CrowdStrike (CRWD) Stock Forecast & Price Target

CrowdStrike Holdings has demonstrated strong growth in its Falcon platform, achieving record net new ARR in F3Q26 that rose over 50% sequentially, indicating robust demand for its cybersecurity solutions. The company's guidance for future new ARR growth aligns with investor expectations, reflecting a healthy y/y rise in 3Q, and was bolstered by a raised revenue forecast for FY26 due to continued momentum in platform adoption. Additionally, the increasing shift toward cloud-based security, coupled with accelerating demand driven by rising cyber threats, positions CrowdStrike favorably for future growth and recurring revenue expansion.

CrowdStrike Holdings faces a negative outlook primarily due to lowering conversion rates and expectations of modest net-new Annual Recurring Revenue (ARR) growth. The competitive landscape, notably from larger players like Microsoft and SentinelOne, heightens risks of slowing customer acquisition and retention, exacerbated by potential saturation in its core endpoint protection business. Additionally, macroeconomic uncertainties and a history of technical incidents could further hinder growth and negatively impact the company's reputation and customer trust.