CrowdStrike Holdings (CRWD) closed the most recent trading day at $206.77, moving -1.88% from the previous trading session. This move lagged the S&P 500's daily gain of 0.38%. Meanwhile, the Dow gained 0.29%, and the Nasdaq, a tech-heavy index, added 0.62%.
Shares of the cloud-based security company have appreciated by 24.05% over the course of the past month, outperforming the Computer and Technology sector's loss of 0.53%, and the S&P 500's gain of 1.61%.
Market participants will be closely following the financial results of CrowdStrike Holdings in its upcoming release. It is anticipated that the company will report an EPS of $0.29, marking a 26.09% rise compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $1.44 billion, reflecting a 23.19% rise from the equivalent quarter last year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $1.23 per share and a revenue of $5.94 billion, indicating changes of +32.26% and +23.49%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for CrowdStrike Holdings. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.88% higher within the past month. CrowdStrike Holdings presently features a Zacks Rank of #4 (Sell).
In terms of valuation, CrowdStrike Holdings is presently being traded at a Forward P/E ratio of 170.86. This expresses a premium compared to the average Forward P/E of 52.91 of its industry.
Investors should also note that CRWD has a PEG ratio of 6.16 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Security industry held an average PEG ratio of 3.27.
The Security industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 46, finds itself in the top 19% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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This article originally published on Zacks Investment Research (zacks.com).