Why CrowdStrike Stock Is Soaring Today: Analyst Upgrade & Growth Outlook
Why CrowdStrike Stock Is Flying Higher Today
Shares of CrowdStrike (NASDAQ: CRWD) surged 3.7% in early trading on Monday, outpacing the broader market as the S&P 500 and Nasdaq Composite posted modest gains of 0.2% and 0.3%, respectively. The rally was fueled by a bullish analyst upgrade from BTIG, which cited strong revenue growth potential over the next two years.
In this deep dive, we’ll explore:
✅ Why BTIG upgraded CrowdStrike to "Buy"
✅ CrowdStrike’s recovery from its 2024 outage
✅ Long-term revenue projections (2027 & beyond)
✅ Is CRWD stock still a buy at current valuations?
1. BTIG’s Bullish Upgrade: Why Analysts Are Optimistic
Key Takeaways from BTIG’s Report
- Rating Change: Upgraded from "Neutral" to "Buy"
- Revenue Growth Forecast: Expects 2.5% to 8% upside to Wall Street’s FY2027 Annual Recurring Revenue (ARR) estimates
- Long-Term ARR Target: 6.2B–6.2B–6.6B by FY2027 (Jan 2027)
- $10B ARR Target: Could be achieved before 2031 (ahead of CrowdStrike’s own projections)
BTIG analysts highlighted that CrowdStrike has solidified its dominance in endpoint security, a critical segment of the $200B+ cybersecurity market. The firm believes ARR growth will accelerate in late 2026, driven by:
✔ Expansion into cloud security
✔ Strong demand for AI-powered threat detection
✔ Cross-selling to existing customers
Market Reaction
- CRWD stock jumped 5.4% intraday before settling at a 3.7% gain
- Trading volume spiked 30% above average, indicating strong institutional interest
2. CrowdStrike’s Comeback After the 2024 Outage
The 2024 Cybersecurity Crisis
Last year, CrowdStrike faced one of the worst outages in cybersecurity history, causing millions of systems to crash globally. The incident:
???? Sent CRWD stock plunging nearly 50%
???? Damaged short-term investor confidence
How CrowdStrike Recovered
Since then, the company has:
✅ Invested heavily in redundancy & fail-safe protocols
✅ Regained enterprise trust with improved uptime
✅ Seen its stock fully recover and hit new highs
Today, over 80% of analysts rate CRWD as a "Buy", reflecting renewed confidence in its long-term growth.
3. CrowdStrike’s Growth Trajectory: Can It Hit $10B ARR by 2031?
Current Financial Snapshot (2025)
- Market Cap: ~$90B
- Forward P/E Ratio: 100+ (expensive, but growth-justified)
- Revenue Growth (YoY): 35%+
Growth Drivers
???? AI & Machine Learning: Falcon platform’s threat detection is best-in-class
???? Cloud Security Expansion: CrowdStrike is taking share from legacy players like Symantec
???? Global Demand: Cyberattacks are rising, boosting enterprise security budgets
4. Should You Buy CrowdStrike Stock Now?
Pros of Investing in CRWD
✔ Leader in endpoint security (Gartner Magic Quadrant leader)
✔ Recurring revenue model (ARR) ensures stability
✔ Massive $200B+ cybersecurity TAM (total addressable market)
Risks to Consider
❌ High valuation (P/E >100) – vulnerable to market pullbacks
❌ Competition from Microsoft, Palo Alto Networks
❌ Macro risks (economic slowdown could delay IT spending)
Motley Fool’s Take
While The Motley Fool’s Stock Advisor did not include CRWD in its "Top 10 Stocks for 2025," the service has a strong track record (859% average return vs. S&P 500’s 167%).
Historical Example:
- Nvidia (NVDA) was a 2005 Stock Advisor pick
- A 1,000investmentthenwouldnowbeworth1,000investmentthenwouldnowbeworth744,133
Final Verdict: Is CRWD Stock a Buy?
For Growth Investors:
✅ Strong buy if you believe in long-term cybersecurity demand
✅ BTIG’s $10B ARR target suggests 50%+ upside
For Value Investors:
⚠ Wait for a pullback – P/E of 100+ is steep
Bottom Line:
CrowdStrike remains a high-growth, high-risk play. If you’re bullish on cybersecurity, dollar-cost averaging could be a smart strategy.