Here’s an indisputable fact about semiconductor sector leader Nvidia (NVDA). It has massive coattails. One comment from CEO Jensen Huang and his leadership team can push a lot of momentum and investor interest. We’ve seen it with his remarks about Taiwan Semiconductor Manufacturing (TSM) (calling it one of the “greatest companies in the history of humanity”), Meta Platforms (META) (“Nobody uses AI better than Meta”), and Nebius Group (NBIS) (“Nebius will take care of you”).
Now the shine is on CrowdStrike Holdings (CRWD), the cybersecurity company known for its cloud-native platform for endpoint security. At CrowdStrike’s recent Fal.Con 2026 conference in Las Vegas, Huang said that CrowdStrike is Nvidia’s top security partner.
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Huang and CrowdStrike CEO and founder George Kurtz announced CrowdStrike SafeMind, which is the company’s agentic cybersecurity system developed by the CrowdStrike Cyber Superintelligence Lab. SafeMind combines CrowdStrike’s purpose-built models with defensive models built on Nvidia Nemotron, where they are looped so offense and defense can repeatedly challenge and improve each other.
“This is the beginning of a new age of cybersecurity,” Huang said. “On the one hand, the adversaries are going to be more armed than ever. On the other hand, all of you are going to be more armed than ever.”
CRWD stock has been a consistent winner, gaining over 400% over the last three years. And according to at least one analyst, it’s set up for continued success through its 2028 fiscal year.
About CrowdStrike Stock
Based in Austin, Texas, CrowdStrike is a leading cybersecurity company that provides next-generation endpoint protection and threat intelligence. It’s best known for its endpoint platform, Falcon, which uses artificial intelligence to stop threats on laptops and servers. The company has a market capitalization of $218 billion.
Shares are up 100% in the last year, by far outperforming the broader index as well as its competitors—Fortinet (FTNT) is up 97% in the same period, while Palo Alto Networks (PANW) rose 70% and SentinelOne (S) is up just 9%.
But the downside lies in the stock’s valuation. CrowdStrike has an outsized forward price-to-earnings ratio of 166, which is much higher than Palo Alto (79), SentinelOne (60), or Fortinet (44).
www.barchart.com CrowdStrike Misses on Earnings
Despite the massive jump in stock price in the last year, CrowdStrike’s reported earnings are very small—and in the second quarter of fiscal 2027 (ending July 31, 2026), it narrowly missed analysts’ expectations.
Revenue was $1.47 billion, up 26% from the previous year, and subscription revenue was $1.4 billion, up 27%. The company reported annual recurring revenue of $5.84 billion, up 25% from the previous year.
GAAP net income was $5.3 million, which was an improvement from a year ago when the company lost $70.2 million. But diluted earnings per share of $0.01 missed analysts’ expectations of $0.05.
Nonetheless, management called it the best quarter in company history, assisted in part by the rollout of Anthropic’s Claude Mythos model that helped drive demand for AI security.
“The Mythos moment translated into mass-market acceptance that AI adoption needs security, and that's CrowdStrike,” he said. “Every enterprise will run on AI, and securing it is the largest market opportunity in our history.”
What Do Analysts Expect for CRWD Stock?
Jefferies analyst Joseph Gallo was particularly impressed with CrowdStrike and its Fal.Con conference, noting that more than 10,000 people attended. “Additionally, the number of cyber vendors attending made this feel like an industry conference, which again speaks to the growing ecosystem built around CRWD,” he said in an investor note.
Gallo noted that CrowdStrike issued guidance for total annual recurring revenue growth for fiscal 2028 of 24.6%. He has a “Buy” rating on the stock, and a price target of $240, which represents potential upside of nearly 15%.
His peers are generally in agreement, with 50 analysts who follow the company having a consensus “Moderate Buy” rating on the stock. The consensus price target is $235, which is just below Gallo’s own estimate.
www.barchart.com On the date of publication, Patrick Sanders had a position in: NVDA , NBIS . All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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