Wedbush sees limited stock move upside for Crowdstrike despite ‘good checks’

In a research note ahead of Crowdstrike quarterly results, Wedbush analyst Taz Koujalgi says conversations with investors indicate the buyside is expecting net new ARR ranging from $220M-$225M, which implies almost 11%-15% year-over-year growth and total ARR growing 35% year-over-year. Revenue expectations have ranged from $784M-$793M. Feedback from the firm’s checks was good, and its analysis finds that the buyside expectations are achievable. Wedbush also noted that the stock is up about 40% since its last earnings, and size of the stock move leads it to question the upside post-print. Based on what the stock is pricing in, and the stock move in the last 3 months, Wedbush believes the upside post print might be limited. The firm has an Outperform rating on the stock with a price target of $200.