CrowdStrike Holdings (CRWD) PT Lowered to $425 at Evercore ISI, Adding To Tactical Underperform

Evercore ISI analyst Peter Levine lowered the price target on CrowdStrike Holdings (NASDAQ: CRWD) to $425.00 (from $440.00) while maintaining a In Line rating.

The analyst comments "Ahead of F2Q results on 8/27, we are adding CRWD to our tactical U/P list following subdued channel checks this quarter. We view F2Q as a critical “show me” quarter for CRWD. Our checks, combined with a premium valuation priced for perfection and elevated expectations, creates an unfavorable setup. Survey data this quarter reflected a more muted tone (full results inside) which was broad-based across all metrics we gather quarterly. This likely reflects an environment where partners are performing in line with targets but not seeing the same level of upside or momentum that characterized prior periods. The bull case (playing for mid-20% growth in FY27) is leaning on stronger Falcon Flex adoption, broader module expansion, and a smooth CCP conversion cycle. However, our data suggests Falcon Flex adoption remains early, with no evidence of outsized consumption based on initial cohort trends. Module adoption is broadly in line with expectations, though we have not seen signs of meaningful adoption trends exceeding expectations. As for the CCP renewal cycle, which likely begins ramping in F4Q (based on our data), partner feedback shows a split view on conversions. There is no clear consensus that customers will pay full list price for previously credited products, introducing uncertainty into potential upside. Overall, the assumptions supporting the bull case may be more optimistic than current trends suggest. Bottom Line: This is a tactical call into the print and not a challenge to the L/T fundamentals, the quality of the asset, or leadership. However, given CRWD’s status as a consensus long for most of ’25, we believe the 2H setup is less favorable than current positioning reflects. Our view is that upside is limited, even with a clean print, unless 2H estimates are raised meaningfully, which our work doesn’t indicate."

You May Also Be Interested In

• Bernstein SocGen Group Starts Terawulf Inc. (WULF) at Outperform
• After-Hours Stock Movers: AVGO, CRWD, FIVE, AI, TLYS, NTSK,
• RBC Capital on Veeva Systems (VEEV) Amid After Hours Selloff on Earnings: 'we are surprised to see shares trade down'