Gerhard Watzinger, one of CrowdStrike Holdings’ (CRWD) directors, recently sold shares worth $10.5 million of the company. CRWD offers endpoint security solutions, threat detection, and cyberattack response services.
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According to the SEC filing, Watzinger sold 30,000 CRWD shares on November 29, at prices ranging between $347.01 and $350.03 per share. These shares were obtained by exercising stock options to convert class B common stock into class A common stock.
It is worth noting that even after the latest Informative Sell transaction, Watzinger owns 56,524 CRWD shares worth $19.56 million.
Insider Sale Follows CRWD’s Better-Than-Expected Q3 Results
The sale by CrowdStrike’s director occurred just a week after the company released better-than-expected results for the third quarter. The company’s topline performance was aided by the strong adoption of its Falcon platform, a cloud-based cybersecurity platform that protects organizations from cyberattacks.
However, CRWD provided soft guidance for the fourth quarter and Fiscal 2025. The company expects fourth-quarter earnings of $0.84 to $0.86 per share. The midpoint of the guided range is below Wall Street’s expectations of $0.86.
Bearish Insider Sentiment for CRWD Stock
It is worth highlighting that Watzinger is not the only one who reduced his stake in the company. Based on other informative insider transactions from the last three months, corporate insiders have sold $34.4 million worth of CRWD stock. Overall, TipRanks’ Insider Trading Activity Tool shows that insider confidence in the stock is currently Very Negative.
It is important to keep an eye on the Informative trades of corporate insiders, given their knowledge of a company’s growth potential. Interestingly, TipRanks offers daily insider transactions as well as a list of top corporate insiders. It also provides a list of hot stocks that boast either a Very Positive or Positive insider confidence signal.
Is CRWD a Good Stock to Buy Today?
Turning to Wall Street, CRWD stock has a Strong Buy consensus rating based on 30 Buys and six Holds assigned in the last three months. At $374.94, the average CrowdStrike price target implies an 8.11% upside potential. Shares of the company have gained about 36% year-to-date.
