Updated
Updated · CNBC · Jun 3
CrowdStrike Drops 9% After $1.39 Billion Q1 Beat and 4-for-1 Stock Split
Updated
Updated · CNBC · Jun 3

CrowdStrike Drops 9% After $1.39 Billion Q1 Beat and 4-for-1 Stock Split

2 articles · Updated · CNBC · Jun 3

Summary

  • Shares fell 9% after hours even though CrowdStrike topped fiscal first-quarter estimates with $1.39 billion in revenue and adjusted EPS of $1.10, versus LSEG forecasts of $1.36 billion and $1.07.
  • Revenue rose 26% from a year earlier, and net income swung to $27.8 million from a $104.3 million loss as the company cited stronger platform adoption and an AI-driven boost in cybersecurity demand.
  • For the current quarter, CrowdStrike forecast about $1.44 billion in revenue, roughly in line with the $1.43 billion consensus, while raising its fiscal 2027 net new annual recurring revenue growth outlook to $6.53 billion-$6.56 billion.
  • The company also announced a four-for-one stock split effective in July and said it is testing Anthropic's Mythos model through Project Glasswing as customers reassess defenses against more capable AI-enabled attacks.
  • CrowdStrike has gained about 60% this year, reflecting broader investor enthusiasm for cybersecurity firms that are expanding AI capabilities through acquisitions, including its recent $740 million SGNL and Pangea push.

Insights

CrowdStrike's stock fell 9% despite beating earnings. Is the AI hype finally meeting market reality?
With major AI partnerships and acquisitions, is CrowdStrike building an unassailable cybersecurity empire?
As AI accelerates cyberattacks, can CrowdStrike's new 'machine vs machine' defense strategy truly keep businesses safe?