CrowdStrike Holdings, Inc. (NYSE:CRWD) is one of the best-performing stocks in the technology industry right now. The stock’s uptrend reflects the company’s strong fundamentals. As a result, if you haven’t already taken advantage of the share price increase, now is the time to add the company to your portfolio.

Year to date (YTD), the company has done admirably and has the opportunity to build on its success.

Why Is CRWD a Good Investment?

CrowdStrike’s price movement shows the stock’s remarkable year-to-date performance on the exchange. The company’s stock has risen 42.2%, outperforming the 35.6% rise in the Computer and Technology sector.

Northward Estimate Adjustments: Over the last 60 days, 12 of the 15 analysts tracking the stock have lifted their expectations for fiscal 2024, with no downward adjustments, indicating their confidence in the firm. During the same time period, the Consensus Estimate for current fiscal-year earnings increased by 2.1%.

Positive Earnings Surprise History: CrowdStrike has a strong track record of positive earnings surprises. In the previous four quarters, the company outperformed projections by an average of 19.2%.

Solid Growth Prospects: The Consensus Estimate of $2.38 for fiscal 2024 earnings is a 54.6% increase over the previous year’s reported amount. Furthermore, earnings are predicted to increase by 28.4% in fiscal 2025, reaching $3.06 per share. Long-term profits per share growth is expected to be 29.9%.

Fundamentally Strong Drivers

CrowdStrike is the world’s leading provider of next-generation endpoint security, threat intelligence, and cyber attack response services. The company is profiting from the increased demand for cyber-security solutions as a result of a plethora of data breaches and the growing need for security and networking goods in the midst of the growing hybrid working trend.

Furthermore, enterprises’ ongoing digital transformation and cloud migration initiatives are major growth drivers. CRWD’s portfolio strength, particularly the Falcon platform’s ten cloud modules, improves its competitive edge and aids in user acquisition. Furthermore, key acquisitions such as Reposify, SecureCircle, and Humio have broadened the company’s product portfolio and capabilities, allowing it to acquire new deals.

According to the Grand View Research analysis, the worldwide cybersecurity industry would grow at a CAGR of 12.3% between 2023 and 2030. These forecasts bode well for CRWD, which has a diverse product range to protect sensitive data for large and mid-sized enterprises.

CrowdStrike has seen top-and bottom-line growth in recent quarters as a result of the high demand for cyber-security solutions and its ongoing focus on strengthening product offerings through in-house research and development and acquisitions.

Revenues and non-GAAP earnings increased by 42% and 83.9%, respectively, in the most recently disclosed financial results for the first quarter of fiscal 2024. CRWD’s revenues increased 54.4% year on year to $2.24 billion in fiscal 2023, while non-GAAP earnings increased 130% to $1.54 per share.

Given CrowdStrike’s growth possibilities, it makes sense to invest in the long run.

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