Truist Financial raised CrowdStrike’s (CRWD) price target to $170 (31.5% upside potential) from $120 and reiterated a Buy rating following the cybersecurity solution provider’s robust 2Q results.
On September 3, Truist Financial analyst Joel Fishbein noted that CrowdStrike has reported a “strong, beat and raise” financial results for 2Q. Fishbein expects continued growth momentum for the company driven by accelerated digital transformation and work-from-home wave.
Despite the price target lift, shares of CrowdStrike tumbled 9% on Thursday. Along with yesterday’s massive stock market sell-off, it seems that investors pulled out money from CrowdStrike stock after shares rallied 159% this year. (See CRWD stock analysis on TipRanks).
On September 2, the company reported that its 2Q revenues climbed 84% to $199 million and beat Street estimates of $188.5 million. The cloud-based cybersecurity solution provider posted an adjusted EPS of $0.03, which compared favorably with analysts’ expectations of a loss of $0.01 as well as the year-ago quarter’s loss of $0.18. CrowdStrike has been benefiting from the increased necessity of cybersecurity solutions amid the COVID-19 pandemic-led work-from-home trend.
Currently, Wall Street analysts have a bullish outlook on the stock. The Strong Buy analyst consensus is based on 16 Buys and 5 Holds. The average analyst price target of $148.14 implies an upside potential of 14.6% to current levels.
Related News:
CrowdStrike Beats 2Q Sales Estimates Fueled By Strong Security Demand
Broadcom Down Even As Earnings Impress; Analyst Ramps PT To $390
Nvidia’s New 30-Series GPUs a Possible Headache for the Competition; Analyst Says ‘Buy’
