMorgan anticipates a strong fourth-quarter (Q4) performance, citing a durable sales pipeline.
- Shares across the cybersecurity software space have taken a knock after Anthropic introduced its Claude Code Security product.
- Essex said that the market’s reaction “appears overdone” for platform-focused vendors such as CrowdStrike.
JPMorgan has trimmed its price target on CrowdStrike Holdings Inc. (CRWD) ahead of the cybersecurity company’s upcoming quarterly results next week, even as the firm maintained a bullish stance on the stock.
Analyst Brian Essex reduced his price target to $472 from $582 while reiterating an ‘Overweight’ rating, citing valuation recalibration rather than weakening fundamentals, according to TheFly.
Earnings Outlook Remains Solid
Essex said he anticipates a strong fourth-quarter (Q4) performance, citing a durable sales pipeline and ongoing adoption of the company’s Falcon Flex offering. He also expects continued quarter-over-quarter expansion in net new annual recurring revenue as the company moves toward fiscal 2027.
This underlying demand for CrowdStrike’s cybersecurity platform holding firm, even as the broader technology sector contends with volatility and shifting sentiment.
The cybersecurity provider is scheduled to report fourth-quarter (Q4) earnings on March 3. Analysts expect a Q4 revenue of $1.29 billion and earnings per share (EPS) of $1.1, according to Fiscal AI data.
AI Code Security Competition Seen As Limited Threat
Shares across the cybersecurity software space took a knock on Friday after Anthropic introduced its Claude Code Security product. However, Essex said that the market’s reaction “appears overdone” for platform-focused vendors such as CrowdStrike.
According to JPMorgan, code vulnerability scanning tools compete more directly with static code analysis providers, not with CrowdStrike’s core runtime detection and response capabilities. The firm contends that CrowdStrike’s platform positioning and differentiated offerings leave it less exposed to competition from new code-focused products.
What Is The Retail Mood On Stocktwits?
CrowdStrike stock inched 0.4% higher in Wednesday’s premarket. On Stocktwits, retail sentiment around the stock remained in ‘extremely bullish’ territory amid ‘extremely high’ message volume levels.
CRWD stock has declined by more than 7% over the last 12 months.
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