CrowdStrike (NASDAQ:CRWD) Stock Price Down 7.9% – Time to Sell?

Shares of CrowdStrike (NASDAQ:CRWD) traded down 7.9% on Friday . The company traded as low as $387.11 and last traded at $388.60. 8,283,541 shares were traded during trading, an increase of 155% from the average session volume of 3,249,958 shares. The stock had previously closed at $422.14.

Key Stories Impacting CrowdStrike

Here are the key news stories impacting CrowdStrike this week:

• Positive Sentiment: CrowdStrike announced an integration with Qualtrics to secure employee‑experience data, a product tie-up that supports cross‑sell and endpoint-to-data security use cases. CrowdStrike (CRWD) Teams Up With Qualtrics To Secure Employee Experience Data
• Positive Sentiment: Several bullish views remain on CRWD — many analysts still carry Buy/Overweight ratings and multi‑hundred dollar price targets, supporting longer‑term upside expectations despite near‑term weakness. CrowdStrike slides 7.9% as AI-driven “software replacement” fears hit cybersecurity stocks
• Neutral Sentiment: Short-interest reporting in the past days has odd/zero values in some feeds (likely a data anomaly), so current short‑squeeze risk is unclear from that report alone. CrowdStrike slides 7.9% as AI-driven “software replacement” fears hit cybersecurity stocks
• Neutral Sentiment: Recent analyst notes and market commentary (e.g., Globe and Mail piece) provide additional context on growth assumptions and valuation sensitivity but are mixed in immediate impact. Analysts Offer Insights on Technology Companies: CrowdStrike Holdings (CRWD) and SolarEdge Technologies (SEDG)
• Negative Sentiment: Anthropic’s limited preview of “Claude Code Security” — a capability that scans code for vulnerabilities and suggests fixes — sparked fears that agentic AI could automate workflows traditionally served by security vendors, pressuring demand/pricing for parts of the legacy stack and triggering a sector selloff. Multiple news outlets tied the CRWD move to this announcement. Cybersecurity stocks drop as Anthropic launches Claude Code Security tool
• Negative Sentiment: Analyst caution and a recent price‑target cut (Mizuho lowered its target to $490) and other valuation‑focused notes (including recent Hold moves) amplified downside sensitivity, making CRWD more vulnerable to negative headlines. Mizuho Lowers CrowdStrike (NASDAQ:CRWD) Price Target to $490.00
• Negative Sentiment: Significant insider selling activity reported over recent months adds a psychological headwind for investors interpreting insider flows as reduced alignment (though sales can be for many reasons). CrowdStrike slides 7.9% as AI-driven “software replacement” fears hit cybersecurity stocks

Analysts Set New Price Targets

Several analysts have recently commented on CRWD shares. Stifel Nicolaus increased their target price on CrowdStrike from $515.00 to $600.00 and gave the stock a “buy” rating in a report on Monday, November 17th. Berenberg Bank set a $600.00 price target on shares of CrowdStrike and gave the stock a “buy” rating in a research report on Friday, January 9th. Zacks Research cut shares of CrowdStrike from a “hold” rating to a “strong sell” rating in a research note on Monday, February 2nd. KeyCorp reiterated a “sector weight” rating on shares of CrowdStrike in a report on Monday, January 12th. Finally, UBS Group lifted their price target on shares of CrowdStrike from $580.00 to $590.00 and gave the stock a “buy” rating in a research report on Wednesday, December 3rd. Thirty research analysts have rated the stock with a Buy rating, sixteen have given a Hold rating and three have given a Sell rating to the company’s stock. According to data from MarketBeat.com, CrowdStrike has a consensus rating of “Moderate Buy” and a consensus target price of $548.81.

CrowdStrike Price Performance

The company has a debt-to-equity ratio of 0.18, a quick ratio of 1.81 and a current ratio of 1.81. The company has a market capitalization of $97.97 billion, a price-to-earnings ratio of -308.41, a price-to-earnings-growth ratio of 23.79 and a beta of 1.03. The company has a 50-day moving average price of $452.77 and a 200-day moving average price of $472.24.

CrowdStrike (NASDAQ:CRWD) last released its quarterly earnings data on Wednesday, December 3rd. The company reported $0.96 earnings per share for the quarter, topping the consensus estimate of $0.94 by $0.02. CrowdStrike had a negative net margin of 6.88% and a negative return on equity of 2.12%. The business had revenue of $1.23 billion for the quarter, compared to analyst estimates of $1.22 billion. During the same quarter last year, the firm earned $0.93 EPS. CrowdStrike’s quarterly revenue was up 21.8% compared to the same quarter last year. On average, equities research analysts expect that CrowdStrike will post 0.55 EPS for the current fiscal year.

Insider Buying and Selling

In related news, CEO George Kurtz sold 28,853 shares of the company’s stock in a transaction on Wednesday, February 4th. The shares were sold at an average price of $413.01, for a total value of $11,916,577.53. Following the completion of the sale, the chief executive officer owned 2,054,902 shares in the company, valued at $848,695,075.02. This represents a 1.38% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Johanna Flower sold 3,000 shares of the firm’s stock in a transaction on Thursday, January 15th. The stock was sold at an average price of $461.94, for a total value of $1,385,820.00. Following the sale, the director directly owned 76,082 shares in the company, valued at $35,145,319.08. The trade was a 3.79% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 100,247 shares of company stock worth $45,722,274 over the last ninety days. Insiders own 3.32% of the company’s stock.

Hedge Funds Weigh In On CrowdStrike

Institutional investors and hedge funds have recently modified their holdings of the business. Brighton Jones LLC boosted its holdings in shares of CrowdStrike by 44.9% in the fourth quarter. Brighton Jones LLC now owns 7,803 shares of the company’s stock valued at $2,670,000 after buying an additional 2,417 shares during the period. Empowered Funds LLC lifted its position in CrowdStrike by 3.6% in the 1st quarter. Empowered Funds LLC now owns 4,812 shares of the company’s stock valued at $1,697,000 after acquiring an additional 169 shares in the last quarter. Hunter Associates Investment Management LLC acquired a new position in CrowdStrike in the 2nd quarter worth $284,000. Avidian Wealth Enterprises LLC increased its holdings in CrowdStrike by 28.2% during the 2nd quarter. Avidian Wealth Enterprises LLC now owns 941 shares of the company’s stock worth $479,000 after purchasing an additional 207 shares in the last quarter. Finally, Clifford Swan Investment Counsel LLC acquired a new stake in shares of CrowdStrike in the 2nd quarter valued at about $261,000. 71.16% of the stock is currently owned by institutional investors and hedge funds.

CrowdStrike Company Profile

CrowdStrike Holdings, Inc (NASDAQ: CRWD) is a cybersecurity company founded in 2011 and headquartered in Sunnyvale, California. The firm was co-founded by George Kurtz and Dmitri Alperovitch and became a publicly traded company following its initial public offering in 2019. CrowdStrike positions itself as a provider of cloud-native security solutions designed to protect endpoints, cloud workloads, identities and data against sophisticated cyber threats.

The company’s core offering is the CrowdStrike Falcon platform, a modular, cloud-delivered security architecture that combines endpoint protection (EPP), endpoint detection and response (EDR), threat intelligence, and device control through lightweight agents and centralized telemetry.