Performance and guidance exceeding expectations highlight the AI tailwind! CrowdStrike (CRWD.US) receives positive rating from major analysts.

Cybersecurity giant CrowdStrike (CRWD.US) announced better-than-expected performance and guidance for the fourth quarter of fiscal year 2026, receiving positive evaluations from Wall Street analysts. According to the financial report, CrowdStrike's fourth quarter revenue increased by 23% year-on-year to $1.305 billion, higher than the average analyst expectation of approximately $1.3 billion. Subscription-based revenue reached around $1.242 billion, a 23% increase year-on-year. Non-GAAP adjusted earnings per share were $1.12, a 38% increase year-on-year, and higher than the average analyst expectation of $1.10. As of January 31, 2026, the company's Annual Recurring Revenue (ARR) increased by 24% year-on-year to $5.25 billion, with $330.7 million of the net ARR added in the fourth quarter, a 47% year-on-year increase setting a record high, far exceeding the average analyst expectation of approximately $300 million. In terms of performance outlook, for the first quarter of fiscal year 2027, CrowdStrike expects an ARR range of $5.5018 billion to $5.5038 billion; revenue guidance of approximately $1.360 billion to $1.364 billion, slightly higher than the average analyst expectation of approximately $1.36 billion; and adjusted earnings per share guidance of $1.06 to $1.07, basically in line with the analyst expectation. For the full fiscal year 2027, CrowdStrike expects an ARR range of $6.4658 billion to $6.5164 billion; revenue guidance of $5.8676 billion to $5.9276 billion, higher than the analyst expectation of approximately $5.86 billion to $5.87 billion; and adjusted earnings per share guidance of $4.78 to $4.90, slightly higher than the average analyst expectation. Following the release of this latest financial report by CrowdStrike, Royal Bank of Canada Capital Markets maintained its "outperform" rating on the stock with a target price of $550. Analysts led by Matthew Hedberg stated, "CrowdStrike delivered a very strong quarterly report, achieving accelerated growth at scale and raising expectations for Annual Recurring Revenue in fiscal year 2027. Growth is broad-based, and Flex/Re-Flex products continue to drive business momentum. Even with the raised expectations for fiscal year 2027, we still believe there is potential for outperformance for the full year and potentially point to accelerated growth in Annual Recurring Revenue." The analysts pointed out that CrowdStrike, as a cybersecurity integrator achieving accelerated growth at scale, remains a top pick and is likely to benefit from the adoption of artificial intelligence (AI). Wedbush also maintained an "outperform" rating on CrowdStrike, but lowered the target price from $600 to $550. Analysts led by Dan Ives stated that CrowdStrike's fourth quarter performance slightly exceeded expectations on revenue and profit levels, while providing strong guidance for fiscal year 2027 that surpassed market expectations. The analysts stated, "CrowdStrike remains on the IVES AI 30 list. We continue to believe that, in the current backdrop of software sector sell-offs, CrowdStrike's position as the 'gold standard' in cybersecurity remains solid. The company's innovative and industry-leading Falcon platform is becoming increasingly important in the new modern AI threat landscape." The analysts added that CrowdStrike remains one of their most favored cybersecurity companies for 2026, as they believe the market underestimates the growth potential implied by the company's multi-year AI growth story. Evercore maintained a "market perform" rating on CrowdStrike, but raised the stock's target price from $375 to $395. Analysts led by Peter Levine stated, "CrowdStrike's fourth quarter performance was strong, largely consistent with the previous quarter's tone of disciplined execution, robust fundamentals, but no significant surprises. We believe this quarter's performance and guidance are balanced, essentially meeting expectations." Morgan Stanley maintained a "hold" rating on CrowdStrike, while lowering the target price from $537 to $487. Analyst Meta Marshall and the team stated, "CrowdStrike's fourth quarter performance exceeded expectations across the board, with the company stating continued expansion of Flex, Cloud, next-generation SIEM, and Identity products, while EDR products continue to accelerate. We see tailwinds from AI and overall platformization, which is encouraging to us following the recent stock price pullback."